Common use of Electronic debits Clause in Contracts

Electronic debits. If Client has authorised AFEX to initiate debit entries to Client’s bank or other financial institution account by direct debits, Client agrees that in the case of debit instructions transmitted through the Online System, the usage of the Online System Access Method is a security procedure which constitutes a commercially reasonable method of protecting against unauthorised debits. Client agrees to be bound by any debit instructions, whether authorised or not, issued in its name and acted upon by AFEX. In the event Client elects not to use or adhere to the security procedures described herein, Client shall remain liable for any debit instructions issued in its name, whether authorised or not, and acted upon by AFEX. Client agrees that AFEX and Client’s financial institution(s) are authorised to credit Client’s account from time to time in the event that credit adjustments become necessary.