Common use of Encoding Clause in Contracts

Encoding. Out of Specs The Mag stripe encoding on a personalized plastic is outside the specifications for encoded data as measured by a margin card or a Mag-Tek InSpec 9000 card reader. OR: Incomplete due to an invalid character in the acct. data stream. OR: Contains embossed acct. information on front, but no encoded information on mag stripe. Relationship Sev 1 Yes Yes Form: Damaged/Defective Forms received from vendor are torn/damaged (including D Hole), have extraneous ink/faded ink, Registration off, Back of pre-printed form doesn’t match pre-printed front for Simplex Product (Print Class A & B). All COLOR Ink defects are ‘Form Defective’ Black Ink from vendor also ‘Form Defective’. But ALL Black Tonor issues are under ‘Form Poor Print Quality’ Damaged during Production: Dirty/Foreign matter (other than toner or vendor ink) that measures at least 1/4” in any direction. or totally obscures or causes the omission of any single Relationship Sev 3 Yes If requested character. (Oil Spots, dirt, belt marks, etc) Torn: >/= 1⁄4” on edges or In body of form. OR Remit stub >1/2 torn from body of form. Wrinkle: Totally obscures or causes the omission of any single character, OR Any jagged wrinkle >3” measured from the 2 furthest points. Form: Print Alignment Wrong Printed Toner not aligned per specifications for Clients’ form. (i.e. ‘H’ alignment, perf-▇▇▇▇ alignment, skewing, etc.) OR Printed on form upside down or backwards, OR MICR/OCR issues caused by Print Alignment. Relationship Sev 3 Yes If requested Exhibit ▇-▇ ▇-▇ - ▇▇ ▇▇▇▇ / ▇▇▇▇▇ Data Confidential Form: Poor Print Quality Toner missing or unused, or excessive. Toner totally obscures any single character, or omission of any single character. OR Toner issues that cause Unscannable Barcodes (i.e. Formscan, MSAS, Zip-Code, or OMR Marks). OR Any Toner marks that are clearly not part of the programmed printed form. OR Using Wrong Toner- Print Class A & E should be Regular, Class B & F should be MICR. Relationship Sev 3 Yes If requested Form: Fold Wrong Fold is off Perforation OR Incorrect Nesting OR using incorrect Fold style: Z, C for 11” forms, or Double Bi-fold vs Accordian Fold for 14”. OR fold is not aligned following unique client specifications. per special handling. Relationship Sev 2 Yes If exceeds threshold Form: Cut—Bottom / Top Top/Bottom cuts that are not within tolerance per cut template if applicable. OR Missing or mutilated text in any direction OR >1/8” of another form attached per client specifications. OR Any Relationship Sev 2 Yes If exceeds threshold cut that negatively impacts correct MICR/OCR alignment per templates where applicable. Form: Cut - Sides Side cuts that are not within tolerance per cut template if available. OR Missing or mutilated text in any direction OR >1/8” of another form attached. OR Any cut that negatively impacts correct MICR/OCR alignment per templates where applicable. OR Any cut preventing insertion of remit stub flatly into Remit/BRE. Relationship Sev 3 Yes If requested Account/Mailpiece: Overweight Account/mailpiece overweight: Possible extra materials pulled, or inserts pulled according to insert load instructions/System setup. (All but Print Mail Omaha currently WEIGHS every piece of mail during OQL inspections.) (mailpiece individual component Relationship Sev 3 Yes If requested Exhibit ▇-▇ ▇-▇ - ▇▇ ▇▇▇▇ / ▇▇▇▇▇ Data Confidential inspection is separate inspection outside of OQL for MPTQM MS5–Print/Mail) Metered: Undeclared Over Weight System calls for lighter postage rate while actual weight requires more postage. (Can be found during MERLIN USPS inspections). OR: Postage MISSING. Relationship Sev 3 Yes If requested Metered: Marking Unreadable Application of an unreadable postage amount, meter #, city or date by the postage meter to a finished account/mailpiece due to light or smudged ink. Relationship Sev 3 Yes If requested Metered: Mailing Date Wrong wrong date metered on a finished account/mailpiece. Relationship Sev 3 Yes If requested Metered: Postage Rate Wrong Application of the incorrect postage or incorrect meter date to a finished account/mailpiece. OR: System calls for one postage rate while actual weight requires another. Relationship Sev 3 Yes If requested Exhibit ▇-▇ ▇-▇ - ▇▇ ▇▇▇▇ / ▇▇▇▇▇ Data Confidential Metered: Postage Marking Wrong Failure to use proper slug in a postage meter per client instructions/ USPS requirements. Relationship Sev 3 Yes If requested Courier or Routing Path: Wrong (Wrong Address) Not placing 1st Class on table/conveyor for Zip Sort; Standard A on pallet for PSI; Foreign on pallet/ tray for Prod. Svcs. OR Incorrect Mailing Label OR account/Mailpiece has Incorrect or Illegible address, billing sys/prin, or Option Mail # written on package. OR FDR Internal Mail Routing method is/was unclear for next processing department. OR Destination barcode sprayed on mailpiece is not for Delivery address. OR Incorrect Placard on Pallet Compliance Sev 1 Yes Yes Exhibit ▇-▇ ▇-▇ - ▇▇ ▇▇▇▇ / ▇▇▇▇▇ Data Confidential OR Incorrect Tray Tag on Presorted Mail. (Does NOT include Incorrect Separation/or Mixed setups) Courier or Routing Path: Wrong (All Other listed defects) Not placing 1st Class on table/conveyor for Zip Sort; Standard A on pallet for PSI; Foreign on pallet/ tray for Prod. Svcs. OR Incorrect Mailing Label OR account/Mailpiece has Incorrect or Illegible address, billing sys/prin, or Option Mail # written on package. OR FDR Internal Mail Routing method is/was unclear for next processing department. OR Destination barcode sprayed on mailpiece is not for Delivery address. OR Incorrect Placard on Pallet OR Incorrect Tray Tag on Presorted Mail. (Does NOT include Incorrect Separation/or Mixed setups) Relationship Sev 2 Yes If exceeds threshold