AAPI Dealer Application

It is the policy of Advanced Aquatic Products lnt'l, Inc. to sell only to distributors, dealers, or other resale business companies with sufficient sales volume (currently $10,000.00 per/year) to assure a mutually profitable relationship. The policy is also to direct end-users/customers to Dealers and Distributors in the markets where purchase inquires are received through phone, mail and 800 # sources.

Advanced Aquatic Products Int'l, Inc. respectfully solicits the patronage of all approved accounts under the following legal and binding terms and conditions of sales:

1. Freight terms are FOB the shipping point unless noted otherwise and will be added to all sales.

2. Return Policy: Merchandise may be returned for full credit within 5 days of date of receipt. A 15% restocking charge will be assessed all returns not approved by the Shipping & Receiving Manager. All returns after this period require the approval of the Credit Manager and will be assessed a 25% restock fee. All returns after the initial 5-day return period will be given an account credit for purchase of other products. After 45 days no returns will be accepted. All returned merchandise must be in original saleable condition with all price tags removed and packaging intact. If you receive a damaged shipment a claim should be filed with the carrier.

3. Credit privileges will be considered only for those accounts submitting suitable trade and bank references. Open accounts (deferred) payment terms are for a 1.5% discount if paid in 10 days of receipt or net payment due in 30 days.(1.5 10 Net 30). All accounts 30 days or older will be assessed a carrying charge of 1. 5% each month (18% per annum) for all monies due.

4. It is agreed that all invoices rendered to the undersigned will be payable to Advanced Aquatic Products Int'l, Inc. and that in the event of default in payment all merchandise may be picked up by Seller or their Agent without prior notification.

5 . If the account is referred to an attorney for collection, the Undersigned agrees to pay all costs of collection, including but not limited to, reasonable initial and/or appellate litigation fees, collection and court costs in addition to the regular account owed. Title to all goods sold on credit shall remain with the seller until payment of the full purchase price by Undersigned. When payment is received by check, title shall remain with the Seller until the check clears the bank and is paid in full.

By sending this form I certify that the above information is correct to the best of my knowledge and agree to all the terms and conditions of sale and payment as stated above. I further certify that all items are being purchased for resale and that I am a merchant as the term is defined in the Uniform Commercial Code.