Business Terms and Conditions for providing Services in the PaySec System



General information

1. The legal relationships between the Operator and the User regarding the operation of the System shall be governed by the laws of the Czech Republic.

2. The Operator is entitled to identify the User or the person acting on his behalf or on his account when operating the System. To do so the Operator must follow the respective legal regulations to the full particularly in the case of transactions and/or other acts (e.g. providing a financial gift) the amount of which is higher than specified by legal regulations. In case the User (or persons acting on behalf or on account of the User) refuses to comply with the specified extent of the identification the Operator is entitled to prevent the execution of the Operation in the System. The Operator can reject carrying out an Operation where the User wants to remain anonymous. In accordance with legal regulations providing for measures to prevent the legalization of funds resulting from crime. The Operator is entitled to ask the User to deliver documents and/or provide additional information, namely, evidence substantiating the origin of funds with which the Account is credited at any time during the contractual relationship with the User. The Operator is entitled to make photo copies of these documents for his own needs.

3. It applies that (i) these Terms and Conditions are issued in electronic form, (ii) fees are specified in the Price List the current version of which is available on the Internet pages of the System, (iii) unless it is stipulated otherwise the Operator provides the User with all notices by placing them on the Internet pages of the System, electronic mail to the e-mail address given by the User or sending them to the correspondent address given by the User, (iv) in any case neither the Operator nor his employees or suppliers are responsible for any lost profit or other damages the User or another person might incur in connection to the System, Internet pages of the System or the Contract; this provision shall not be asserted in the scope in which the responsibility of the Operator is stipulated in legal regulations and it is impossible to exclude or limit it by on a contractual basis.

Definition of terms for the purpose of the Terms and Conditions

4. In the Terms and Conditions the following terms will have the following meanings, unless expressly specified otherwise.

Account“ means the System payment tool in electronic form intended for keeping record of the User’s funds in the System. Funds in the Account are recorded as electronic cash and do bear any interest. Each Account is identifiable by a unique ten-digit number. The Account is either the Business Account or the PaySec Account.

Account Number“ is a unique number enabling the Client to log into the System. Account numbers are allocated by the System, which also applies to merchants.

Administration Authorized Person“ is an employee of the Operator or a person authorized by him who takes part in administering Operations.

Authorization Code“ means the code generated by the System and sent to the User via an e-mail or SMS message. .

Authorization SMS“ means an SMS message delivered to the User containing the Authorization Code intended for authorizing payments or other actions made in the System.

Business Account“ is the account intended for making and acceptance payments by Merchants within the System.

Business Identification Form“ is the form to identify the Merchant under the terms and conditions specified herein. Completion of all the obligatory fields of the Business Identification Form is the condition sine qua non for entering into the Contract.

Client“ and/or „PaySec Account Holder“ is a private individual who purchases goods, and/or services and for whom a PaySec Account has been established.

Client Identification Form“ is the form to identify the Client under the terms and conditions specified herein.

Contact Address“ is: PaySec, Radlická 333/150, 150 57 Praha 5

Contact Person“ means the Operator’s contact person for the Merchant.

Contract“ pursuant to these Terms and Conditions shall be the Contract for using the System made between the User and the Operator integral parts of which are the Terms and Conditions and the General Terms and Conditions of the Operator, which are available at this address: www.csob.cz.

Current Account“ shall be a current account pursuant to Section 708 and the subsequent Law No. 513/1991 Coll., Commercial Code.

Discharging the Account“ means transfer of funds from the Account to the Current Account or the Red Account.

Financial Centre“ means a distribution point of Poštovní spořitelna.

Guaranteed“ means a degree of verification of the PaySec account holder. A guaranteed client is a Client using for all the Account Charging and Discharging one current account or one Red Account maintained by the Operator in the Client’s name.

Charging the Account“ means to transfer funds from the Current or the Red Account or via a Credit Card to the Account.

Internet“ is the public computer network called the Internet.

Merchant Web sites“ means selling goods, and/or services, or other acts (e.g. receiving a financial gift) carried out by the Merchant using the Internet

Merchant“ and/or „Owner of the Business Account“ is a legal entity or private individual – entrepreneur providing goods and/or services, or executing other acts through Merchant Web sites, who is eligible for the Business Account.

Non-Verified“ means a degree of verification of the PaySec Account holder.

On-line Charging“ means providing access to Users – Operator’s clients via electronic banking (ČSOB Internetbanking 24, Max Internetbanking PS, ČSOB BusinessBanking 24 Online, Max Homebanking PS Online), immediate transfer of money to the Account.

Operation“ means any single action made within the System, e.g. Charging the Account, Discharging the Account, charging the account with a fee, payment upon request, cancellation of payment upon request, return of funds. The currency of Operation is only the Czech crown or the currency by which the Czech crown has been replaced. The Operation made in the System is displayed as Details.

Operator“ is Československá obchodní banka, a. s. with its registered office at Radlická 333/150, 150 57 Praha 5, ID No. 00001350, registered in the Commercial Registry Section B XXXVI Entry 46 of the City Court in Prague. The Operator is the person operating the System and assisting Users to make and receive payments by means of the System.

Password“ means the protective element for the User’s access to the System to be determined by the User. The Password has to contain at least nine alphanumeric characters including both small and capital letters.

Payment between Users“ means the payment between two PaySec Accounts. Paying for goods/services or other acts (e.g. receiving a financial gift) carried out through Merchant Web sites or a payment between two Business Accounts is not considered from the System’s point of view to be a payment between two Business Accounts.

Payment Button (Operator’s)“ means in accordance with these Terms and Conditions a ČSOB Payment Button and/or a PSB button used as a payment tool for Users of the System – Operator’s Clients enabling them to charge the Account immediately via Operator’s electronic banking i.e. ČSOB InternetBanking 24, ČSOB BusinessBanking 24 Online, Max Internetbanking PS and Max Homebanking PS Online.

Payment Button (PaySec“ means in accordance with these Terms and Conditions a Payment Button of the System i.e. payment button to be generated in the System by the User enabling him to receive payments in the Account.

Payment Card“ means a payment card issued by the bank in co-operation with VISA or EC/MC card associations, which enables the user to make payments on the Internet.

PaySec Account“ is the account intended for payment and acceptance of payments by Clients within the System.

PaySec bonus“ is a bonus code intended for one-time Charging the PaySec Account .

PaySec Helpline“ is the telephone line designated to solve difficulties with the System and to reply to questions regarding the System.

Personal Data“ means any information about a private individual by means of which this person may be directly or indirectly identified, particularly name and surname, e-mail address, correspondence address, telephone number and financial information.

Poštovní spořitelna (Postal Savings Bank)“ or the “PSB“ is the Operator’s distribution network doing its business under the brand Postal Savings Bank (Poštovní spořitelna).

Red Account“ means a PSB deposit account.

Registration Form“ is the form to be filled in by the Client when entering into the Contract. Completion of all the obligatory fields of the Registration Form is the condition sine qua non for entering into the Contract with the Client.

Registration Name“ is the unique name by which the User registers in the System. The Registration Name is determined by the User. The Registration Name contains at least 3 characters while the maximum is 20 characters.

Serious breach of the Contract“ is a breach of Articles 2.8 and 5.7 of the Contract and Articles 56 e), f), 57 c), 58 e), 59, 60, 61 and 83 of the Terms and Conditions by the Merchant.

Service Point“ means any Post Office or Financial Centre in the Czech Republic.

System“ means the Operator’s standalone distributed system, which uses the services and applications of third party systems for its own operation, carrying out Operations and communication with Users by SMS and e-mail. This System allows paying for goods and/or services offered or provided via the Internet.

Terms and Conditions“ are these Business Terms and Conditions for the PaySec System. The Terms and Conditions form an integral part of the Contract and are binding for both the User and the Operator.

Transaction“ means a set of Operations the objective of which is to transfer funds from the Account to another Account or to charge or discharge funds to or from the Account. A transaction may be made at the User’s initiation or another person if stipulated in the Terms and Conditions, Merchant’s Contract or legal regulations. A Transaction is displayed in the System as a Payment.

User“ and/or „Owner“ is the person for whom an Account has been established.

Verified“ means a degree of verification of the Paysec Account holder. A verified client is the Client who has gone through the whole process of physical identification in accordance with Paragraph 7 of the Terms and Conditions or who is Guaranteed.

System Web sites“ are the System sites on the Internet: www.PaySec.cz

A serious breach of the Contract is a breach of Articles 2.8 and 5.7 of the Contract and Articles 56 e), f), 57 c), 58 e), 59, 60, 61 and 83 of the Terms and Conditions by the Merchant.

System Characteristics

5. The System is an electronic closed system operated by the Operator, which enables clients to pay in a safe manner by electronic funds within the Internet environment by means of the Account and in which all the Operations are made in cashless form in the currency valid in the Czech Republic.

Account Establishment

6. A Client is provided with a PaySec Account upon entering into a Contract. The Contract is concluded electronically by means of the electronically approved Terms and Conditions and delivery of the Registration Form with all the obligatory fields filled in by the Client. The Terms and Conditions and Registration Form are available on the System Web Sites. Prior to approval of the Terms and Conditions the Client shall get acquainted therewith. Approval of the Terms and Conditions is marked by ticking off the appropriate check box. After sending the filled-in Registration Form and expressing his acknowledgement of the Terms and Conditions, the System asks the Client to confirm the e-mail address and mobile phone number given in the Registration Form. The Client has the opportunity to initiate this verification once again. Upon the first confirmation the Account is made accessible and can be used for Transactions. As regards a private individual who is a client of electronic banking at the Operator a PaySec Account is to be established from Max Interbanking PSB application in which the Client is logged into. In accordance with the Terms and Conditions the Client becomes a Guaranteed Client. The Client logs into the System by combining his Registration Name and a Password or the Account number and a Password or a mobile phone number, to which the PaySec Account is linked, and a Password or e-mail address, which the PaySec Account is linked to, and a Password.

7. In the event the Client has specified the requirement for charging the PaySec Account by an amount which together with all the other amounts by means of which the PaySec Account has been charged during the calendar year (charging for these purposes is not a Payment between Users and one-off additional Charging of the PaySec Account via a bonus)exceeds CZK 63,000 or if the Client has specified the requirement to discharge the PaySec Account by an amount which together with all the other amounts which have been discharged from the PaySec Account during the calendar year exceeds CZK 25,000 or if the Client has been asked by the Operator to do so, the Client is obliged to physically prove his identity to the Operator according to the procedure referred to hereafter. As a part of the required physical identification the Client shall fill in the Identification Form available on the System Web Site and deliver it in person to the Service Point, where he/she enables the Service Point Staff to verify the data indicated in the Identification Form by substantiating the same by his/her ID card and signs the completed Client Identification Form in front of the Service Point Staff and submits the Client Identification Form to the Service Point Staff. The Client finds the information on the condition of his/her identification with his/her Account after having registered in the System. Identification is only made possible by means of ID cards referred to in the Client Identification Form. No identification by means of a statutory representative is allowed.

8. A Guaranteed Client is not subject to the obligation of physical identification pursuant Paragraph 7 above.

9. The Merchant is provided with a Business Account upon entering into the Contract subject to the condition of the Merchant’s physical identification in accordance with the procedure referred to hereafter. The draft Contract, Merchant Identification Form and Terms and Conditions, which form an integral part of the Contract are available on the Internet in the System. Prior to approval of the Terms and Conditions the Merchant shall acquaint himself therewith. At the Financial Centre and/or in the presence of the Operator’s Administration Authorized Person the Merchant will enable the Financial Centre staff, and/or the Operator’s Administration Authorized Person to verify the data given in the Merchant Identification Form by the Merchant ID card, and/or that of the person acting on behalf of the Merchant the Extract from the Commercial Register, however, not more than three months old, or other similar records if the Merchant has been registered therewith. At the Financial Centre, and/or in the presence of the Operator’s Administration Authorized Person the Merchant will sign in front of the Financial Centre staff the filled in Business Identification Form, draft Contract and will confirm by his/her signature of the Terms and Conditions his/her consent therewith. After receipt of an SMS message regarding issuance of the Business Account and Password to the System the Account is established and may be used for the purpose of Transactions.
The Merchant logs into the System by his Registration Name and Password.

Charging the Account

10. Charging the Account by the User is made possible after issuance of the Account in a way complying with Paragraphs 6 through 9 of the Terms and Conditions.

11. The Account may be charged by means of the Current and/or the Red Account and/or Payment Card. The Account is linked with the Current Accounts and/or the Red Account from which it is charged. If the Account is charged by means of the Current and/or the Red Account it shall have to be charged only by means of the Current and/or Red Account, which is the Account linked to.

12. The Account may be charged from the Current and/or Red Account by the minimum amount equal to CZK 1. The Account may be charged by means of a Payment Card/Credit Card by the minimum amount equal to CZK 200 and concurrently the following applies: Charging the Account by means of a Payment Card is limited during the calendar week by the amount stipulated in the Price List.. After the limit is achieved in accordance with the previous sentence further Account Charging by a Payment Card will be blocked up to the beginning of the next calendar week. There is no weekly limit for charging by a Payment Card for a Verified Client.

13. The PaySec Account may be linked to a maximum of three Current Accounts or Red Accounts. The Current Accounts and/or Red Accounts with which the PaySec is connected and from which the PaySec Account is to be charged can be only changed by the Client if he/she is the Verified Client.

14. The Business Account may be only linked with a single Current Account.

15. One Current Account or one Red Account may be linked with a maximum of three PaySec Accounts. A maximum of three PaySec Accounts may be charged from one Current Account.

Automatic charging the Account

16. The User can set up automatic Account charging and subsequently adjust or cancel it.

17. The User has to have a collection permit for the Current or Red Account from which he wishes to automatically charge the Account activated at the bank.

18. The User can choose the type and parameters of automatic Account charging. The Account will be automatically charged if the disposable balance in the Account falls below the limit set up by him or iat regular time intervals. The system takes into account intervals longer than the configured waiting time for incoming collection payments.

19. The User can only enter one effective collection order in the system. The respective fee will be charged for sending a collection.

Discharging the Account

20. Discharging the Account is allowed in part or in full.

21. Discharging the Account is allowed to the Current Account and/or the Red Account with which it is linked.

22. Discharging the Account is not allowed to a Credit Card.

23. Discharging the Business Account may be adjusted as a regular one depending on the time interval, the amount value, and/or by a single-action specification of the instruction to Discharge the Account.

24. A Merchant may place a ’standing order’ for Discharging the Account in the System.

Blockage of the Account, Charging by a Payment Card and PaySec Bonus

25. Should:

a) the User enter upon his registration five consecutive times an erroneous Password, the Account will be blocked. The User has no access to the Account during the Account blockage but Operations on the Account proceed. The Account is automatically released after 30 minutes following the blockage or until a new Password is entered. After the new Password has been set up the User is verified by the System by means of a verification question. After a correct reply to the verification question the User receives the Authorisation Code by e-mail. The Account is released if the User has specified in the system the new Authorisation Code and new Password.

b) the User try his Charging Account by a Payment Card the Operator is entitled to stop the potential Charging of the Account by a Payment Card for the next 24 hours so that this period of time begins upon the display of the notice by the System.

26. The Operator may block the Account under the terms and conditions hereof or pursuant to legal regulations and also on the basis of its own assessment of particular steps or transactions of the User.

27. Should the User use an erroneous PaySec code in entering PaySec five times consecutively, the charging function of the Account by PaySec bonus will be blocked. During the blockage the User is not allowed to charge the Account by the PaySec bonus. Other functions of the Account are not affected. The PaySec bonus will be ready for use automatically after 24 hours following the blockage.

On-line Charging

28. As for the guaranteed transfer the product Payment button (of the Operation) shall be used.

29. The On-line Charging enables the User to charge the Account with the respective amount from the Current and/or Red Account kept at the Operator, which is linked to his Account.

30. As for the On-line Charging it may be used only for charging the Account.

31. The payment order in the form of a On-line Charging is conditioned by a sufficient disposable balance in the User’s Current or Red Account upon the payment authorisation.

32. The generated date of the payment order execution is the actual date of payment ordering by the User.

33. The system generates an e-mail message for the User to inform him about a successful or unsuccessful charging.

34. The transaction is made free of charge.

Cancellation of the Account

35. The User may cancel the Account if the balance in the Account is zero and if no Operations which cannot be cancelled according to the System’s technical conditions proceed just at that time.

36. To cancel the PaySec Account the System requires from the Client a verification. The system sends the Client the Authorisation Code by e-mail. After specifying the Authorisation Code in the System for the purpose of cancellation of the PaySec Account the System will cancel the PaySec Account.

37. To cancel the Account the Merchant has to send to the Administration Authorized Person a written application.

38. The Account may be cancelled with immediate effect by the Operator, unless the User has registered with the Account within the minimum two years or under the respective terms and conditions stipulated herein.

39. The Operator may cancel the Account at any time with effect as of midnight on the day on which two month following the date of delivery of the notice of cancellation to the User has elapsed.

40. After cancellation of the Account by the Operator or upon the notice of the User showing his disapproval with the new version of the Terms and Conditions according to Paragraph 101 of the Terms and Conditions the balance remaining in the Account will be transferred to the Current or the Red Account from which the Account has been charged for the last time. In the event there is no Current Account and/or the Red Account, from which the Account was charged in the past, any longer the User is notified of the remaining balance by e-mail. The User will advise the Operator of the Current Account or Red Account a substitute number to which the remaining balance is to be paid, within one (1) month after receiving the information on the remaining balance.

41. The Contract is terminated upon the cancellation of the Account.

Payments

42. The User may give an instruction to transfer funds in the Account to the Account of another User within the System.

43. The User is entitled to ask another User in the System for transferring funds to his Account.

44. The User may cancel the payment order.

45. The Merchant as the payment recipient may cancel the accepted payment both in part and in full.

Limits

46. The upper limit per Transaction is equal to CZK 60,000.

47. The upper limit of the remaining balance on the PaySec Account is equal to CZK 60,000. A Certified Client’s upper limit of the remaining balance on the PaySec Account is equal to CZK 100,000.

48. Should the Client exceed the limits specified under Article 7, the Account Charging and Account Discharging functions will be blocked for the Client until Authorisation.

Payment authorization

49. The System requires the User-payer to register with the System and to verify himself/herself prior to making the payment in the system.

50. The System requires from the User-payer verification by means of an Authorisation SMS with any payment exceeding CZK 2,000. The User may set up verification in the System by means of the Authorisation SMS even for any payments in the interval from CZK 50 to CZK 2,000.

Fees and commissions

51. The Operator is entitled to collect for the System utilization the fees according to the Tariff applicable on the date of Operation. The currently applicable Tariff is available on the System Web Sites.

52. In the event System utilization requires the presentation of more documents and the User has agreed to provide them, the Operator is entitled to claim from the User payment of the costs incurred thereby.

User’s rights, obligations and responsibilities

53. The User may be issued more Accounts. A separate Contract must be entered into in respect of each of the Accounts.

54. The PaySec Account must be linked to the Client’s mobile phone number and e-mail. Each mobile phone number may only be linked to a single PaySec Account. In the event the Merchant makes payments this duty applies to the Business Account too.

55. The User undertakes to utilize the System within the extent approved by the Operator only, to abide by the instructions illustrated by the System, especially, if the System has refused to carry out the Operation.

56. The User is obliged to:

a) use the Account in compliance with the Terms and Conditions, namely, to observe all the agreed principles to assure safety of the Account and funds enabling its use (e.g. Password or other codes);

b) have a registration name;

c) have a Password, protect it and not entrust it to third parties;

d) promptly to notify the Operator of any circumstances associated with System utilization, which might result in his/her enrichment without justification or the Operator’s loss;

e) notify the Operator without undue delay of all and any changes of the information provided to the Operator and to substantiate the change by the appropriate valid documents or another document from which the change is obvious in accordance with legal regulations. Failure to notify these changes and information shall be considered by the Operator to be a gross violation of the Terms and Conditions; and

f) provide the Operator with truthful information and Personal Data in accordance with the Terms and Conditions and guarantee the veracity of the information provided by him/her.

57. The User may not:

a) record his/her Password or other code in an easily distinguishable shape;

b) use the System in a manner resulting in the violation of legal regulations;

c) send or accept payments by means of the System if these payments may be reasonably expected to be an income earned from criminal activity;

d) provide the Operator with inaccurate, incomplete or misleading information;

e) conduct his/her business or use the System in such way that may lead to complaints, disputes, reverse payments, fees, fines and other obligations encumbering the Operator;

f) refuse to provide assistance in regard to verification or giving confirmation of the User’s identification or any other information which has been provided by the User to the Operator;

g) enable the spread of viruses and other computer programs which may damage, negatively affect in any manner whatsoever or remove the System or any of its subsystems or data or the information on other Users ;

h) use automatic devices or manual processes to monitor or copy the System Web Sites without the prior Operator’s consent; or

i) develop any activity which may cause a loss of any System service.

58. The Merchant undertakes to:

a) to comply with the laws and regulations applicable to the Merchant Web sites;

b) accept any payment for the goods, and/or services, or other acts (i.e. receiving a financial gift) carried out by the Merchant through Merchant Web sites from the Account to the Business Account, at least under the same conditions as those applied to other methods of payment;

c) provide his/her assistance to the Operator during the creation of the technical interconnection of his/her Merchant Web sites with the System;

d) save the records and documents of the carried out transactions (namely, the following information: Transaction date, order Number, Transaction amount, information on the type of goods/services or other acts (i.e. receiving financial gifts) paid by means of the System, documents and information connected with the goods/service recommendations) over a period of ten years, assure their maximum protection and if required, provide their copies to the Operator in the quickest possible way, however, no later than within two (2) working days following the date of request for sending the document; and

e) notify the Operator in writing sufficiently in advance of all the changes which might affect proper compliance with the Contract, namely, the changes of the Business legal structure, Business name, members of the Business statutory bodies, bankers, provided types of goods, and/or services and cancellation of the Merchant Web sites.

59. If the User complains of the goods or services purchased by means of the System, the Merchant is not allowed to dismiss the complaint because if the payment for the goods or services has been carried out by the System. Upon withdrawal from the Contract between the Merchant and the User the Merchant is obliged to return the funds, to be returned to the User, by means of the System to the User’s Account, unless the User has explicitly asked for any other method of their recovery.

60. If the Merchant has authorized a third party to operate the Merchant Web sites the Merchant is obliged contractually to provide for the conditions of this business so that these Terms and Conditions and the conditions of other associated contracts are complied with.

61. The Merchant is not moreover allowed to:

act in connection with the Terms and Conditions in the way which is illegal, especially, to use the System to accept payments for:

i. sexual or obscene services;

ii. drugs or prescribed medicines;

iii. bets and games for which he is not authorised by Czech laws in a qualified manner;

iv. alcoholic beverages and tobacco products if he is not sufficiently sure that the goods will be given to a person above 18 years;

which cause the violation of legal regulations.

62. If the User fails to comply with any of the obligations referred to in the Terms and Conditions or statutory obligation in connection with the System utilization, the Operator is entitled to:

a) prevent/block the User carrying out of all the operations by means of the System until the time of remedy;

b) hold back the funds on the Account until the time of remedy ; and

c) cancel the Account with immediate effect.

63. The User will indemnify the Operator, and/or members of its bodies, and/or employees in the event other Users or third parties have asserted their claims from them or in connection with the User’s failure to comply with the Terms and Conditions or because of the System utilization by the User.

Operators rights, obligations and responsibilities

64. The Operator shall not disclose the User’s Password or other code to anybody else than the User.

65. The Operator shall not issue any other required Account, unless involving a substitution for the Account which the User avails of.

66. The Operator saves the System internal records for a sufficiently long time, making it possible to trace the operation in reverse and to rectify the errors.

67. The Operator provides the User within the System, in the section “Overviews”, with information regarding the Operations carried out by means of the Account within the following extent:

a) Operation type;

b) information on the User in relation to or with which the operation has been carried out;

c) amount to be paid or to be received by/from the User; and

d) fees charged for individual Operation types.

68. The Operator enables the User to verify minimum five recent Operations carried out with his/her Account and the remaining balance kept on the Account, by way of display in the section “Overviews”.

69. The Operator shall not be responsible in any manner whatsoever for the goods and services paid by means of the System. Operator does not guarantee identity of any of the Users being interested in the goods, and/or services offered by the Merchant, and does not guarantee that the Trade or another act (e.g. providing a financial gift) between the Merchant and the User will be carried out and finished.

70. Neither the Operator nor its employees and subcontractors provide any guarantees relating to legal claims, service, and suitability for certain purpose or inviolability in connection with the System. The Operator has no control over the goods or services which are paid by means of the System and the Operator is unable to guarantee that the Transaction will be completed. The Operator guarantees neither the continuous, nor the uninterrupted access to the System. The Operator points out that the service of the System Web Sites may be affected by many causes beyond the Operator’s control. The Operator will make its best efforts which can be reasonably expected from the Operator that the Transactions are carried out in due time. The Operator however does not guarantee any period of time required to complete the Transactions.

71. The Operator has the right to check the goods, and/or services or other acts offered on the Merchant´s web sites.

72. The Operator or its employees or subcontractors is not responsible in any case whatsoever for the User’s lost profit or other loss or that of a third party, which arises in connection with the System, System Web Sites or Contract. This provision shall not apply within the extent within which the Operator’s statutory responsibility is stipulated in legal regulations and cannot be contractually excluded or restricted.

73. The Operator blocks the funds on the Account based on a court ruling or a decision of another appropriate authority and conducts an execution or another legal procedure in accordance with legal regulations. For these purposes the Operator is entitled to block all the funds on the Account regardless of the claimed value.

74. The Operator is entitled to provide for the System operation-related activities via third persons.

75. If an Operation is not correctly recorded and accounted for, for reasons on the part of the Operator, technical problems or other errors of the System, the Operator is entitled to make a correction without the approval of the affected Users. Subsequently he will inform the respective Users.

Complaints and notification of faults

76. Should the User identify any complaints or discrepancies in connection with the System utilization, the User is obliged to notify the faults and to apply the requirements for their rectification with the Operator promptly after the origin of the fault. If the User fails to comply with this obligation within three (3) months following the date of origin of the fault, he/she has no right to payment of damages which he/she is entitled to in accordance with the Terms and Conditions.

77. The User may apply for the solution of problems arising in connection with System use by means of the PaySec Line or by completing and sending the complaint form to the System Helpdesk available on the System Web Sites, to the System Helpdesk electronic address referred to in the complaint form.

78. The Operator will resolve and settle the complaints within the usual period of time.

79. In the event of a conflict with the User, the Operator proves that the Operation, which the conflict relates to has been properly recorded and accounted and that it has not been affected by any technical failure or other fault.

80. If the User does not agree with the method of complaint handling by the Operator he will be entitled to contact the respective court or financial arbitrator who deals with disputes between issuers and holders in the issuance of electronic payment instruments.

81. Motion to conduct proceedings at the financial arbitrator shall be delivered to the address: Washingtonova 25, 110 00 Praha 1.

82. The Operator is entitled to provide User’s identification data including his birth no. to the person who has proven that

a) he incurred damage because of an incorrect disposition in the System,

b) damage continues

c) he cannot attain his right to receive back the groundless enrichment pursuant to the Civil Code without this data.

In return for the provision of information the Operator is entitled to charge fees. Condition b) is not fulfilled if the Participant (hereinafter referred to as the “Affected Participant“) incurred damage due to his own incorrect instruction on the basis of which funds have been transferred from his Account to another User’s account (hereinafter referred to as “groundlessly enriched Participant“) and the Affected Participant has not asked the Groundlessly Enriched Participant to send the funds back to the account of the Damaged Participant.

Intellectual property

83. The User is not allowed to copy, imitate or use the PaySec logo and all related logos, products and services used on Internet pages of the System which are intellectual property of the Operator or entities which provided a license to the Operator in contrary with these Terms and Conditions without a written consent of the Operator in prior. User may not copy, imitate or use the headings of the System Web Sites, graphic shape of the System Web Sites, push-button icons, scripts or HMTL source code. The User may use the System logos provided by the Operator to direct the web path in the system only and any other application is only allowed with the Operator’s prior consent in writing. The User is not allowed to change the System logos or HMTL source code in any manner whatsoever, to use them in a way disregarding (not complying with) the Operator or the System or to illustrate them in the way implying the Operator’s sponsorship or its support.

Bank secret and protection of personal data

84. The Operator shall maintain confidentiality of all the circumstances which banking secrecy applies to in accordance with legal regulations. Operator shall maintain confidentiality of this information even after the date of termination of its contractual relationship with the User. The Operator provides the information which is subject to banking secrecy to authorized persons and institutions only in accordance with legal regulations and within the framework of the contractual provisions agreed with the User.

85. The Operator processes the Personal Data of Users – natural persons (hereinafter referred to also as the “Subjects of the Data”) for the purposes set forth by the legal regulations, as well as for the purpose of negotiations on the use of the System, in compliance with the contractual obligations by the Operator, protection of the Operator’s interests and rights, justified disclosure of the Personal Data of natural persons, offering carrying out business and services within the framework of consent of natural persons, within the extent of Personal Data furnished to the Operator by the natural person which the Personal Data related to, and/or by another party in accordance with the Act No. 101/2000 Coll., on Personal Data Protection and on the Modification of Certain Acts, as amended, and/or the regulations replacing this Act (hereinafter referred to as the “Regulation of Personal Data Protection). Personal Data of natural persons are processed both automatically and manually and may be made accessible to the Operator’s employees, processing agencies with which the Operator has entered into the Contract to Process Personal Data, and/or another person in accordance with the Personal Data Protection Act, to persons depending on the consent granted by the Subject of the Data and persons authorized based on legal regulations.

86. Providing the Personal Data of Persons who intend to enter with the Operator into the contractual relationship within the extent specified by the Operator is done on a voluntary basis, nevertheless, it may represent the Operator’s condition of entering into a contractual relationship.

87. If the Subject of the Data has asked the Operator for information regarding the processing of his/her Personal Data, the Operator is obliged to give him/her this information without undue delay in accordance with the Regulation of Personal Data Protection. The information content is always the notification referring to the:

a) purpose of the processing of personal data;

b) personal data, and/or categories of the personal data, which are the subject matter of processing, including all the available information on their source;

c) nature of the automated processing in connection with its utilization for decision making if any actions are to be taken or any decisions adopted on the basis of this processing, the substance of which is an interference with the right and justified interests in the Subject of the Data ; and

d) recipient, and/or category of recipients.

The Operator has the right to ask for a reasonable fee not exceeding the costs indispensably required to provide the information. The Operator’s obligation to provide the information to the Subject of the Data, provided by the Regulation of Personal Data Protection, may be complied with on behalf of the Operator by the processing agency.

88. Each Subject of the Data which has found or opines that the Operator or the particular processing agency of Personal Data with which the Operator has entered into the contract to process personal data processes his/her Personal Data in contradiction with the protection of his/her private or personal life or in contradiction with the law, especially, if the Personal Data are inaccurate in respect of the purpose of their processing may:

a) ask the Operator or the particular processing agency for clarification; and

b) require that the Operator or the particular processing agency the condition arising there from. This may involve, namely, blockage, corrections, supplementing or destruction of Personal Data. If the request of the Subject of the Data has been found justified, the Operator or the particular processing agency must promptly rectify the faulty condition. If the Operator or the particular processing agency fails to comply with the request of the Subject of the Data, the Subject of the Data has the right to refer the matter straight to the Personal Data Protection Office. The above procedure does not exclude the fact that the Subject of the Data refers with his/her suggestion straight to the Personal Data Protection Office. Should any harm other than the material loss result in consequence of the Personal Data processing, the Subject of the Data proceeds when asserting his/her claim in accordance with the specific law.

89. The Subject of the Data agrees in accordance with the Personal Data Protection Act and the Bank Act No. 21/1992 Coll., as amended, that the:

a) The Operator furnishes his/her Personal Data provided to the Operator, including his/her birth number, information notifying whether the Contract has been, or has not been, entered into between the User and the Operator, information notifying of the User’s obligations which have resulted, will result or might have resulted in relation to the Operator in connection with the Contract, as well as of compliance with these by the User, and/or any other information which the User has disclosed or will disclose to the Operator or which the Operator has obtained or will obtain in connection with compliance, and/or failure to comply with the Contract, to (i) persons controlled by the Operator; (ii) persons controlling the Operator; and (iii) persons controlled by any of the persons controlling the Operator (hereinafter referred to as the “Person/s Associated with the Operator"), and the terms of control, controlling person and controlled person have the meaning defined under section 66a of the Act No. 513/1991 Coll., Commercial Code, as amended, and/or the regulations replacing this Act and that these persons process the User’s personal data for the purposes referred to in the Terms and Conditions, and/or together with the other User’s Personal Data processed by them with justification; and

b) The Persons Associated with the Operator furnish the Operator the User’s Personal Data describing his/her contractual relationships with each of these Persons and that the Operator processes these Personal Data for the purposes referred to in the Terms and Conditions, and possible together with the other User’s Personal Data processed by the Operator with justification.

90. The purpose of processing of the User’s Personal Data on the basis of this approval are, in addition to those mentioned above, the:

a) registration purposes ;

b) updating of the User’s Personal Data furnished by the Operator to Persons Associated with the Operator; and

c) offering trade and services by the Operator and Persons Associated with the Operator, even by electronic means.

91. The User grants this consent throughout the term of the contractual relationships with the Operator and for a period of four subsequent years after compliance with the User’s obligations resulting from the concluded contracts if these obligations have been terminated by proper compliance therewith or in a way substituting the proper compliance, and/or from the date of the Contract termination if the financial obligations from the Contract have been terminated otherwise.

92. If required, the Operator is entitled to provide third parties with banking information on Users. Banking information serves as an information source when initiating new business contacts, to make business relationships more transparent and to strengthen trust in between business partners.

Mutual communications

93. Unless provided otherwise, the Operator sends the User all the notices by means of placing them on the System Web Sites, by electronic mail to the e-mail address given by the User or by sending them to the mailing address given by the User. Selection of the way of sending the notices depends on the System Operator. The notice shall be deemed delivered after the elapse of 24 hours from the time of placing them on the System Web Sites, and/or sending them to the User’s e-mail address, unless the Operator has received information that the e-mail has not been delivered. If the notice has been sent to the mailing address as an ordinary letter, it shall be deemed delivered on the third (3rd) working day following the date it is sent. Should the User frustrate the delivery of the notice to the mailing address by his/her commission or omission and the notice is returned by the party providing post services as undeliverable, the delivery comes into effect on the date when the letter is returned to the Operator. The delivery comes into effect even if the User refuses to accept the letter.

94. Unless provided otherwise, the User’s notice must be sent to the Operator to the following address: PaySec, Radlická 333/150, 150 57 Praha 5.

95. As regards the documents submitted in another one than the Czech and Slovak languages, the Operator is entitled to require from the User an official translation of the submitted documents, made at his cost. The Operator is not responsible for the delayed carrying out of an Operation in consequence of the required document translation.

Closing Provisions

96. Technical conditions for the system utilization are defined in the User’s System Handbook, published on the System Web Sites.

97. The User agrees that the Operator fulfils the Agreement already during the term for the assertion of the right for withdrawal if the User is entitled to do so pursuant to the respective provisions of legal regulations applicable to consumer contracts.

98. The Agreement shall be archived by the Operator. Except for the Terms and Conditions which are publicly available the Agreement shall not be disclosed to third parties except for persons who provide for the Operator archiving the data or other activities related to the System operation.

99. The Agreement may be executed in Czech.

100. Information about ethical codes which are binding for the Operator or which he voluntarily adheres to is available on the Internet, www.csob.cz.

101. An agreement between the User and the Operator in respect of any changes in the Agreement and/or the Terms and Conditions shall have to be in writing. In addition the Operator is entitled to change the Terms and Conditions unilaterally at any time. The Operator shall inform about any new version at least 2 months in prior by announcement on the Internet pages of the System. The User is obliged to acquaint himself with the updated version. Unless the User informs the Operator about his disapproval within 1 month of being informed of the changes, he will be deemed to have been informed. The new version is binding for the established contractual relationship between the Operator and the User as a change in the originally agreed upon Terms and Conditions. Should the User not agree with the new version and inform the Operator by the respective deadline the Account shall be cancelled with effect on midnight of the date when two months have elapsed following the delivery of this notification.

102. All the rights and obligations of the User and Operator arising from the Agreement shall cease to exist upon the termination of the Agreement except for those which due to their nature should apply after the termination of the Agreement.

103. The User is not entitled to assign any rights or obligations stipulated in the Terms and Conditions to any third person without the written approval of the Operator. The Operator reserves the right to assign and right or obligations stipulated herein to a third person without the approval of the User.

104. If any provision of these Terms and Conditions is or will become invalid, disputable or unenforceable, it will not affect the validity and enforceability of the remaining provisions of the Terms and Conditions if this provision can be separated from these Terms and Conditions as a whole. Both the Operator and the User shall make all best efforts to replace this provision by a new one which will be, thanks to its substance and effect, the closest possible to the invalid, disputable or unenforceable provision.

105. If these Terms and Conditions have been translated into foreign languages, the Czech language shall prevail.

106. These Terms and Conditions come into effect on April 22, 2010.