All sales by Printco shall be subject to the following terms and conditions:

1. Prices: All prices are valid for thirty (30) calendar days from date issued.
   
2. Payment: All non-service orders shall be paid as follows:
   Thirty percent (30%) down payment with your order, thirty percent (30%) after engineering release and acceptance of engineering drawings by the customer, thirty percent (30%) at time of acceptance of machine in our plant by the customer, and the remaining ten percent (10%) to be paid net cash thirty (30) days after shipment of machine. All prices in U.S. currency.
   
3. Acceptance: No sale shall be binding upon Printco until accepted by Printco at its office in the town of Pulaski, WI. No accepted order may be altered or modified by the purchaser unless both the item and any price change has been agreed to in writing by Printco.
   
4. Cancellation: Accepted orders are non-cancelable. Authorized cancellation is contingent upon payment of liquidated damages, to include all cost incurred plus reasonable profit losses.
   
5. Taxes: Any taxes or other governmental charges levied against the item purchased shall be paid by purchaser.
   
6. Delivery Dates: Shipping dates are submitted as good faith estimates. Printco will make a diligent effort to meet the approximated shipping date. Printco shall be subject to no penalty or liability for failure to meet a shipping date and shall in no event be held responsible for loss of profits, damages incurred by purchaser, its customers, or other consequential damages that may result therein.
   
7. Shipment: Shipments are made F.O.B. Printco's plant at Pulaski, WI unless mutually designated to be otherwise.
   
8. Damage or Loss in Shipment: Printco shall not be responsible for damage or loss in transit and all claims must be made by the Purchaser direct to the carrier. Claims for shortages or incorrect orders must be made in writing within (15) fifteen days after receipt of the shipment by the purchaser, and use of the item and failure to give Printco written notice within that period shall be unqualified acceptance.
   
9. Performance: All machines will be deemed in compliance with the terms and conditions of this contract unless the purchaser has given written notification to Printco to the contrary within sixty (60) days from the date of shipment. All production data, where given, is an estimate and is based on Printco's understanding of the limits of process ability of materials, size and quality of product.
   
10. Testing Materials (if applicable): Purchaser shall furnish to Printco at Pulaski, WI at purchaser's expense, sufficient materials and related data necessary for full testing of machines.
    
11. Limited Warranty: Printco warrants that construction will be in accordance with normal Printco methods of manufacture and the attached specifications, and will be free from defects in material and workmanship for a period of one year from date of shipment or 2,500 hours of use, whichever occurs first. If the Purchaser within the warranty period gives Printco written notice of any defect, Printco will, at its option, repair or replace the same free of charge F.O.B. Pulaski, with installation extra. All equipment a part of the order but not manufactured by Printco is limited to the warranty of the manufacturer.
    
    Equipment replaced under the warranty shall have the same warranty as new equipment, but does not extend the original warranty.
    
    No warranty is made with respect to: (A) failures not reported to Printco within the warranty period; (B) failures or damage due to misapplication, lack of proper maintenance, abuse, improper installation, or abnormal conditions of temperature, moisture, dirt, or corrosive matter, etc.; (C) failures due to operation, either intentional or otherwise, in any improper manner; (D) after unauthorized alteration; or (E) any other damage done without fault of Printco.
    
    All warranties by Printco shall be effective only if and for so long as the Purchaser complies with all payment obligations of the accepted order. Failure to meet payment obligations voids all warranties and does not extend the period of time for which such products is warranted when payment is made.
    
    There is no further warranty either express or implied in connection with the design, sale, merchantability or use of the item of sale except as to title; and Printco's Liability on its warranty shall in no event exceed the cost of the item of sale.
    
12. Safety Equipment: The use of all guards, interlocks, electrical devices, and other safety devices and operation in accordance with Printco operating instructions is essential to the safe use of the machine or item of sale and, therefore, the Purchaser agrees that it will not remove or render inoperable any guards, interlocks, electrical devices, or other safety devices or warning notices or instructions, and that it will operate the machine in accordance with Printco operating instructions.
    
    The Purchaser agrees to pay on behalf of Printco all sums which Printco becomes legally obligated to pay because of bodily injury or property damage caused by or resulting from the use without guards or safety devices or misuse of the machines or equipment, including reasonable attorneys fees and legal expenses.
    
    Purchaser's remedies for actual damages arising out of the fault of Printco are hereby limited to return of the goods and repayment of the purchase price or repair F.O.B. Printco, either at Printco's sole discretion.
    
13. Limitations: Printco limits its liability as follows: Printco shall not be liable for any losses, costs, forfeitures, and all other consequential damages (including loss of profits, liabilities of the Purchaser to its customers or third persons) whether direct or indirect, and whether or not resulting from or contributed to by the default or negligence of Printco, its agents, employees, and subcontractors, which might be claimed as the result of the use or failure of the item of sale.
    
14. Damages: Printco shall not be liable for any penalties or consequential damages resulting to the purchaser by reason of this sale.
    
15. Patent Indemnity: Printco agrees that it shall defend any suits that may be instituted by any party against purchaser for an alleged infringement of any U.S. patent relating to the structure of the purchased item as originally furnished, provided purchaser gives to Printco immediate written notice of the institution of such suits, and permits Printco through its counsel, to defend the same, and give all needed information, assistance, and authority to enable Printco to do so.
    
    In case Printco's machine is held to infringe any U.S. Patent and its use thereof is enjoined, Printco may at its option: (A) obtain for the Purchaser the right to continue using the machine, or (B) replace the same with non-infringing equipment, or (C) modify the machine so that it is non-infringing, or (D) remove the machine and refund the purchase price reduced by a factor of use allowance of twenty percent (20%) per year.
    
16. Copying: Purchaser acknowledges that the Printco product has been designed and built through expenditure of substantial time and money by Printco, and agrees not to make drawings or duplications of the product or its parts, or permit others to do so, and will not duplicate or conspire with others in the duplication of the product.
    
17. Law: The rights and duties of all persons and the construction and effect of all provisions hereof shall be governed by and construed according to the laws of Wisconsin. If national or local laws, regulations, orders, etc. or unusual climate conditions require modification of the product not within the Printco standard specifications, the purchaser shall specify in detail and pay for such modifications according to Printco's normal pricing policy in addition to the purchase price stated.
    
    If such modifications alter the performance or prevent the product from performing according to specifications, Printco shall not be liable therefore and shall not be required to meet these specifications to the extent the performance may be adversely affected.
    
18. Entire Agreement: This document constitutes the entire agreement between the Purchaser and Printco and is not an acceptance of purchaser's purchase order terms unless otherwise specifically stated.