1. Agreement and Acceptance
This FirstDemandDirect™ Service Agreement (the “Agreement”) is between Leib Solutions (the “Agency”) and the business that purchases the Plan (the “Creditor”). It takes effect on the date the Creditor first orders service under the Plan, whether by purchasing the Plan or by placing an Account, whichever comes first (the “Effective Date”).
By ordering service, including by checking the acceptance box, paying the Plan Fee, or placing an Account, the Creditor confirms that it has read and agrees to this Agreement and that the person accepting is authorized to bind the Creditor.
In this Agreement: “Plan” means the FirstDemandDirect Plan, also called the Letter Series Package. “Account” means one past-due commercial account of one Debtor that the Creditor places under the Plan. “Debtor” means the business that owes the Account. “Slot” means one of the ten Account placements included in the Plan. “Letter Series” means the three demand letters described in Section 2. “Plan Fee” means the fee described in Section 4.
The Plan is a separate, flat-fee service. It is not a placement for collection, and the commission terms of the Agency’s Collection Service Agreement do not apply to Accounts placed under the Plan.
2. The Service
For each Account the Agency accepts, the Agency will send the Debtor three demand letters on the Agency’s letterhead: one in week 1, one in week 3, and one in week 5, counted from the date the first letter is sent (the “Letter Series”).
The Plan covers up to ten Accounts. Each accepted Account uses one Slot, whether or not the Debtor later pays.
The Agency decides the wording of the letters. The Agency may send each letter by email if the Agency determines email may be more effective, or by both email and postal mail, at the Agency’s option. The Agency will send the first letter within two business days after it accepts the Account.
The Plan is valid for three years, as described in Section 10.
3. Eligible Accounts
An Account is eligible for the Plan only if all of the following are true when the Creditor places it:
Business-to-business. The Debtor is a business, and the debt arose from the Creditor’s commercial dealings with that business. Consumer, personal, family, and household accounts are not eligible, and are suggested for accounts under $5,000.
Accounts with balances of $5,000 may not suitable for the Plan, but ask. They may be placed under the Agency’s Collection Service Agreement. A Creditor with both kinds of accounts may use the Plan for the smaller ones and the Collection Service Agreement for the larger ones.
4. Fee and Payment
The Plan fee is $470 (the “Plan Fee”) and covers up to ten accounts (collection slots). It is due in full when the Creditor purchases the Plan and is payable in U.S. dollars by check, debit or credit card. The Agency will not begin any Letter Series until the Plan Fee has been paid. Discounts are available for multiple Plan purchases.
The Plan Fee is non-refundable. It is not refunded, prorated or credited if the Creditor places fewer than ten Accounts, if an Account pays or does not pay, if the letters produce no result, or if the three-year term ends.
The Creditor authorizes the Agency to charge the Plan Fee to the card provided and confirms that it is authorized to use that card. The Creditor agrees to contact the Agency to resolve any billing question before disputing the charge with the card issuer.
5. Placing Accounts and Letter Schedule
The Creditor places an Account by submitting the following through the Agency’s online form or by email:
- The Debtor’s legal business name, mailing address, and a contact name and email address
- The unpaid balance, the invoice or statement date, and the due date
- The date of the last payment or contact, if any
- Confirmation that the Account is a business-to-business account
The Agency will review each submission and tell the Creditor whether the Account is accepted. The Slot is used, and the Letter Series begins, when the Agency accepts the Account.
Weeks 1, 3 and 5 are counted from the date the first letter is sent. The Agency is not responsible for delays or non-delivery caused by incorrect information, the postal service, email filtering, or other matters outside its control.
The Creditor may withdraw an Account at any time by notifying the Agency. The Agency will stop any letters not yet sent, but the Slot is not restored.
6. Payments, No Commission, and Notifying Us
The Agency charges no commission and takes no percentage of anything the Creditor recovers. The Plan Fee is the Creditor’s only cost under this Agreement.
Debtors pay the Creditor directly. The Agency does not collect, receive, hold or process payments and does not see payment activity. The letters will direct the Debtor to pay the Creditor.
Because the Agency does not see payments, the Creditor must notify the Agency within two business days after an Account is paid in full or in part, settled, disputed, or otherwise resolved, or if the Debtor files bankruptcy. The Creditor may notify the Agency by calling 1-800-462-2070 or emailing info@leibsolutions.com.
The Agency will stop any letters not yet sent within two business days of receiving the notice. Letters already sent, or already in process when the notice is received, may still reach the Debtor. The Creditor is responsible for the consequences of a late or missing notice, and the Agency is not liable for letters sent as a result.
7. Second Series
If an Account is still unpaid after its Letter Series, the Creditor may order a second series of firmer follow-up letters for that Account (a “Second Series”). A Second Series uses another Slot.
The Agency decides the wording and timing of a Second Series. The Agency may decline to send one if the Account no longer meets the requirements of Section 3 or if no Slots remain.
Because a Second Series uses a Slot, ordering one reduces the number of different Accounts the Plan can cover.
8. Your Representations and Responsibilities
For each Account, the Creditor represents and warrants, when the Account is placed and throughout its Letter Series, that the debt is a valid, legally enforceable commercial debt, and the Creditor owns it or is authorized to place it.
The Creditor also represents that it is a business, that the person accepting this Agreement is authorized to bind it, and that it is authorized to use the credit card provided. The Creditor is responsible for its own dealings and communications with the Debtor, including any it has while the letters are in progress.
9. Limits of the Service
The Plan consists only of the Letter Series and any Second Series. Under the Plan, the Agency does not collect, receive or hold payments, negotiate or settle Accounts, place Accounts with an attorney, file or threaten a lawsuit or other legal action, or provide any other collection service.
The Agency does not give legal advice.
The Agency does not guarantee, promise or predict that any Account will be paid, in full or in part, or by any date. Results vary.
10. Term and Unused Accounts
The Plan is valid for three years from the date the Plan Fee is paid (the “Term”). The Creditor may place Accounts at any time during the Term, as they go past due.
An Account placed during the Term is handled through the end of its Letter Series, and through any Second Series ordered during the Term, even if that work runs past the end of the Term.
Slots not used by the end of the Term expire. The Term is not extended, and the Plan Fee is not refunded, subject to Section 4.
The Creditor may stop using the Plan at any time. The Agency may decline any Account, and may suspend or end the Plan, if the Creditor breaches this Agreement, places an Account that does not meet Section 3, or misuses the service.
11. Liability, Indemnity, Governing Law and General Terms
Limitation of liability. To the fullest extent permitted by law, the Agency’s total liability arising out of or relating to this Agreement or the Plan, for any cause, is limited to the Plan Fee the Creditor paid. The Agency is not liable for indirect, incidental, consequential, special or punitive damages, lost profits, or uncollected balances, even if advised of the possibility.
Indemnity. The Creditor will defend, indemnify and hold harmless the Agency and its owners, officers and employees from any claim, loss or expense, including reasonable attorneys’ fees, arising from (a) an Account that does not meet Section 3 or a representation in Section 8 that is untrue, (b) information the Creditor supplied, or (c) the Creditor’s failure to notify the Agency as required by Section 6.
No other warranties. Except as stated in this Agreement, the Plan is provided as is, and the Agency makes no warranties, express or implied.
Governing law and venue. This Agreement is governed by the laws of the State of New Jersey. Any action arising out of or relating to it must be brought exclusively in the state or federal courts located in Mercer County, New Jersey, and each party consents to those courts’ jurisdiction. EACH PARTY WAIVES TRIAL BY JURY.
Electronic acceptance. The Creditor agrees that this Agreement may be accepted electronically. Acceptance is evidenced by the Creditor buying the Plan and submitting Accounts under it, which together are a binding electronic signature.
Entire agreement and changes. This Agreement is the entire agreement about the Plan and replaces any earlier understanding about it. The Agency may update this Agreement for future purchases by posting a revised version on its website. The version posted when the Creditor purchases the Plan governs that purchase. Any other change must be in writing and signed by both parties.
General. If any part of this Agreement is unenforceable, the rest remains in effect. The Creditor may not assign this Agreement without the Agency’s written consent. Sections that by their nature should continue after the Term, including Sections 4, 8, 9 and 11, survive it.
Contact. Leib Solutions, PO Box 22, Maple Shade, NJ 08052. Email: customerservice@leibsolutions.com. Phone: 1-800-462-2070.