Charge Transactions. A. Merchant may accept Card Not Present (CNP) transactions and related Charges (“CNP Transactions”) based upon the description of Merchant’s business (“Business”) on the Application and as authorized by the Bank. Bank reserves the right to terminate CNP Transactions in the event that there is any material change in the Business, including any material change in the customers, products, management or employees of the Business.
Charge Transactions. On the date of each settlement payment by Household Bank pursuant to Section 4.01(b), each Account Receivable evidenced by a Charge Slip (i) is free and clear of any and all Liens created or caused by the Saks Companies in favor of any Person other than Household Bank, (ii) arises in connection with a sale and delivery of Merchandise and/or Services in the ordinary course of business, (iii) is for a liquidated amount as stated in the Charge Slip relating thereto, subject to returns and other adjustments in the ordinary course of business, (iv) is not subject to any defense, offset or counterclaim assertable by the Cardholder due to any act or omission by the Saks Companies, except for those created as a result of acts or omissions by Household Bank and (v) did not arise out of any fraud or malfeasance of any employee or agent of the Saks Companies.
Charge Transactions. A. Merchant may accept CNP transactions and related Charges (“CNP Transactions”) based upon the description of Merchant’s business (“Business”) on the Application and as authorized by the Bank. Bank reserves the right to terminate CNP Transactions in the event that there is any material change in the Business, including any material change in the customers, products, management or employees of the Business. B. Merchant agrees that, except as expressly permitted by the Operating Rules, no CNP Transactions shall be submitted for processing prior to shipping of the product purchased and/or the implementation of the service offered. C. Merchant understands and agrees that CNP Transactions: 1. do not require the Cardholder’s signature on the Charge, sales draft or sales slip (with the exception of Order Forms authorizing a Recurring Transaction); 2. require the Merchant to obtain the valid Expiration Date for each Card used for a CNP Transaction; and 3. require the Expiration Date of the Card be submitted as part of the Authorization process. D. It is understood that Authorizations for CNP Transactions are subject to Chargeback and such Authorizations do not guarantee the validity or collectability of the Card Transaction. Merchant agrees to take reasonable additional steps to verify the identity of the authorized Cardholder on these types of transactions, especially when merchandise is shipped to a third party. Merchant acknowledges and agrees that the receipt of an Authorization Code indicating approval does not guarantee Merchant against Chargebacks. Merchant is encouraged to use fraud reduction systems offered by the Card Associations, such as AVS and CVV2/CVC2 in CNP Transactions. E. Generally, in order to satisfy a retrieval request for CNP Transactions, the following transaction receipt information must be provided by Merchant: (1) the Cardholder Account number, (2) the Card expiration date, (3) the Cardholder name, (4) the transaction date, (5) the Transaction amount, (6) the Authorization Code, (7) Merchant’s Name, (8) Merchant’s location, (9) a description of the goods or services, (10) the “ship to” address, and (11) the AVS response code (if AVS was used). 3.
