DEBT COLLECTION AND CREDIT RISK MANAGEMENT SERVICES
Terms and Conditions.

Riga 5th of October 2018

Definitions

In this Terms and Conditions, unless the context otherwise requires, the following terms shall have the following meanings:

FinColl: FinColl Ltd., reg.No. 40203112185, legal address: 13-2 Abavas street, Riga, LV-1004, Latvia. Phone. +371 23001585. E-mail: info@fincoll.lv.

Client: the legal entity for which FinColl provides DEBT COLLECTION AND/OR CREDIT RISK MANAGEMENT SERVICES based on the order, submitted documents, information and these Terms and Conditions.

Debtor: any legal entity that has missed a payment to the Client.

Off-court debt collection: a set of actions performed outside the court proceedings which FinColl carries out upon receipt and confirmation of the respective order from the Client. The purpose of the service is to facilitate a late payment made by the Client's debtor - payment of the debt to the Client.

Credit Risk Management Services: a set of actions performed by FinColl and/or at the Client's entity for the future restraint and prevention of late payments in Client’s company. Such services may include organizational, legal, informative, advisory, and other actions. Exact activities of FinColl are indicated in respective Client’s order for Credit Risk Management Services.

Parties: FinColl and the Client.

Service Fee: Fee for DEBT COLLECTION AND CREDIT RISK MANAGEMENT SERVICES provided by FinColl for which the Parties have agreed upon in the Order or in any other manner separate from the Order (for example, via email, Whatsapp, Viber, Skype etc.). The fee for the DEBT COLLECTION is determined in percentage (%) without tax and applies to each part of the debt paid after the receipt of the order. The fee for the CREDIT MANAGEMENT services is specified in the respective Order.

Order: Client's application to the FinColl to provide DEBT COLLECTION AND CREDIT RISK MANAGEMENT SERVICES.

Submission, approval and execution of the Order.

1. FinColl shall begin the execution of debt collection and/or credit risk management service upon receipt and confirmation of relevant Order of the Client.

2. At the first request of FinColl, the Client must submit all necessary documents for the execution of the order. In the case of an out-of-court debt service, these documents may be - Power of Attorney and authorized copies of debt documentation, such as contracts, bills of lading, unpaid invoices, business correspondence with the debtor etc.

3. The Client is solely responsible for the accuracy of the information specified in the orders, including the correctness of the debt-proofing documents, and he undertakes voluntarily to cover any losses that FinColl will suffer because of the submission of false information.

4. When providing DEBT COLLECTION AND CREDIT RISK MANAGEMENT SERVICES FinColl chooses the appropriate, proportionate and appropriate methods and instruments to be use.

5. FinColl shall inform the Client about the progress of execution of the debt collection service at least once in 60 days or at the request of the Client, while the Client shall respond to FinColl requests for information, and undertake to provide answers to FinColl reports and proposals in reasonable time frames.

6. After the approval of the debt collection service Order from FinColl side, the Client undertakes to inform FinColl of any debt payment or goods returned by the debtor for the debt repayment within 3 days from the day of payment or receipt of the goods.

7. If after the approval of the debt collection service order between the Client and the Debtor an agreement is reached that affects or may affect the debt, the Client undertakes to immediately notify FinColl thereof.

8. If, within 60 days after the beginning of execution of the relevant out-of-court debt collection order, the Client’s Debtor has not responded in any way to calls for voluntary payment of debt and/or entered into an agreement on payment of the debt or did not made any payment of the debt, FinColl has the right to terminate the out-of-court debt collection process and to offer the Client debt collection by the court (legal actions) if it is economically viable.

9. If the Client and FinColl agrees on debt collection by the court, the Parties shall conclude a separate agreement or agree on the fee and terms of service in any other convenient way (including by e-mail correspondence). The Client is obliged to pay the debt collection by the court in accordance the agreement of the Parties. If invoices of FinColl are not paid, the FinColl shall be entitled without delay to terminate the debt collection process.

10. Creditworthiness review service provided by FinColl is informative and FinColl shall not be liable for any Client’s actions or decisions based on the information received.

The Service Fee.

11. The Client is obliged to pay the Service Fee to FinColl specified in the Order within the time limit specified in respective invoices of FinColl or any separate agreement between the Parties, if any.

12. The Client is obliged to pay the Service Fee if he receives any payment from the debtor after the respective Order is confirmed for execution by FinColl, or an agreement is reached between the Client and the Debtor on the return of the goods delivered (or an agreement on the exchange of goods for an equivalent or the Client is provided with services in debt value, etc.).

13. If the Debtor has started paying the debt and / or an agreement on repayment has been concluded, but the Client for any reason wants to cancel the Order within 60 days after the starting date of execution of the relevant Order, the Client is obliged to pay the Service Fee in accordance with the relevant Order. Service fee in this case shall be calculated from the total debt amount specified in the Order.

Other conditions.

14. Parties shall have the right to use electronic documents, including to write, send and receive invoices, submit notifications, submissions and any other documents for the performance of the duties provided for in these Terms and Conditions.

15. Parties 'electronic documents shall be deemed to be sent in an appropriate manner only if they are sent to the e-mail addresses specified in these Terms and Conditions or Client’s order, or to the Client’s email address from which the Order was received.

16. Any applications (letters, orders etc.) regarding these Terms and Conditions and the provision of the services, Parties shall submit each other in writing.

17. The Parties shall be released from any liability for failure to comply with these Terms and Conditions due to force majeure or exceptional circumstances which neither Party, or both Parties could foresee, prevent, prevent, influence or cause to be incurred by the Parties.

18. Any dispute or claim arising out of or in breach of the Terms and Conditions, termination or invalidity of the Order or Terms and Conditions, the Parties will endeavour to resolve by negotiations. If the Parties fail to reach an agreement, the dispute between the Parties will be resolved by the court of the Republic of Latvia, the jurisdiction of which is determined by the legal address of FinColl.

19. The laws of the Republic of Latvia shall apply to these Terms and Conditions.

These Terms and Conditions shall enter into force on October 5, 2018 and shall be deemed to be considered as a Service Agreement between the Parties from the moment Client or his authorized person has approved in any written form the acceptance of respective Order for DEBT COLLECTION AND CREDIT RISK MANAGEMENT SERVICES.


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