Terms of Service   

From time to time the subscriber (party to which dishonored checks have been issued) may refer for collection to Check Pro, a division of Business Management Systems, Inc., dishonored checks which it wishes Check Pro to collect. These services will be performed according to the following terms of service, which are agreed to by both parties:

Subscriber will cause to be sent directly to Check Pro, or to Check Pro’s designated bank, all dishonored checks which it receives. Subscriber will report promptly to Check Pro all payments received by it on checks referred for collection. Subscriber will also report promptly information regarding payments received from debtors, the filing of bankruptcies by the debtor, disputes, attorney representation, and any other vital and pertinent information.

 Check Pro will exercise reasonable care in obtaining payment on debts. However, unless there is a specific contract between Check Pro and subscriber providing for a guarantee service, Check Pro does not guarantee the collection of any given check, or percentage of checks referred. Check Pro will comply with all applicable statutes and regulations governing the collection of checks. Except as may be provided by specific contract, Check Pro will not, under any circumstances, be responsible for failure to collect any given check, or group of checks, nor will Check Pro bear any responsibility for the expiration of the statute of limitations while a check is under its control for collection.

Check Pro will have complete control of its internal record keeping procedures, and will have complete control over the process of reporting debts to outside parties such as Credit Reporting Agencies, and its own check verification system. Check Pro will also bear full responsibility for such reporting.

 Subscriber will refrain from all billing and collection activities on any check referred for collection to Check Pro, and will refrain from referring to any other outside debt collection contractor, checks already referred to Check Pro for collection. Once Check Pro has begun collection work on any particular check, it will be considered that Check Pro has made a substantial investment in the collection process, and shall be entitled to retain any such check in its inventory indefinitely, at its sole discretion.  

Check Pro will provide for subscriber, upon request, and with reasonable notice and at reasonable intervals, a complete list of all accounts currently in its care, showing the current balances due on those accounts according to its records.

Check Pro shall have the authority to accept and endorse checks made payable to subscriber, received on accounts referred for collection.

Each party will indemnify and hold harmless the other party with regard to any loss, injury, liability, claim, damage, or expense (including, without limitation, reasonable attorney’s fees, court costs, and other actual reasonable costs and expenses incident to proceedings or investigations or the defense of any claims) and amounts paid in settlement of claims, suffered by either party, resulting from each party’s actions with regard to the debt in question. This includes, but is not limited to, a failure by subscriber to report to BMSI information of the following nature: disputes raised by debtor or other pertinent communications with debtor, payments made by debtor to subscriber, bankruptcies filed by the debtor, or other attorney representation of the debtor.

Check Pro may, from time to time, recommend litigation of a particular check in order to enforce payment. Except in cases where check has been guaranteed or purchased by Check Pro, subscriber will never be required to give such consent, and Check Pro will not cause a law-suit to be filed against any debtor without the signed consent of subscriber. Check Pro will not be obligated to initiate a law-suit against a debtor against its best judgment. Once a suit is filed, Check Pro will advance court costs, and will reimburse itself those court cost advances from first monies collected.  If a counter-claim should be filed by debtor, subscriber shall have complete responsibility to pay all costs of defense of such counter-claim, and shall be responsible for any potential award given to debtor, if the counter-claim alleges wrong-doing on the part of subscriber, or any employee, agent, or contractor for subscriber, other than Check Pro. Check Pro shall likewise bear full responsibility for such counter-claims alleging wrong-doing on its part.

                                                                                                                                         TOS.CP.20050809