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±~ {, `, Stock & Grsnes, LLP ~~~'~: EDWARD STOCK, ESQUIRE T.D.# 13657 ~3C~4 West .Avenue Jenkintown,, PA 19046 (x:15) 576-1900 DISCOVER T3ANK 12 Reads Way New Cas~t~le, DE 19720 ~S. Attorney for Plaintiff ~, .n - - ,-. ,- , . , r 1 ~ °~~ ~ ~ ~ DIANE. L. ROBERTSON 225 Stetler Road New Cumberland, PA 17070-2346 CIVIL ACTION COMPLAINT YOU HAVE .BEEN SUED II~T COURT.. IF YOU WISH TO DEFEND AGA~ST THE CLALMIS SET -FORTH IN THE Ft~LLOWING PAGES, YOU. MUST TAKE ACTION WTTIitI~T TWENTY (20) DAYS .AFTER THIS COMPLAINT AND NOTICE ARE SERVED, BY ENTERING A WRITTEN APPEARANCE PERSONALLY OR BY AN ATTORNEY AND FILING IN WRITING `WITH THE COI;fRT YOUR DEFENSES OR OBTECTIONS TO' THE CLAIIvIS SET FORTH_ AGAINST YOU. YOTTARE WARNED THAT ~E` YOU FAII, TO DO SO THE CASE MAY PROCEED WITHOUT' .YOU AND A JUDCrIVLENT MAY BE ENTERED AGAtIlVST YOU BY THE COURT WITHOUT FURTHER NOTICE FOR ANY MOP~EY CLAIMED IN THE COMPLAINT` OR FOR ANY OTI-IER~ CLAIM OR RELIEF- REQUESTED BY THE PLAINTT~'F. YOU MAY 'LOSE MONEY OR PROPERTY OR OTH3/R RIGHTS IMPORTANT TO YOU. . YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE.:: IF ~ YOU DO NOT HAVE A LAWYER C)R CANNOT AFFORD ONE, GO TO THE TELEPHONE OR TI~'E OFFICE SET FORTH BELOW TO FIND OUT WHERE. YOU CAN GET LEGAL HELP. CUII9.BERLAND CQUNTX BAR ASSUCTATIt)N 32 SOUTH BEDFORD STREET r ,ISLE, PA 17013 1-500-990-9105 717-249-3166 0~~'~ ~ ~ a v. ~ ~ K STOCK & GRIMES, LLP BY: EDWARD STOCK, ESQUIRE I.D. #13657 804 West Avenue ~7~enkintown;, PA 19046 (215) 576-1900 Attorney for Plaintiff L)ISCOVER BANK. 1.2 Reads Way New Castle, DE 19720 Plaintiff vs. L)IANE L. ROBERTSON 225 Stetler Road New Cumberland, PA 1,7070.-2346 Defendant. (s ) COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA CIVIL ACTION-LAW NO. CIVIL ACTION COMPLAINT COUNT I 1. Plaintiff, Discover Bank,. is a banking institution organized under the laws of the Sta e of Delaware and maintains a business address of 12 Reads Way, New Castle, DE 19720. 2. Plaintiff is engaged in interstate commerce and is subject to various federal laws and federal banking regulations; and, Plaintiff does not conduct business within the Commonwealth of Pennsylvania within the meeting of any statutes and/or regulations pertaining to foreign corporations. 3. Discover Bank is the i suer and owner of the Discover credit cards which are issued to consumers pursuant to an extension of credit agreement with them. 4. DFS Services, LLC is affiliated with and is the ~ a servicing agent for '.he Discover credit card accounts for Discover Bank. It creates and maintains all of the records in connection with all of the activities and/or transactions regarding the Discover accounts, which records are maintained by DFS Services, LLC in the ordinary course of its business. DFS >ervices, LLC is authorized to execute the Affidavit attached. hereto as Exhibit "A" 5. The Defendant, Diane L. Robertson, is an adult individual. residing at the address contained in the above caption. 6. At the special instance and request of the Defendant, and relying on information received from the Defendant, the Plaintiff issued a Discover credit card to the Defendant so that the Defendant could make purchases :From various merchants who were authorized to accept the credit card from the Defendant in lieu of payment by the, ]defendant to the merchants. 7. The Defendant received '.the physical credit card issued by the Plaintiff, together with a Cardmember Agreement (extension of credits agreement), which agreement contains the terms and conditions governing the use of the credit card between the. parties hereto. Plaintiff attaches hereto as Exhibit "B" a true and correct copy of the said Cardmember Agreement. 8. Thereafter, on sundry and various occasions, the Defendant, pursuant to the extension of credit agreement, used ~ ~ the credit card for ~ourchases an,d/or other forms of credit, which credit and. its terms are governed by the Cardmember Agreement attached hereto as Exhibit "B" 9. The Defendant ratified the terms and conditions of the Cardmember Agreement each and every time they Litilized the Discover credit card, as well as by continuing to make payments to the Plaintiff after receiving monthly statements summarizing the activities and/or transactions on t:he account . 10. Plaintiff believes, and therefore avers, that t=he Defendant's last payment in regard to their obligation was processed on December 2, 200,9, as a result thereof, the Defendant is in breach of their 'obligation to the Plaintiff in accordance with the Cardmember Agreement; and as a result thereof, the obligation of the Defendant to satisfy the entire 'balance in regard. to the credit card account became accelerated. 11. Plaintiff attaches .hereto as Exhibit "C" a true and correct copy of the last monthly statement of the account issued to the Defendant . 12. The present outstanding balance which is due on the credit account :is $13,026.39; and, although repeated requests and demands have been made upon the Defendant by tl~e Plaintiff to satisfy the balance', the Defendant is still in breach of the agreement and have failed to repay the account balance and debt due the Plaintiff. f t 4 Z3. In addition to the balance on .the account as indicated above, the Plaintiff has incurred additional. damages for attorney fees and costs and request payment of the same by the Defendant pursuant to the terms of the Cardmember Agreement. 14. Plaintiff, through its counsel's investigation, has determined that the Defendant is not in the military service. 15. THIS COMMCf1~TICATION OF PLAINTIFF'S COUNSEL IS FROM A DEBT COLLECTOR. THIS IS AN ATTEMPT TO COLLECT A DEBT AND ANY :CNFORMATION OBTAINEII WILL BE USED FOR THAT PURPOSE. WHEREFORE, Plaintiff, Discover Bank, demands Judgment against the Defendant, Diane L. Robertson, in the sum of X13,026.39, plus reasonable attorney fees, costs and pre-judgment interest in accordance with law., COUNT II 16. Plaintiff incorporates, by reference, all of the foregoing averments of this Civil Action Complaint, as though the same were more fully set forth in length herein. 17. Defendant by the use of the Discover credit card and the extension of credit received the benefit of the same which was given on the said credit account and has failed to make payment for the receipt of the staid benefit. 18. As a direct result of the receipt of the benefit of the extension of credit understanding as above, the Defendant has v t 5 been unjustly enriched in the amount of $13,026.39 to Plaintiff's detriment. WHEREFORE, Plaintiff, Discover Bank, demands Judgment against the Defendant, Diane L. Robertson, in the sum of $13,026.39, plus reasonable attorney fees, costs and pre-judgment interest in accordance with law. DATE: ~ O y t VERI~'~CATIOloT The undersigned, EDWARD STOCK ESQUIRE, herebystates that he is the attorney for the Plaintiff who is located outside this jurisdiction and in order to file-the within document iri an expedient and timely manner; he is authorized to take this Verification on behalf of the said Plaintiff in the within action and verifies that the statements made in the foregoing Complaint are true: and correct to the best of his knowledge, information and belief, based upari information . ~ provided to hirn by the Plaintiff. A Verification signed by the Plaintiff will be provided to Defendant or counsel for Defendantupon request: The undersigned understands that false. statements herein are made subject to the penalties of 18 P.A.C.S..A. § 4904, relating to unsworn falsification to i authorities. i EDWA STO QU •~ f Exhibit "A" ATTORNEY: STOCK ACCOUNT NUMBER: ~~~~369 BALANCE: $13,026.39 CARDMEIWIBER (S): DIANE L ROBERTSON . STATE OF OHIO COUNTY OF FRANKLIN Natasha Szczygiel, personally appeared before me, this day and after being duly sworn,.: according to law, upon his/her oath and. says: I am a Legal Placement Account. Manager for DFS SERVICES LLC., the servicing agent of DISCOVER BANK, an FDIC insured Delaware State Bank. THAT this affidavit is made on the basis of my personal knowledge and in support of Plaintiff s suit on account against the Debtor(s) THAT, in my capacity as Legal Placement .Account Manager, I have control over and access to records regarding the Discover Card Account of the above referenced Debtor(s), .further, that I have personally inspected said Account and statements regarding the balance. due on said account. DFS SERVICES LL-C. maintains these records in the ordinary course of business. THAT the annexed statement of account is a taste and correct statement of what is now due and owing Discover Bank on the aceotint, and exhibit A is a copy. of the Cardmember Agreement between Discover Bank and the above referenced Debtor(s). The Cardmember Agreement governs the terms and conditions of the relationship between Discover Bank and the Debtor(s). in connection with the account. Based on my review of the account records, to the best of my knowledge and belief the above referenced Debtor(s) is not engaged in the military service of the United States and is a resident of the State and of the County in which this action has been filed. I declare under penalty of perjury that the foregoing is true and correct to the best of my knowledge.. Sworn and Subscribed before me, This day of V~~ednesday, July 21,.2010. ,p~.11~5 Ulitt/////~ o - ~rruisASCHOI~Y ~~~ S~8 0f (>f110 y~ Natary Pubic; r 1 x;11: i~ `^` NpYg~g(2, ~11 ~~Hgttt111N~~~~ ~~ ~ r'~ Exhibit "B" :~ DISC ~_.VER® YOUR D15COVER® ACCOUNT' , CARDMEIV{BER AGREEMENT ................Pages 1-13 The terms and conditions of your Account, including how we calculate finance charges, our fees and' an Arbitration,of Disputes section. You have the right to reject the arbitration provision with respect to your new Account within 30 days after receiving your Card, . as explained in the "Right to Reject Arbitration" section at page 13. PRIVACY POLICY ................._.......Pages 13-16 " ,~ A summary'of the personal information we collect, when it may be shared with others, and how we safeguard the confidentiality acid security of information. You may limit our sharing of such. informatiomwith others as explained in section 4 of the Privacy Policy atpage 15. BILLING RIGHTS ..........................Pages 16-17 Important information about your rights and our responsibilities under the Fair Credit Billing Act. ' DESCRIPTION Of COVERAGE ...............Pages 18-25 The terms and conditions of the Scheduled Air Travel Accident Insurance and the Secondary Rental Car Collision Coverage that is provided at no charge to you when you use your Card to purchase airline. i tickets or rent an automobile. GLOBAL TRAVELER'S :HOTLINE ........ . ..........Page 25 The terms ahd conditions'of this free travel assistance benefit. ©207:0 Discover Bank, Member FDIC TL22AG.0210 10DCM0_0260K_7L22AG0210_01361 _reader.indd 1-2 12/15/09 1:36:41 PM CARDMEMBER AGREEMENT Please read this Agreement carefully before using your Discover® Card Account. It contains the terms and conditions of your Account, some of which may have changed-from earlier material; provided to you. In the _ event of any differences, this Agreement shall control. We respectyour Privary: See the Privary section on page 10 and our Privary Policy for additional information. The Arbitration of Disputes section on page 11 includes a waiver of a number of rights, including the right #o a jury tri al. ' The Right to Reject Arbitration section on page 13 describes the procedure you must follow if you desire to reject the Arbitration of Disputes section. DEFINITIONS .............................. .........:........... 2 USING YOUR ACCOUNT .. . .:..:....:..:.........:............:.. 2 Your Acceptance otthis Agreement ... ......................... Z Permitted Uses of Your Account .. .. ........................... Z Prohibited Uses of Your Account :. ............................. 3 Purchases and Cash Advances in Foreign Currencies:,: :............ 3 Cash Advances...........,..........: ....:.................. 3 Balance Transfers .........:....... .. .:....................... 3 Credit Authorizations ............. :. .:..:.................... 3 Authorized Users_ ..:.................................:...... 3 Unauthorized Use .............................:............. 3 Your Credit Lines ................ ... ........:................ 4 CHANGESTO THIS AGREEMENT .......:........................... 4 MAKING PAYMENTS .:.................•.....,.........,•........ 4 Promise to Pay .............................................. 4 ....... Monthly Billing Statement ............................ , ' 4 Monthly Payment Options .............. ,..............."..... 5 Automatic Billing Arrangements .....:............... . ......... 5 How We Apply Payments ............ . ........................ 5 Minimum Monthly Payment ................................... 5 merit Offers .' ...................................... Skip-A-Pa 5 ~ Credit Ba antes.:......' ...................................... 5 FINANCE CHARGES :.................. .. ................:..:..... 6 How We Calculate Periodic Finance Charges ................:..... 6 How We Calculate Your Balances ..:.. . .:...:. . ................. 6 Variableinferest Rates ......................s................. 7 Default Rate ..:.....:......:..... .......:................... 7 Cash Advance Transaction Fee Finance Charges ......... . ....... . 8 - Balance Transfer Transaction fee Finance Charges ...... , , .. •..... , 8 Foreign Currenry Trarisa¢ion Fee Finance Charges ..........'..... 8 Minimum Finance Charge ............... .. ............:....... 8 Account Set-up Fee Finance Charge ............................ 8 FEES ...:......:.:...:.......................................... 8 Annual Fee .....:........................................... 8 Late Fee ......:..............:......:...............,....... 9 Returned Payment pee .................:................i..... 9 Returned Discover Card Check Fee :............................ 9 Pay-By-Phone ............:..:...:......:................:... 9 Research Fee .........:.............:....................... 9 DEFAULT AND CANCELLATION ....... . ............................ 9• .Types of Default ..........:....... .; .................:....... 9 Conse~uence5 of Default .:.................:................. 9 Cancellation .............:.................................. 9 PRIVACY AND OUR COMMUNICATIONS WITH YOU ............ • .... 10 Our Privacy Policy ...........:............................... i0 Reporting to Credit Reporting Agencies ........... . ............ 10 -1"- IODCMO 02BOK_iL22AG02t0_01361_re ader.indd 3-4 12/15/09 1:36:41 PM Our Communicationswith You ................. ............. 10 Releasing Information About Your Account ..................:: i00 ElectronicNotices to You ......, .. . ................. . ..... . .Notices- Changes to Your Information ...................... . .:.00 CLAIMS AND DISPUTES ........ ....... .:.: ... ........... Merchant Disputes......: ..:....:............................1~ Claim Notices ..............:............................. Arbitration of Disputes :...:....................,..........:..11 Right to Reject Arbitration.: • • • 13 LEGAL INTERPRETATION OF THIS AGREEMENT ....................:::13 Severability :.:.. ...... :.. ............................ Compliance with Interest Rate Limitations .......................13 Governing Law.:.....:.. .. ...... ..................13 ..,. ... ASSIGNMENT OF ACCOUNT .:.... . .....................:..........13 DEFINRIONs "AccounC' means your Discover Card Account, "Authorised UseP' means any person wham you authorize to use your Account or a Card; whether'you notify us or not. "Card" means any one or more Discover Cards issued to you or someone else with your authorization. "P~icing Schedule" means the document accompanying your. Card and listing the Finance Charge rates that apphr to your Account.. The Pricing Schedule is part of this Agreement. "We," "us' and "our" refer'to Discover Bank, the issuer of your Discover Card. Wau; "'your'or "yours" referto, in additicn to you, the Cardmember, any other-person or persons' v~ho are also contractually liable under this Agreement. USING YOUR ACCOUNT Your Acceptance of this Agreement. The use of your Account or a Card by you or an Authorized User, or your failure ti> cancel your Aaount within 30 days after receiving a Card, means you aueptthis Agreement, including the Arbitration of Disputes section on pa e f 1. You may, however, reject the Arbitration of Disputes sediorr as explained on page 13. Permitted Uses of Your Account Your Account may be used for: • Purchases - to purchase or ,lease goods or services from participating merchantr by presenting your Card or Account. number or by using promotional checks, which we may furnish to you, in accordance with such additional terms and <ahditions as uv~e may offer from time to time. Cash Advances.- to obtain cash advances from participating automated teller machines, financial institutions or other locations, the purchase of lottery tickets; racetrack wagers, vouchers redeemable for cash dr for casino chips, money orders, traveler's checks savings bonds, foreign currenry and wire transters, orby means df checks which we may furnish to you, all in accordance with such additional terms and conditions as we may offer from time to time a • Balance Transfers - to transfer balances from other creditors or to make other transactions by meansof balance transfer coupons or checks, in accordance with such additional terms and conditions as we may'offer from time to time.. In addition, your Account may be used to guarantee reservations at participating 'establishments.:: You will be liable for guaranteed reservations .that are not cancelled prior tp the time specified by the establishment. Your Account may be used for personal, family, household and charitable purposes. 2 tODCMO_02BOK_TI22AG0270_07361 _reader.indd5-fi Prohibited. Uses of Your Account. Your Account may not be used to obtain loans to purchase, carry or trade in securities, to pay any amount you owe under this Agreement or for any transactions that are unlawful where you reside or where you are physically located when you use the Account to initiate the iransadion ("Prohibited Transactions"). Purchases and Cash Advances in foreign Currencies. If you make a purchase or cash advance in a foreign currency, it will be converted to U.S. dollars using either a government-mandated rate, agovernment-published rate or the interbank exchange rate, depending on the country and currency in which the transaction is made. The rate used will be the rate in effect on' the conversion date for the transaction, which may 6e different than the Transaction Date as shown on your statement. We charge a Foreign Currency Transaction Fee Finance Charge for each purchase made in a foreign currenry as described in the Foreign Currency Transaction Fee Finance Charges section on page 8. Cash Advances. We may periodically offer you promotional rates on cash advances for the time period specified in the offer, subject to the Default Rate section. The offer may contain a Cash Advance Transaction Fee Finance Charge for each cash advance. Balance Transfers. We may periodically offer you the opportunity to make balance transfers from other creditors orto make other transactionsto your Account by means of balance transfer coupons or checks. Each offer will contain a promotional rate, which will be the Annual Percentage Rate that will apply to transferred balances for the time period specified in the offer, subject to the Default Rate section and may contain a Balance Transfer Transaction Fee Finance Charge for each balance transfer made during the term of the offer, as disclosed in the offer and as set forth in the Pnang Schedule, if applicable.. Balance transfers subject to the promotional rate are referred to as promotional rate balance transfers; balance transfers for which the promotional rate has expired are referred to as purchase rate balance transfers. .Each offer will contain an expiration date: If you attempt to transfer balances by means of a check after the expiration date, we will treat,the transaction as a cash advance.. We will not make balance transfers attempted by means of a coupon after the expiration date. Credit Authorizations. Certain transartions will require our authorization prior to completion, In some cases, you may be asked to provide identification; We have the right not to authorize a transaction for security or other reasons. Also; if our authorization system is not working, we may not be able to authorize. a transactidn, We will notbe liable to you if any of these events happen. Authorized Users, If you want to cancel the authority of a current Authorized User to use your Account or a Card, ydu must notif us and destroy any Lard in that person's. possession. You can noti~jr of by telephoning 1.800-DISCOVER (1.800.347-2683), or by writing :Discover, PO Box 30943, Salt Lake City, UT 84130-0943. None of your rights under this Agreement (other than to pay amounts owed) may be exercised by any person not a party td this Agreement, acting pursuant to a power of attorney, without our separate written agreement (which we are not obligated to give). Unauthorized Use. Prior to its use, each-Card must,be signed by the person td whom it is issued. If a Card is lost or stolen, or if you think that someone is using your Account or a Card without youf permission; notify us immediately. Ypu can notify us by telephoning 1-800;DISCOVER (1.800.347-2683), or by writing Discover, PO Box 30943, Salt Lake'Litg UT 84130.0943. You agree to 3 12/15/09 7:36:41 PM assist us in determining the facts relating to any theft or possible unauthorized use of your Account or a Gard and to comply with such procedures as we may require in connection with our investigation. Ydur Credit Lines. We will advise you of your Account credit line. We may impose a lower line that will apply to cash advances, referred to as the cash advance credit line. We may also impose a lower line that will apply to balance transfers, referred to as the balance transfer credit line. You agree not to allow your unpaid balance, including Finance Charges and fees, to exceed your Account credit line.tf you exceed your Account ueditline, we may request immediate payment of the amount by which you exceed your Account credit line. We may increase. or decrease your Account credit tine, your cash advance credit line or your balance transfer credit line without notice. The credit available for your use may, from time to time, be less than your Account credit line. For purposes of determining your available credit, we reserve the right to postpone for up to t5 business days reducing your unpaid balances by the amounfi of any payment that we receive. Your available credit will not be increased by the amount of any credit balance. CHANGES TO THIS AGREEMENT Fromtime to time, we may; to the extent: permitted by law, change any term of this Agreement,'induding, but riot hmrted to, any finance charge rate, fee or method of computing any balance upon which the finance charge rate is assessed, or add or delete ainy term to this Agreement. We will give you notice of the change in the time and manner required bylaw, .which includes 45-days advance written notice iri some circumstances. In addition, to the extent required by law, we will offer you the opportunity to rejeR a changge. For example, law requires, with certain exceptions, that we offer you the opportunity to reject an increase in a late fee nr'the elimination of; a grace period prwr to the effective date of the change. H you reject a change in accordance with the instruRions in the notice provided, we will dose your Account and you will no longer be able to use it for further transactions. You can then pay the remaining balance uhder the unchanged term. We may also ihange any term pf any product, service or benefit offered in connection with your Account. We will notify you. as required bylaw or by the terms of the product,. service orbenefit. MAKING PAYMENTS Promise to Pay. You agree to pay us in U..S. dollars for all purchases, cash advances and balance transfers including applicable Finance Charges and ether charges'pr fees, .incurred by you or anyone. you: authorize or permit to use your Account or a Card,. even if you do not notify us that others are using your Account or a Card. If you pay us in other than U:S, dollars, we may re#use td accept the payment or charge your Account our costlto convertyour payment toU.S. dollars. All checks must be drawn on funds on deposit in the U.S. You may not use a cash advance check, balance transfer check or coupon, or-:any other promotional check drawn on ahy Discover .bank credit card amount to make payments on your Account. If your Account is a joint Amount, each of you aerees to be liable individuallyand jointly for the entire amount owed on your Account. We can accept fate payments or partial payments or Checks and money orders marked "payment in full" or with any other restrictive endorsement without losing any of our rights under'this Agreement. Monthly Billing Statement. We will send y'ou a billing statement after each monthly milling period in which you have a debit or credit balance, unless -4- 10DCM0_0280K_TL22AG0210 07367_readecindd 7-8 we waive our right to do so as permitted by law. The billing statement will show all purchases, cash advances, balance transfers, Finance Charges and other charges or fees and all payments br other creditr posted to your Account during the billing period. It will show your New Balance, Payment Due Date and Minimum Payment Due as of the end of the billing perod. If your prior month's payment rs returned unpaid, your required Mrmmum Payment Due may be higher than shown on your bdling statement. See the Minimum Monthly Payment section on page 5. Monthly Payment Options. You may at any time pay the entire New Balance shown on your billing statement, but each month you must pay at. least the Mihimum Payment Due as described in the Minimum Monthly Payment section. All paymentr must be made in accordance with the terms stated on your monthly billing statement, as well as the payment cut-off time stated in this section, and we will credit your Account rn accordance with those terms and this section. Payments received in proper form at our processing facility by 5PM local time on any day will be credted as of that day. Payments received in proper form at our processing facility after 5PM local time will be credited as of the next day. Automatic Billing Arrangements. If your Account number and/or Card expiration date changg~es and our records indicate you have automatic billing established with a merchant, we will attempt to provide. your new Account information tothat merchant. To ensure uninterrupted brlhhg, we recommendthatyouverifythe merchanthasyournewAccountinformapph. .You must eontact the merchantdirectly if you do not wish to cohtinue the automatic billing arrangement. How We Apply Payments. Each billing period, to the extent youi payments exceed the Minimum Payment Due shown on your current billing statement, we will apply these excess amounts irc order of the Annual Percentage Rate applicable to the balance of each transaction categpry (as referenced in the finance Charges section), generally from highest to lowest, beginning with the balance subject to the highest Annual Percentage. Rate. Otherwise, we will apply payments and creditr at our discretion, ihduding in a manner most favorable or convenient for us.: In all cases, we will apply payments and creditr in accordance with applicable taw. Minimum Monthly Payment. The Minimum Payment Due each billing period will equal: (i) fhe greater of: • $40; • 2% of the New Balance; or • current Periodic Finance{harges plus Late Feesplus $20; (ii) plus any past due amount. We may also include some or all the amount by which you exceed your Account credit line. When we calculate the Minimum Payment Due, we may subtract frbm.the New Balance certain fees added to your. Account during the billing period. The Minimum Payment Due will be rounded up to the nearest dollar and will never exceed the NewBalance. Skip-A-Payment Offers. We may from time to time allow you to not make a minimum. monthly payment and will notify you when #liis option is available. If you take advantage of this offer and dp not make a minimum monthly payment, finance charges and any applicable fees will accrue on your Account in accordance with this Agreement and. you must pay the Minimum Payment Due for the following billing periods. Credit Balances. We will refund any credit balance within seven business. days from receipt of your written request. If you do not request a refuhd; 5 12/15!09 1:36:42 PM - we will automatically refund credit balances greaterthan $1 that remain in your Account after 6 months. FINANCE CHARGES How We Calculate Periodic Finance Charges. We begin to impose Periodic Finance Charges on all transattions from: the Transaction Date for the transaction shown on your billiny statement, unless a transaction is posted to your Account after the close of the billing. period in which it occurs, in which case we begin to impose Periodic finance Charges on that transaction from the first day of the billing period in which it is posted to your Account. We edntinue to' mpose Periodic Finance Chargges until the date you pay your. entire New Balance shown oh your bill'mg; statement by making payments or receiving credits. However, if you paid the. New Balance on your previous billing statement by the Payment Due Date shown on that billing statement, we will not impose Perwdic Finance Charges on new purchases, that is, purchases first appearing on the current billing statement, or anyportion of a new purchase, paid by the Payment Due Date on your current billing statement. We call this the "grace perod." There is no grace. period on balance transfers or cash advances. As mdre fully described in the, section titled "How We Apply Payments," vve generally apply payments to your Account based on the Annual Percentage Rate applicable to the balance. of each transaction category: This means that if you do not pay th.e New Balance on the current billing staterent by the Payment Due Date shown on that billing statement, then, depending do the amount of your paymentand the Annual Percentage Rates qn other balances, you may not get a'grace period on new purchases. ' We sort your transactions into groups bf purchases, cash advances, and " balance transfers and then further sort the transactions within each group by their Annual Percentage Rate. For example; purchases subject to a promotional rate and. purchases subject to a standard rate would 6e separate groups. We refer to these groups as transaction categories. At the end df each billing period, we compute balances and Periodic Finance Charges for each day of the billing period for each transaction category. We use the; tollowirg equation to compute Periodic Finance Charges for each transaction category: (Average Daily Balance) times (days in billing period) times (Daily Periodic Rate), You may referto the Finance Charge Summary on Your billing statement for these amounts:, Then we add up the Periodic Finance Charges for each transaction category to get the total Periodic Finance Charges for yyour Account. The Average Daily Balance is shown as'zero i#, because of the grace period, no Periodic Finance Charges apply to the balance in a transaction category; The Daily Periodic Rate is t/365th of the corresponding Annual Percentage Rate. Houv We Calculate Your Balances. We use the Average Daily Balance i (including new transactions) method of calculating'the balance upon which we impose Periodic Finance Charges. VJe compute the Average Daily Balance for each transaction categoryby adding up all the daily balances in a billing period fora transaction category and dimdmg the total by the number of days in the billing period. We compute the daily balance for each transaction category on each day by first adding the following to the previous day's daily balance: transactions with a Transaction Date of that day,as hown on your billing statement, unless thetrarisaction is posted to your Account afterthe close of the billing period inlwhich it occurs, m which case the transaction will be added to the daily balance as of the first day of the billing period in which it is posted to your Account, fees charged that 6. -~ 1oDGM0_0260K_TL22AG0210_01361 _reader.indd 9-70 day and Periodic Finance Charges accrued on the previous day's daily balance; and bythen subtracting any credits and payments that are applied against the balance of the transaction. category on that day. In calculating the daily balance for the first day of the billing period, we consider the "previous day's daily balance" to have been your balance for each transaction category on the last day of your previous billing period. All#ees charged to your Account are added to the standard purchase transactiontategory with the exception.of Cash Advance Transaction Fee Finance Charges which are added to the applicable cash advance transaction Category and Balance Transfer Transaction Fee Finance Charges which are added to the applicable balance transfer transaction category. Variable Interest Rates. One or more Daily Periodic Rates and corresponding Annual Percentage Rates that apply to a transaction category may tie variable rates as set forth in your Prrang Schedule or in any special offers you receive from us. Variable Annual Percentage Rates are determined by _ adding a specified number of percentage points to the Prime Rate. This is shown on the Pricing, Schedule as "Pnme + (percentage points)." For purposes of this Agreement, the Prime Rate is the Highest rate of interest listed as the "prime rate" in the Money Rates section. of The Wall Street. Journal on the last business day of the month. The Prime Rate is merely a pricingg index and does not represent the lowest or best interest rate available to a borrower of any bank at anygiven time. If you Have avariable rate, your Annual Percentage Rate will increase or decrease when the Prime Rate changes. This change will be effective beginning with the first day of the billing period that begins during the same month as the change in the Prime Rate. An increase in the Annual Percentage Rate may increase your Minimum Payment Due. Default Rate. Each time that you dp not make the Minimum Payment Due by the Payment Due Date we may, m accordance with applicable' law: (i) terminate the availability of any promotional Annual Percentage Rates on new transactions; and (ii) increase your Annual Percentage Rates for new transactions to variable Default Rates, Each new variable Default Rate for a new transaction is determined by. adding up to 5 additional percentage points to the otherwise applicable Annual Percentage Rate and will vary based. on any changes in the Prime Rate. (For example, if the promotional purchase rate .was 2.99% and the rate for other purchases was 15.99% and you paid late once, the rate for all' new purchases could increase up to 20.99% variable. and vary thereafter with the Prime Rate.) When ,we first detetmine the variable Default Rates, we usethe Prime Rate effective for the billing period in which, you pay late. The variable Default Rates are determined in accordance with the Variable Interest Rates section. We will base your Default Rate on your creditworthiness arid other factors such as your current Annual Percentage Rates and your Account history. If we increase any of your Annual Percentage Rates to a Default Rate, we will send you a notice,. m accordance with applicable law, advising of (i) the date the rtew Default Rate will apply (the "Defauk Rate Effective Date"), (ii) the type of new transactions to wPoch it will be applied (note: the. new Default Rate will not applyto any bthertransactions)and, (iii) your right to rejectthe new Default.Rate. New transactions are those transactions which either (i) .have a Transaction Date, as shown on your billing statement, of more than fourteerrdaysafter wemail ordeliver the notice to you or (ii) if :permitted by applicable law, were posted to your Account after the current Default Rate Effective Date. Your Account wdl not be subject to a Default Rate for the firsttwelve billing periodsafter your Account is first opened. -7- 12!75/09 7c36:42 PM If yourAnnual .Percentage Rate for purchases, balance transfers or cash advances was increased to a Default Rate, we will, to the extent required by applicable law, periodically review your Account to determine if any of your Annual Percentage Rates should be reduced. Any reduced Annual Percentage Rateson new and existing balances may be different and may be higher than your previous standard Annual Percentage Rates for purchases, balance transfers andlor cash advances. or any promotional rate. Cash Advance Transaction Fee Finance Charges. Unless otherwise specified in a cash advance offer, we will charge you a Cash Advance Transaction Fee FINANCE CHARGE of 5% of the amount of each new cash advance with a minimum`Cash Advance Transaction Fee FINANCE CHARGE of $10 and no maximum. The imposition of Cash Advahce Transaction Fee finance Charges may result in an Annual Percentage Rate for cash advances that is higgher than the nominal Annual. Percentage Rate. All forms of cash advances, including the use of Discover Card checks; regardless of the purpose for which used, are subject to Cash Advance Transaction Fee Finance Charges. To obtain the total Finanre Charge on cash advances for each billing period, we add any Cash Advance Transaction Fee Finance Charges fDr the billing period charged under this section to any Periodic Finance Charges calculated under the Periodic finance Charges section for each cash advance transaction category and.add up these amounts. Balance Transfer Transaction fee Finaifce Charges. Unless otherwise specified ina balancetransfer offer, we will charge you a Balance Transfer Transaction Fee FINANCE {HARGE of 5% of the amount of each new halancetransferw~th a minimum Balance Transfer Transaction Fee FINANCE CHARGE of $1G and no maximum. The mp9sition of Balance Transfer' Transaction Fee Finance Charges may result in an Annual Percentage Rate far balance transfers that is higher than the nominal Annual Percentage Rate: Td obtain he total Finance Charge on balance transfers for each billing period, we add any BalanceTransferl"ransaction Fee Finance Charges for the brHing period charged under this section to any Periodic Finance Charges calculated under the Periodic Fihance Charges section for each balance transfer transactiorrcategory and add up these amounts. Foreign'Currency Transaction Fee Finance Charges. We will charge you a Foreign{urrency Transaction fee FINANCE CHARGE of 2% of the U.S. dollar amount of each purchase made in a foreign Nrrenry. The imposition of Foreign Currency Transaction Fee Finance Charges may result in an Annual Percentage Rate for purchases that is higher than the nominal Annual Percentage Rate. To obtain the total Finance Charge on purchases for each billing period, we add any Foreign Currency Transaction Fee Finance Charges for the billing period charged under this section to any Periodic Finance Charges calculated under the Periodic Finance Charges section for each purchase Yransadion category and add up these amounts. Minimum Finance Charge, We will charge you a minimum FINANCE CHARGE of $.S0 for any billing perod in which Periodic Finance Charges of less than $.50 would otherwise be imposed. Account Set-up Fee Finance Charge. if youi Pricing Schedule accompanying your Card includes an Account Set-up Fee, we wdl'charge you a one•tlme Account Set-up Fee FINANCE CHARGE iii the amount indicated when we open your Account. FEES Annual -Fee. If your Pricing Schedule accompanying your Card includes an Annual Fee, we-will charge you an Annual Fee inthe amount indicated: We will'charge you this fee when we open your Account and atthe beginning of each anniversary year your .Account is open. The Annual Fee is not g. 10DCM0_0280K_TL22AG021D_01361 _reader.indd 11-12 refundable, except as provided bylaw. Late Fee, We will charge you a Late Fee if you have failed, as of the Payment Due Date, to make the Minimum Payment Duethat was required to be paid for that billing period. The amount of the Late Fee is based on the sum of all outstanding purchases, cash advances, balance transfers, other charges, other fees and Finance Charges at the end of the billing period for which we did not receive timely payment. if the3um is $250 or less, the fee is $19. If it is greater than $250, the feeds $39. Returned Payment Fee. We will charge you a Returned PaymentFeeof $35 each time you pay us with a check or other instrument that is returned unpaid. This fee wrll also apply if a debit transactionto a deposit account from which you have authgnzed us in writing, electronically or orally to periodically deduct all or a part of an amount you owe us under this. Agreement is returned unpaid. We will charge you this fee the first time any payment is returned unpaid, even if it is paid upon resubmission. Returned Discover Card Check Fee. We will charge you a Returned Discover Card Check Fee of $35 each time we decline to honor a Discdver Card cash. advance check, balance transfer check, promotional purchase. check, or other promotional check. Pay-By-Phone. We may from time to time allow you to make payments by authorizing us over the telephone to transfer or pay funds from a deposit account to your Account. We will not charge you aPay-By-Phone Fee. Research Fee. We may charge you a Research Fee of $5 for each copy of a billing statement or sales slipthatyou request. However, we will not charge a fee if you request copies in connectionwith a billing error.- n DEFAULT AND CANCELLATION Types of Default You are in default if you become insolvent] if you file a bankruptcypetition or have one filed against you; if we have a reasonable belief that you are unable or unwilling to repay your obligations tq us; if you are declared incompetent by a court or if a court appoints z guardian. for you or a conservator for your assets; if you die; if you fail to comply with the terms of this Agreement, including failing to make a required payment when due, exceeding your Account credit line or using your Card or Account for a Prohibited Transaction; or if you fail to make a required payment when due on any other account you have with us. Consequences of Default If you are in default, we may declare the entire balance. of your Account immediately due and payable wthout notice. If we refer the Collection of your Account to an attorneyor,employ an attomeytq ' represent us with regard to recovery of money that you owe us, we may charge you reasonable attorneyys' fees arid court or other collection costs as permitted by law and as actually incurred by us, including fees and Costs in connection with any appeah We may delay enforcing or not enforce any of our rights under this Agreement without losing or waiving any of them. Cancellation. You may cancel your Account by notifying us in writing orby i telephone and returning or destroying every Card and unusea check that we have provided you. You can notify us by telephoning 1 200-DISCOVER (1-800-347-2683), or by writing Discover; PO Box 30943, Sait i_ake Ci,y, UT 84130-0943.Of course, you will still be responsible tp pay any ainountyou owe us according to the terms of this Agreement: If your Account is a )Dint Account, either Cardmember may cancel the Account, but you will both remain responsible to pay any amount owed to us according to the terms bf this Agreement. We may cancel or suspend your Account at any time without notice. We may choose not to renew your Account (beyond the expiration date shown on the=face of a Card) without notice. You must return any Card or unused checks to us upon request. 9 12/15/09 1.:36:42 PM PRIVACY AND OUR COMMUNICATIONS WITH YOU Our Privacy Polity. We may from time to time review your credit, employment and income records. We respect the privary of information about you and your Account. Our Privary Pohry includes a summary of the personal information we collect, when it may be shared with others, how we safeguard the confidentiality and security of information and the steps you may.take to limn pur sharing of such intormation with others. Please read'it carefully as it is part of your Cardmember Agreement. Reporting to Credit Reporting Agencies. As indicated in our Privary Polity, we may report to credit reporting agencies and other creditors the status and payment history of your Account, indudl rig negative credit information. Late payments, missed payments or other defaults on your Account maybe reflected in your credit report. We normally report to such credit reporting agences each month. If you believe that our report of your Account status is inaccurate or incomplete; pleasewrite us at the following address: Discover, PO Box 15316, Wilmington, DE 1985D-5316. Please indudeyour name, address, home telephone number ahd Account number. Our Communicatidns with You, You agree that our personnel may listen to or record 'telephone calls between you and our representatives without additional notice to you, including but not limited to calls we make to collect debts. We may use any medium perrnitted bylaw, including but not :limited to mail, live telephone calls, automated telephone egwpment; prerecorded telephone calls, a-mail and calls to your cell phone to contact you about your Account or to offer yyou products or services that may be of value to you. If you prefer not to be contacted in one or more of these ways, you must either telephone us at 1.800-DISCOVER (1-800-347.2683) or write to us at Discover, PO Box 30961, Salt Lake City, UT 30961-0961. Releasing Information About Your Account We provide various methods by which. you can obtain information about your Account. We will onl release such information to you, any Authorized User that our records indicate is an authorized buyer on your Aaount, and any other person with .your prior permission, in addition to as provided in our Privacy Policy or as required by law. Our security measures cannot insure against unauthorized inquiries. You agree that we wilt not be responsible for the release of information to anyone who, even if without your authorization `or .permission, has gained possession of a Card or has learned other identifying characteristics about you such as your personal identification number, Account number or social security number. Electronic Notices to You. We may offer'you the oppo[tunity tp receive certain notices from us electtonically rather than through the mail, including monthly billing statements and change of terms notices. The -terms and conditions for receiving these electronic communications will be described in the offer Notices -Changes to Yourlnformation. If you change your e-mail addresi, mailing address or telephone number you must notify us of your new address pr telephone .number within to days: You can notify us by telephoning 1-800-DISCOVER (1-800-347-2683) or by writing Discover, PO Box 30943, Salt Lake CRy, UT 84130-0943.If your Account is a joint Account, any notice we-mail to an address you have provided for the Account will serve asnotice to both Cardmem6ers. CLAIMS AND DISPUTES Merchant Disputes. We are not responsible for Elie refusal pf anyone to accept or honor's Card or td accept checks that we have provided you. It a merchant fails to provide your purchase to your satisfaction and you 1D- request a credit to your Account, we will investigate the dispute. If we resolve the dispute inyour favor, we will issue a credit to your Account and you will be deemed to have assigned to us your claim against the merchant andlor any third party for the credited amount. Upon our request, you agree to provide us with written evidence of such assignment. Claim Notices. In the event that you or we have a claim that arises from or relates to your Account, any prior account you had with us, your application, the relationships which result from your Account or the enforceability of the Agreement or any prior agreement, before initiating, .Joining or participating m any judicial or arbitrafion proceeding, as either an individual litigant or member of a class ("Proceeding"), the complaining party shall give the other party: (1) @ written notice of the claim ("Claim Notice"), at least 15 days before initiating any Proceeding, ezplaining in 'reasonable detail the nature of the claim and any supporting facts; and (2) a reasonable good faith opportunity to resolve the claim without the 'necessity of a Proceeding. This includes any claims involving our parent corporation, subsidiaries, affiliates (including, ,without limitation,. DFS Services LLC), predecessors, successors, assigns, as well as the officers, .directors and employees of each of these entities. Any Claim Notice shall be cent to us at Discover, PO Box 3024, New Albany, OH 43054 (or such other .address as we shall subsequently provide to you) (the "Claim Notice Address") or to you at your address appearing in our records or, if you. are. represented by counsel, to your attorney at your attorney's office. Arbitration of Disputes. Agreement to arbitrate. In the event of any past, I present or future claim or dispute (whether. based upon. contrail, tort, 'statute, common law or equity) between you and us arising from or 'relating to your Account, any prior account you have had with us, ybur '..,.application, the relationships which result from your Account or the enforceability or scope of this arbitration provision, of the Agreementbr of 'any prior agreement, you or we may eledto resolve the claim ordispute by binding arbitration: IF EITHER YOU OR WE ELECT ARBITRATION, NEITHER YOU NOR 1NE SHALL HAVE THE RIGHT TO LITIGATE THAT CLAIM IN COURT OR TO HAVE A JURY TRIAL ON THAT {LAIM. PRE-HEARING DISCOVERY RIGHTS AND POST-HEARING APPEAL RIGHTS WILL BE LIMITED. NEITHER 'YOU NOR WE SHALL BE ENTITLED TO JOIN OR CONSOLIDATE CLAIMS IN ARBITRATION BY OR AGAINST OTFIER {ARDMEMBERS WITH RESPECT TO -OTHER ACCOUNTS, OR LITIGATE IN COURT OR ARBITRATE ANY CLAIMS A5 A REPRESENTATIVE OR MEMBER OF A CLASS OR IN A PRIVATE ATTORNEY GENERAL CAPACITY {"{lass Action Waiver"): Notwithstanding anything else to!the contrary in this arbitration provision„ only a court, and not an arbitrator, sliall determine the validity and effect of the Class Action Waiver. Even if all parties have opted to litigate a claim in' 'court, you or we may elect arbitration with respell to any claim made by a new party or any new claims later asserted in that lawsuit and nothing undertaken therein shall constitute a waiver of any rights under, this. arbitration provision. We will not invoke our right to arbitrate an indimdual claim you bring in small daims court or your state's equivalent court, if any, unless such action is transferred, removed or appealed to a different cdurt. _Governing Law and Rules. Your Account involves interstate commerce and this provision shallbe governed by the Federal Arbitration Act (FAA). The. arbitration shall be conducted, atthe option of whoever filesthe arbitration claim, by either the American Arbitration Assdciation (AAA) or LAMS in accprdance with their procedures in effect when the claim is filed. For a copy of their procedures, to file a daim or for other information,.contact AAA at 335. Madison Ave.,. Floor 10, New York, NY 10017-5905, - 1 t - 12/15!09 1:36:42 PM 10~CM0_0260K_TL22AG0210_01361 _reader.indd 13-14 wvvw.adr.prg (phone 1-800-778-7879) or JAMS at 620 Eighth Ave., Floor 34, New York, NY 10018, www.jamsadr.com.(phone t-800-352-5267). No other arbitration forum will be permitted, except as agreed to pursuant to either the Changes to this Agreement secion or a writing signed by both Parties.. If neither AAA nor JAMS is able or willing to serve as the arbitration administrator and we and you are unable to agree on a replacement administrator or arbitrato, then a court of competent jurisdiction will appoint an administrator or arbitrator or arbitrators (in the case of an appeal to a panel of three arbitrators as described below). Unless consented to by all partes, no arbitration may be adminirtered by any administrator or arbitrated by any arbitrator that has any formal or informal polity, rule or procedure that is inconsistent with or purports to overritle the terms of this section. If we elett to resolve a claim or dispute by binding arbitration and the arbitrator issues an award in your favor on a claim or claims with respell to which you would not otherwise be entitled to recover your arbitration filing, administrative and hearing fees, reasonable attorneys' ' fees and(dr other arbitration costs, we will be responsible for paying or reimbursing such costs and fees if awarded by the arbitrator. Fees and Costs. At your written request, +n1e will advance any arbitration filing, administrative and hearing fees which you would be, requved to pay to pursue a claim ordispute as a result of our electing to arbitrate that claim or dispute: Send requests to Discover, PO Box 30421, Salt Lake City,.UT 84130-0421. The arbitrator will decide who will ultimately be responsible .for paying those fees. You will only be responsible for paying or reimbursing our arbitration filing, administrative or hearing fees to the extent you would have been responsible for paying "attorneys' fees and court or other collection torts" had the action proceeded in cpurt•dn no event will you be required. to pay any fees or costs incurred by us iii connection with an :arbitration proceeding where such a payment or reimbursement is. prohibited by applicable law. Hearings and Decisions.. Any arbitration hearing will take place in tile. federal judicial district where you reside. The arbitrator shall follow .applicable substahtive law to the. extent consirteht with the FAA and. applicable statutes of Jimitations arid shall honor claims of privilege. recognized at law and shall be authorized to award all. remedies permitted by the substantive laws that would. apply if the action were pending in court. 1f requested by any party, the arbitrator shall write an opinion containing the reasons for the award. The arbitrator's decision will be final and binding except for any appeal rights underthelFAA and except that if the amount iii controversy exceeds $100,000, any party may appeal the award within 30 days to a three•arbltrator panel, which shall review he award de novo. Unless applicable law provides. otherwise, the appealing party will pay the cost of the appeal, regardless of its outcome.. However, `we will consider fn good faith any reasonable request for us to bear the fees charged by the arbitration administrator and the arbitrators in connection with the appeal Judgment upon any award by qhe arbitrator may be enforced in any court having jurisdiction, Other Benefidaries of this Provision. Our rights and obligations under this arbitration provision shall inure to the benefit of and be binding upon our ..parent corporations,. subsidiaries, affiliates (iriduding, without limdation, DFS Services LLC), predecessors, successors, assigns, as well as the officers, directors and employees of each of these entities, and will also inure to the ' benefit of any third party named @s a co-defendant with us or with any of the foregoing in a Balm which is subJ'ed to this arbitration provision. Your rights and obligations under this arbitration provision shall inure to the 12- benefit of and be binding upon all persons contractually liable under this Agreement and all Authorized Users of the Account. Survival of this Provision. This arbitration provision shall survive termination of your Account as well as voluntary payment in full by you, any legal proceedings.by us to collect a debt owed by you, any bankruptcy by you and any sale by us of your Account. Right to .Reject Arbitration. 'You may reject the Arbitration of Disputes section by providing us a notice of refection within 30 days after recewing a Card, at the following address Drscover, PO' Box 30938, Salt Lake City, UT 84130-0938. If you were previously subject to arbitration with respect to any account with us, this right to reject arbdration will not apply. to you. Your refection notice must include your name, address, telephone number, Account number and signature' aril must not be serif with any' other corresppndence. Calling us to indicate that you reject the Arbitration: of Disputes section or sending a rejection notice in a manner or format that does not comply with all appllcable requirements is insufficient hotice. In order to process your notice, we require that the notice be provided by you directly and not through a third party, Rejection of arbitration will not affect your other rights or responsib11rt1es under this Agreement or your. obligation to arbitrate disputes under any other account as to which you and we have agteed to arbitrate disputes. If you do not send a rejection notice, you will be obligated by the Arbitration of Disputes sectioh with respect to this and any prior account you have had with us; even if yoq have previously sent a rejettlon notce with respell to that prior account. LEGAL INTERPRETATION bf THIS AGREEMENT Severability. If any part of this Agreement becomes unenforceable, it will not make any other part unenforceable, except that if the Class Action Waiver set forth above to the Arbitration of Disputes section is invalidated in any proceeding in which you :and we are involved, then the. Arbitration of Disputes section will be void with respell to that proceeding. Compliance with Interest Rate Limitations. We intend that this A reement will comply with applicable interest rate limitations. You will not be required tq pay Finance Charges or othef char es at a rate that is greater '.than the maximum amount permitted by law. If it is ever finally determined that, but for this section, the Finance Charges or other charges under this Agreement would exceed the maximum lawful, .amount, the Finance Charges and other charges will be reduced to the maximum lawful amount. Any excess amount that you have already paid will be used to reduce the outstandih~ balance of your Account or w111 be refunded to yqu by means of a ched< 1n our discretion. Governing Caw. This: Agreement and any claim or dispute arising out of this Agreement will be governed by applicable federal law and, to the extent state law applies, Delaware law.. ASSIGNMENT OF ACCOUIJ7 Vde may sell,, assign or transfer your Account or any portion thereof without notice to you: You may not sell, assign or transfer your Attount without first obtaining our prior written consent. PRIVACY POLICY We are required by federal law to provide you with a copy of our Privary Policy each year.. If yod have prevlpuslynotified us about your privary preferences, as described in Section 4, it 1s not necessary to do so again unless you decide to change your preferences. -13- 12!15/09 1:36:43 PM i000M0 02aOK_TL22AG0210 01361 reatler.lndd 15-16 We Respect Your Privacy Our mission is to provide you with superior products and services, along with the peace of mind knowing thatthe seturity ofyour personal information is our tdp priorityy, We understand your concerhs about guarding information about you ahd your Account. We want to assure you that we have taken steps, and will continue to take steps, to safeguard that information. This Privacy Polity describes our efforts to meet these objectives: It includes a summary of Elie following important information: • A listing of the personal information we collect; • The circumstances in which we may share information with others; • The ways we safeguard the confidentiality and security of information; and • The steps you may take to limit our sharing of such information with others. See Section 4 for cpmplete details. Please read our Privary Polity carefully. It will help you understand flow we Collett and share information. 1. What Personal Information Do We Collel3? To serve you better and manage our business, it is important thatwe tolled and maintain auurate personal information about you. We obtain this 'nformation from applications and other forms you submitto us; from your dealings with us and others, from consumer reporting agencies, and from other sources, such as.our Web sites. For example: • We may obtain information such as your name, address and date of birth from applications and otherforms you submitto us. • We may obtain information such as Account balances, payment history, your use of your Account and the types of services you prefer from your transactions and other dealings with us and others.. • We may obtain information such as the balances ofyour loans with other lenders and your payment history with others from consumer reporting agehcies. r We may obtain information such as your Internet service provider, your e-mail address, your computer's operating system and Web browser, your Web site use and your product and service preferences from your visits to Web sites. 2. Is Personal Information Shared with Others? We limit the sharing of information with others:. Many of the offers you receive for products and services are provided directly to you from us. For example, a'retailer that accepts the Discdvef®Card'may come to us with a special offer for Cafdmembers, suth as a discount certificate or product upgrade, After careful consideration of the nature of the offer and the compahy, we will create a list of Cardmembers who may be interested in the offer based on certain characteristics. We will send the offer directly to those Cardmembers on behalf of the retailer by, for example, including an insert in their monthlybilling statement or: mailing the offzr ourselves. We control the information used to make the offer; we do not share the hstbr anyihformatioh about our Cardmembers with the retailer. However, please understand that ifyou do receive thistype of offer from us and choose to take advantage of it, the retailer may,then learn information about you because only Cardmembers with certain diaratteristics received the dffer, Theie are, however, circumstances ih which we may share the information we tolled ab'dut you, as described in Section 1, with other companies in prder to provide you with access to products and services and to service your Account effectively, as detailed below. We require these companies to adhere to our privacy4andards and to.iise this information only for the -14' limited purpose for which it was shared. We do not allow them to disclose it to others without our prior approval a. Sharing Personal Information with Our Corporate Family Our corporate family offers a variety of products and services that can help you manage your finances. In order to provide you with access to these products and services, we mayshare the information we collect about you, as desuibed in Section 1, with other members of our corporate family. These companies include financial service providers that offer credit protection, card servicing and payment processing services: b.5haring Personal Information ,with NdmAffiliated Parties for Marketing Purposes We may share the informatidnwe collect about you, as described in Section 1, with non-affiliated third partres, including those that accept the Discover Card, in order to provide you with access to products and services offered directly by these companies that may be of value to you: These companies include financial service providers, such as insurance companies, and nhn- financial companies, such as retailers: c. Sharing Personal Information with Others We may share the information we Collect about you, as described in Section 1, with companies that perform support or marketing services on our behalf, such as mailing, market research and data processing; other financial institutions with whKh wie have loins marketing agreements; or companies that are our partners for eo-brand credit card programs or reward programs. We may also share such information as permitted bylaw. 3. How Do We Protect. the Confidentiality, Security and Integrity of Information about You?' r We';maintain physical, electronic and procedural safeguards to protect the information we collect about you. Access to such information is restricted to individuals who need it in order to service your Account or provide products and services to you, and "who are trained in the proper handling of such information. Employees who violate these confidentiality requirements are subject to our disaphnary proKess. Where third. parties provide support services, we require them to conform to our privacy standards. It is importantthat the informa~wn we maintain about you is accurate and complete. If you see information in your monthly billing statements or elsewhere which suggests that our information: is incomplete or inaccurate, please write to us at Drscover, PO Box 30943, Salt lake Cfty, UT 84130-0943 so 4hat we can update thisinformation. 4. How Can You Limit Sharing of Information About You? We respect your privary and offer you choices as fo. whether we may share information about you with others. You have the option to tell us not to share the information we Collett about you, as described in Section 1; with non- affiliated third parties. You also have the option to tell us not to share the information we collect about',you, as described in Section 1, with companies in our corporate family. If you indicate a preferende for either of these options, please understand that you may not receive offers for products and services provided by other cotnpames that could help you lower your costs, maximize your financal resources, or manage your finances. To'indicate your preferences, please .Drscover, PO Box 3096LSalt Lak previously notified us aboutyour pri do'so again unless you degde to c request should include your name, ad number(s) and should not be sent wi y call us at 1-800-225-5202 or write to e Gty, U7 84130-0961 ff you have vacy preferences, it is not necessary to hange your preferences. Your written dress, telephone'humber and Aaount than other correspondence: Inorder -t5- - 12/15/09 1:36:43 PM tODOMO_02BOK_TL22AG0210_01361 readecindd 77-18 to process your request, we require that the request be provided by you directlyand not through a third party. You will need to prowde us with your preferences for :each credit card account you have with us. .You may notify us about your preferences at any time. Your request will remain in effect until you notify us otherwise. We will honor your request and not share this information except as permitted by law. For example, federal law permits us to share information about you with consumer reporting agencies, service providers and financial institutions with which we have ldmt marketing agreements. Ifyou are a new Cardmember, we will not share any information about you, except as permitted bylaw, for thirty days'aftei we provide this Policy to you in order to give you an opportunity to inform us about your preference;., If you are an existing Cardmember, " please understand that you. may continue to receive marketing offers directly from other companies that were already in productwn prior to the processing of your request. This Privary Polity is provided to the primary Cardmember listed on the Account However, any loirit Cardmember has the right to notify us about preferences and we will treat that request as applying to the entire Account. We do not share information about former customers, except as permitted. by law. This notification supersedes all previously issued Privacy Policies. We reserve the right to amend this Privary Policy from time to time and vve will notify you, if we do so: This Privacy Policy is provided to you by Di:xover Bank and its subsidiaries, which Currently include GTC Insurance Agency, Inc. and Discover Products Inc. Unles3 otherwise specified, it applies to the family of Discover Cards for consumers and the'products and services offered in connection with those Cards, irduding thie Wallet Protection. card registration service (with the exception of any information registered in connectioh with the service, which will not'be shared). it is part of your Cardmember Agreement ahd provides a further explanation of how we collect and share information: You may have other rights under state law> that apply to this information. Please note that you will also receive Privary notices for other credit card accounts you have with usl as well as othe financial products and services provided to you by us and our affiliates, You will need to indicate your preferences for each of these separately as disclosed in the notice. Vermont Residents -Your state law requires financial institutions to obtain your.conserit prior to sharing information about you with others. Except,as permitted 6y law, we will not share information we tolled about you with non-affiliated third parties or companies in our corporate family unless you call usat 1.800-.DISCOVER (1-800-347-2683} and authorize us to do so. Califbrhia Residents-Your state law requires financial institutions fo obtain your consent prior to sharing information.. about you with non-affiliated third parties. Except;as permitted bylaw, we will not share information we tolled about you with non'-affiliated third parties while you are a resident of'Califomia.. I Your Billing Flights KEEP THIS NOTICE FOR FUTURE USE, This notice contains important information about your rights and our responsibilities uhder theFair Credit Billihy Ad. 1. Notify Us iri Case of Errors. or Questions About Ydur Bill If you think your bill is wrong or if you need more information about a transaction ohyour bill, write us on a separate sheet of paper at the address listed on your bill for Notice of Billing Errors. Write toes as soon as possible. We must'hearfrom you noiater than 60 days after we sent you the first bill 16- 10DCM0_02BOK_TL22AG0210_01361 _readecindd 19-20 on which the error or problem appeared. You can telephone us, but doing so will riot preserve your rights. In your letter, give us the following information: • your name and Account number. • your dollar amount of the suspected error. • describe the error and explain, if yqu can, why you believe there iron error. If you need more information, describe the item you are not sure.about If you have authorized us to pay your credit card bill automatically from your savings or checkingaccount, you censtop the payment on any amount you think is wrong. To stop the payment, your letter must reach us three business days before the automatic payment is scheduled to occur. 2. Your Rights and Our Responsibilities After We Receive Your Written Notice We must acknowledge your letter within30 days,. unless we have Corrected the error by then. Within 90 days, we must ether correct the error or explain why we believe the bill was correct. After we receive your letter, we Cannot try to tolled any amount you. question or report you as delinquent. We can continue to bill you for the amount you question, inducting finance charges and we tarn apply any unpaid amount against your Account creditlimit. You do not Have to pay any questioned amount while we are'nvestigating, but you .are still'. obligated to pay the parts of your bill that are not m question. If we find that we made a mistake on your bill, you will not have to pay any finance charges related to any questioned amount. If we didh't make a mistake, you. may have to paythe finance charges, and you will have to make up any missed payments on the questioned amount. In either case, we will' send you a statement of the amount you;owe and the date that it is due. If you fail to pay the amount that we think you owe, we may report you as delinqquent. However, if our explanation does not satisfy you and you write us withinteh days telling us that you still ref use td pay, we must tell anyone. we report you tq that you have a question about your bill. And, we must tellyouthe name of anyone we reported you to: We must tell anyonelwe report you to that the matter has been settled between us when it finally is. If we don't follow these rules, we can't collect the first $50 of the questioned amount, even if your bill was correct: 3. Special Rule for CreditYerd Purchases If you have a problem with the quality, of goods orservices that you purchased with a credit Lard, and you tried in good faith to correct the problem. with tfte merchant, you mby' have the right not to pay the remaining amount:due on the ggods or services: There are two limitations on his right; (a) you must have made the purchase in'your home state or, if npt within your home state, within 100 miles of ydurcurrent mailing address; and (b) the purchase price must have been more than $50. These limitatiohs do not apply if we own or operate the merchant or if we mailed you the advertisement for the'goods or services. 4. Purchases Made with Checks or Cash Advances The Special Rule for Credit Card Purchases does not apply to-purchases made with a balance transfer theck,tash advance or promotional purchase check. Therefore, if you have z proolem with the quality df goods or services that yyou purchased with a balance transfer check, promotional purchase Check, cash advance check. or the proceeds of a cash advance, you do not have the right to:withho{dpayment of the amount due. -17- 12/75/09 1:36:43 PM DESCRIPTION OF COVERAGE SCHEDULED AIR TRAVEL ACCIDENT INSURANCE Discover® Cardmembers are provided with $500,D00 Scheduled Air Travel Accident Insurance.* You, your Spouse, Domestic Partner or eligible Dependent Children for whom a ticket was purchased on your Card (as defined below) will be automatically insured against Accidental Loss of Life arising from and occurring on a Covered Trip while you, your Spouse, Ddmestic Partner or eligible Dependent Children for whom a ticket was ourchased on your Card are riding as a passenger in or entering, exiting or being rtruck by,a Scheduled Aircraft or a conveyance operated by a military transport service or riding as a passenger in or entering or exiting any conveyance licensed to carry the public for a fee and while traveling directly to or from the airport immediately preceding the departure ofa Sceheduled Aircraft on which the Insured Person has purchased passage and immediately 'allo~.Ning ~ ~ a'rr!val,ri a Schedule Au-raft ^n .:which the Insured Person :NaS a passenger. *Coverage is underwritten by Federal Insurahce Company, a member insurer of the Cliubb Group of Insurance Companies. Certain limitations and'exdusions apply.... PLAN FEATURES THE BENEFITS: The full Benefit Amount ($500,000) is payable for Accidental Loss of life. The Loss must occur within one year of the Accident: .MAXIMUM UMIT OF INSURANCE: if more than one Insured Persoh suffers a Loss in .the same Accident, the. Company will. not pay more than the maximum limit of :insurance. ($20;000,000) per Accident. If an Accident results in Benefit Amounts becoming payable, which when totaled, exceed the applicable'. limit of insurance shown above, the maximum limit of insurance will 6e divided proportionally among the Insured Persons, based on each applicable Benefit Amount. In the event of multiple Accidental deaths per Account arising from any one Accident, the Company's liability for all such Losses will be limited to a maximum limit of insurance equal to twb'times the apppliable Benefit Amount for loss of Life. Benefits will be roportionately divided among the Insured Persons up to the maximum Pmil of insurance. DEfINfF10NS: Accident or Accidental means a sudden, unforeseen and unexpected event happening by, chance, and incudes unavoidable exposure to elements arising from a ;covered Hazard. Accidental Bodily Iniurv(ies) means bodily injury which is Auidental, is the dirart a'nurce of a Loss. isindependent of disease,lllness or other cause and occurs while this policy is in force. Attount means a Card account. Benefit Amount means the loss amount at the time the entire cost of the passenger fare is charged to an Account. Card means th!e Discover Card. Cardmember means the holder of the Card whose name appears on the credit card.. Coin an means the federal Insurance Company. Covered Trip means travel on a Scheduled Aircraft when the entire cost of the passenger; fare for such irarisportation, less redeemable certificates; vouchers or coupons has been charged to the Insured Person's Account. De entlent Child or Children means those children, including adopted chi dren and those children placed for adoption, who are primarily dependent wpbs the Insured Person for maintenance and support and who -18- SODCMO_020014 I TL22AG0210_01361 _readersndd 21-22 are: (1) underthe age of 19 and reside with the Insured Person; (Zj beyond the agge of 19, permanently mentally or physically challenged and incapable ofself support; or (3) under the age of 25 and dassrfied as full-time students at an institution of higherlearning. Domestic Partner means a person who: (1) is at least 18 years of age and competent to enter into a contract; {Z) is not related to the Insured Person by blood; (3) has exclusively lived with the Insured Person for at least one year priorto the date of enrollment; (4) is not legally married or separated; and (5) as of the date of enrollment, has'with the Insured Person at least two of the folldwing financial arrangements: (a) a joint mortgage or lease; (b) a joint bank account; (c) joint title to or ownership of a motor vehide or status as a joint lessee on a motor vehicle lease; or (d) a joint credit Lard account with a financial institution. Neither the Insured Person. nor the. DpmesticPartner can be married to, riot in a civil union with, anyone else: Hazard means ?he covered circumstances for which this insurance is .provided as stated m Section Ili of the Declarations, Hazards, and aescribed in the Hazards form, as described on page 1 of this Description of Coverage. Insured Persommeans all Cardmembers, their spouses, Domestic Partners. and Dependent Children, as well as authorized users of the Account. Loss means the'Loss of Life. .Loss of Life means death, including clinical death'determined by the local. .governing medical authorities. Polickholder means DFS Services LLC, the entity responsible for the payment of premium.. , Scheduled Aircraft means. an aircraft owned and/or operated by a Scheduled Airline. Scheduled Airline means an airline which is either of United States registry and certified by the United States government to carry passengers, on a regularly scheduled basis or of foreign register and approved by the United States government and the appropriate foreign authority. War means hostilities following a declaration of War by a government authority. If there is rid declaration df War, then (1) armed, open and continuous hostilities between two countries or (Z) armed, open and continuous hostilities between two factions, each in control of tetntory or claiming jurisdiction over the site of the area of hostility DISAPPEARANCE BENEFITS: If the Insured`'Person has not been found within one year of the disappearance, stranding; sinking, wrecking or breakdown of any Scheduled Aircraft or conveyance in which the Insured Person was covered as an occupant, it will be assumed, subjectto all other'terms of the: polity; that the Insured Person has suffered Loss of Life covered dhder this polity. EXPOSURE BENEFTS: Accident includes tinavoida6le exposure to''elements arising from a covered Hazard. ELIGIBILITY: This insurance plan is provided to Insured Persoris,automatically when the entire cast of he passenger fare(s) on a Scheduled Airline is charged to the Cardmember's Accountwhile the'insurance'is effective. It is not necessary for you to notify the Policyholder or the Company when Scheduled Airline ticket are purchased. EFFECTIVE DATES: Your insurance under this insurance plan is effective on the later of: 1) April 1, 2007; or Z) the date you become an .eligible Cardmember: Your insurance coverage under this insurance plan. wilt cease on the earlier of: (1) the-date the insurance cdverage is terminated; or (Z) the date you cease td be an eligible Cardmember. 19- 1 Z15l09 1:36:44 PM COST: This insurance plan is provided at r1o additional cost to eligible Insured Persons for Covered Trips. Poliryholder pays the full cost of the insurance. THE BENEFICIARYt The Loss of Life benefit will be paid to the beneficiary designated b you. If no such designation has been made, that benefit will be paid to the first surviving. beneficiary in the following order: a) your spouse; b) your children; c) your parents d) your brothers and sisters, e) your estate. All otherindemnitieswill bepaid toyou. If you wish to change your beneficiary, you may request a beneficiary Designation form by wntrng to the plan'adntinistrator at: The Direct Marketing Group, Inc., 13265 Bedford Avenue, Omaha, NE 68164 or at 8eneficiaryrequest~TheDirectMG.com. EXCLUSIONS: This. insurance plan does not cover Loss resulting from:. (1) an Accident: occurring while an Insured Person is in, entering, or exiting anyy aircraft owned, leased or operated by this Policyholder or any arrcraft owned, leased or operated by an employee of the Poliryholder on behalf of the Policyholder (this exclusion does not apply to aircraft chartered with pilot or crew on one time charter basis), (2'1 an accident while an Insured Person is in, entering, or exiting any aircraft while ailing or training as a pilot, or crew member (this exclusion does not apply to passengers who temporarily perform pilot or crewfunctions in a life threatening emergenry); (3) emotional trauma, mental or physical illness, disease, pregnanry, childbirth or miscarriage, bacterial or viral mfedion, or bodily malfunctions (except bacterial infeRion caused by an Accident or from Accidental consumption of a substance.- contaminated by bacteria); (4) suicide, attempted suicide or Loss that is intentionally self-inflicted; or (5) declared or undeclared War. CLAIM NOTICE: Written claim notice must be given to the Company within 90 days after the occurrence of any Loss covered by this pohry or as soon as reasonably possible. Failure to give notice within90 days will not invalidate or reduce any otherwise valid claim if notice is given as soon as reasonably possible:.. CLAIM FORINS: When the Company receives notice of a claim, the Company :will send you forms fay giving proof of Loss to us within 15 days. If you do not receive the farms, you should send the Company a "written description of the Loss. CLAIM ;PROOF OF sLOSS: Complete proof of Lass must be given to Company within 90 days after the date of Loss, or as soon as reasonably possible, Failure to give complete proof of Loss within these time frames will not invalidate any otherwise valld dafm if notice is given as soon as reasonably possible and in no event later than one year after. the deadline to submit.complete proof of Loss. CLAIM PAYMENT; The Company will pay you or your beneficiary. the applicable Benefit Amount within 60 days after complete proof of Loss is received and if you, the Policyholder. and/or the benefiaary have i complied with al! the terms of the policy. ARBITRATION: In the event of a dispute under this policy, either the Company or the Insured Person may make a written demand for arbitration. In that case, the Company and the Insured Person will each select an arbitrator. The two'arbitrators will select a third. If they cannot agree within 15 days; either the Company or the Insured Person may request that She chore of arbitrator be submitted to the American Arbdration Association. The arbitration vdill be held in the state of the Insured'Person's prihcipal residence. IF YOU NAVE ANY .CLAIM RELATED QGJESTIONS, PLEASE CALL THE 20 10DCM0 02BOK_TL22AG0210_01361_reader.indd 23-24 CLAIMS SERVICE CENTER AT 1-800-CLAIMS-0 {1-800.252-4670). You can also go to the Company Web site (www.chubb.com), click on Report a Loss, select Aaident, Benefits and Life claims, select the appropriate form, print out the claim form, fill out and mail. You can file a claim by mail or fax. Mailing Address: CLAIMS SERVIC~CENTERANCE COMPANIES fi00 INDEPENDENCE PARKWAY PO BOX 4700 CHESAPEAKE, VA 23327.4700 Fax Namber: 1$00-300-2538 As a handy reference guide, please read this and keep ifin a safe place with your other insurance documents. This. description of coverage 1s not a contrail of insurance but is a summary of the principal provisions of the insurance while in effect. Complete policy provisions are contained in the Master Policy, which can be obtained from the Poliryholder:. Policy #9906-18-06 Polity Underwritten By Plan Administrator Federal Insurance Company The Direct Marketing Group, Inc. a member insurerof the 13265 Bedford Avehue Chubh Group of Insurance Companies Omaha, NE 68164 15 Mountain Vlew Road, PO Box 1615 Warren, N107061-1651 DESCRIPTION OF COVERAGE SECONDARY RENTAL CAR COLLI510N COVERAGE Discover® Cardmembers can benefit from the security and safety offered through Excess Collision Damage Waiver. If you rent a vehicle for 31 consecutive days or less (or 45 days under cou ma cube I ilible forbenefits - below) with your Card (as defined below), y y g. under this coverage. Excess Collision Damage Waiver is an insurance program, underwntten by Federal lhsurance Company Polity 1+9906-17-63 (the "Polity") DEFINITIONS: , Account means a Card account. Actual Cash Value means the cost to repair or'replace the Rented Automobile at the time of loss, less depreciation. Cardmember means the holderof the Card whose name appears on the credit card. Card means the DiscoverLzrd. Collision Damage means the direct and accidents( damage to a Rented Automobile caused by upset or collision with another obleil. Collision Damage does not include loss caused by missiles, falling ob'eds, fire, theft or larceny, explosion, earthquake; windstorm, hail, water,'1?lood, malicious mischief or vandalism, riot or civil commotion. Cam an means the federal Insurance Company. Insured means Cardmembers and authorized users of the Account. Policyholder means DPS Services LLC, the entityresponsible for the payment of premium. Rental Aaencv means a commercial automobile rental compan}~ licensed under the laws of the applicable jurisdiction. Rented Automobile means afour-whee{ed private passenger type motor vehicle of a minivan manufactured and designed to transport a maximum of seven passengers and used excursively to carry passengers. A Rented -21- 12/15/09 1:36:44 PM Automobile must be designed for travel. on public roads and rented from Rental Agenry. TO GET COVERAGE: • The Collision Damage Waiver.Coverage is provided to you, as an Insured, automatically when the entire rental fee for the Rented Automobile is charged or debited to your Account. It is not necessary for you to notify the Company at the time the rental fee is charged or debited to your Account. • You must dedine the LosslDamage Waiver offered by the vehicle Rentat • You m tst rent the vehicle in your own name and sign the vehicle rental agreement/contract. -The coverage period will not exceed 31 consecutive days, or 45 cohsecutive days rf the Insured is an employee of an organization which has provided a Card to the Insured for business use. THE KIND OF COVERAGE YOU RECEIVE: Inconsideration of the premium paid by the Policyholder as required, and subject to all the terms of the Policy, the. Company agrees to reimburse on an Actual Cash Value basis either the Insured or the Rental Agenry for repair or replacement of ttie Rented Automobile as a result of Collision Damage to the Rented Automobile. The {ompany's liability will be for a maximum reimbursement of $25,000. In no eventwtll the Company be liable beyond the amounts actually paid by the Ihsured or the Rental Agenry. • If you or an fnsured's primary vehicle insurance or other coverage has made payments for a covered loss, Excess Collision Damage Waiver will cover your deductible and any other elCgi6le amounts not covered ,6y other insurance. ` • Tfiis coverage is not all-inclusive, which means it does not cover such things as personal injury orpersonal liability: It does not rover you for any `damages to other'vehides or property. It does not cover you for any injury td any party. WH015{OVERED: , • Discover Cardmembers EXCLUDED RENTAL VEHICLES: Off-road, antique,brlimited edition motor vehicles; trucks; recreational el~rle~, -ampers; prl.,•f~ u~ueka, and ,,,~n~~uuses; limited edition motor vehicles or high value exoti4 high performance or collector type. High value motor vehicles are motor vehicles whose replacement value exceeds 850,000, and'ahtique motor vehicles are defined as any vehicle over 25 years old, or any vehicle which has not been manufactured for 10 years or more. WHEREYOU ARE COVERED: •'rn'~erage appliesto vehicles rented anywhere in the world. ~~cverage is'hot available where prohibited bylaw. WHATISNOT COVERED: l C~.erage does not appplyy'to loss resulting from the following: • Any dishonest, fraudulent or criminal act of the Insured. • Forgery by the Ihsured. Less due to war or Confiscation by authorities. Lo_s due to nuclear reaction or radioactive contamination. `he insured being intoxicated, as defined by the laws of the jurisdiction v,here the loss.. occurred; qr under the influence of any narcotic unless prescribed by a 'p'hysician. • Wse of the Rented. Automobile to carry passengers and property for hire. -22- tODCMO_02B01<_7r22AG0210_01367_reader.indd 25-26. • Use of the Rented Automobile by a person other than the one authorized to operate the Rented Automobile by the terms of the Rental Agreement. • Loss of use of the Rented Automobile. • Intentional damage to the. Rented Automobile by the Insured. Damage which is due and confined to wear and tear, freezing; mechanical or electrical breakdown or failure. • Damage to tires unless the loss iscoincident with a covered loss. • Use of the Rented Automobile in tests, races or contests. • The Rented Automobile being operated or located in any territory prohibited by the terms of the Rental Agreement. FORINSUREDS WHO ARE NEW YORK STATE RESIDENTS: To the extent that this plan provides insurance against damage to a rented motor vehicle, the following terms and conditions apply: (1) the;period of insurance coverage will not exceed 31 cbnsecutive days, or 45 Consecutive days if the Insured is an employee of an organization which has provided the Card to the Insured for business use; and (2) the insurance provided by this plan will be excess over any other valid and collectible insurance cover- ing the Rented Automobile. However, the insurance provided. under this plan may be primary if specifically provided for tinder the terms of this plan and if the following crtterta is met: (a) the Rented Automobile is rented for use outride the United States, its territories and possessions; (b) the Insured. is an employee of an organization which has provided the Card to the Insured for business use; and (c) the Rented Automobile is rented without a driveC HOW TO FILE A CLAIM UNDER EXCESS COLLISION DAMAGE WAIVER: In the event of a claim, written or verbal notice must be provided as soon as reasonably possible. IF YOU NAVE ANY CLAIM RELATED QUESTIONS, PLEASE CALL THE CLAIMS SERVICE CENTER AT 1.800•CLAIMS-0 (1-800.252-4670). You can also go to the Company Web site (wwwchubb.com),dick on Report a Loss, select Accident, Benefits and Life claims, select the appropriate form, print out the claim form, fill out and mail. You can file a claim by mail or fax: Mailing Address: CHUBB GROUP OF INSURANCE. COMPANIES CLAIMS SERVICE'CENTER' 600 INDEPENDENCE PARKWAY PO BOX 4700 CHESAPEAKE, VA 23327-4700 Fax Number: 1.800.300-2538 CLAIM PROCEDURE: TheInsured must send the Company written notice of a claim, including the Insured's name and Poliry number, within 90 days after a covered loss 'occurs: If notice cannot be given within that time, it must be given as soon as reasonablypossible. To file a sworn Proof of Loss, the Insured must send the following information to the Company or its authorized representative: • A copy. of the Account statement showing the automobile rental transaction. • A copy of the automobile rental agreement. • A copy of the police report. • A copy of the initial claim report submitted to the automobile Rental Agency. ` • A copy of the paid claim presented by the automdbileRental Agenry for the Collision Damage for which the Insured is responsible. -23- 7?J15/09 1:36:44 PM • Proof of submission of the loss to, and the results of any settlement or denial by the applicable insurance carrier(s). • If no other insurance is applicable, a notarized statement from the Insured to that effect. RemindeG Please refer to the Insurance Disclosures section. INSURANCE DISCLOSURES As a handy reference. guide, please read this document and keep it in a safe place with your other insurance documents. This Summary of {overage is .not a contrail of insurance but is simply an informative statement to eligible Insureds of the principal provisions of the insurance while in effect. Complete provisions pertaining to this plan of insurance are contained in the master. policy on file with DF5 Services LLC, herein referred to as the Policyholder. if a statement in this Summary of Coverage and any provision in tiie polity differ, the policy will govern, Policy Undenvritteh By Plan Administrator Federal Insurance Company ("Company") The Di3265 Bedforid Aver~ue Inc a member of the Chubb Groupbf Insurance'Companies Omaha, NE 68164 15 Mountain View Road, PO Box 1615 Warren, NJ 07061.1651 Master Policy Number: 9906-17-63 Effective date of benefits; Effective Aprif 1, 2007, this guide replaces all prior disclosures, program descriptions, advertising, and/or brochures by any party.! Poliryholder and Company reserve the right. to change the benefits and features of these programs at any time Cancellation: Policyholder cab cancel these benefits at any time. or choose not to renew the insurance coveragge for all authorized Cardmembers. If Poliryholder does cancel t,~ese benefits, you will be notified at least 60 days in advance. If the Company terminates, cancels, or chooses sotto renew the coverage to Poliryholder, you will be notified as soon as is practicable, Insurance benefits will still applyfor any benefits youwere eligible for pnor to fhe date of such terminations, cancellation, or non-renewal, subject to the terms and conditions of coverage. Benefits to you: These benefits apply onlyto Cardmembers whose cards are issuedby U.S. finan~~al institutions. The United States is defined as the 50 United Stater, the _~istriCt of Columbia, American Samoa, Puerto Rico, Guam and the U.S `Jirgin Islands. No' person or entity other than the Cardmember Shall Wade any legal or equitable right, remedy, or claim for in<urarir proceeds ,ndlor damages under or arising out of this coverage. These benefits dor~ot apply if your Card privileges have been cancelled. Howeder, insurancebenefits will still apply for any benefit you were eligible for,pripr to the date that your Account issuspended or cancelled subject to the terms and conditions of Coverage of your Cardmember Agreement.. Transfier of rights or benefits: No fights or benefits provided under these msuriice benefits may be assigned without the prior written consent of the Company. Misrepresentation and Fraud: Coverage of the Insured will be void if, at any tintie, the Insured has concealed or misrepresented any material fart or circumstance concerning this'coverage or the subject thereof or the interest of the Insured herein, or Lin case of any fraud or false swearing by the Insured relating thereto. Coverage for an Insured wilFbe void if, whether'before or after a loss, the Poliryholder or its subscribing organization(s) has concealed or -Z4- tODCMO 02BOK_TL22AG0210_01361 _reader.indd 27-28 misrepresented any material fad or circumstance concerning this coverage or the subject thereof or the interest of the Insured fherem, or in case of any fraud or false swearing by the Policyholder or its subscribing organization(s) relating hereto. Addition of New Insureds: All eligible persons will be automatically insured . under this Polity. Examination Under Oath: It is a condition of this insurance that the Insured and the Poliryholder, as often as may be reasonably required by the Company, will submit, and within Its power cause others to Submit, to examinations under oath and will produce for examination alf writings, books of account, bills, invoices and other vouchers, orcertified copies thereof if originals are lost; at such reasonable time and place as may be designated by the Company or its representative, and will permit extracts and copies thereof to be made. No such examination under oath, examination of documents or any other act of the Company, its employees or representatives in connection with the investigation of any loss or claim will be deemed a waiver of any defense and such ads shall be deemed to have been made or done without prejudice to the Company's liability. No Benefit to Others: This coverage will in no way indre directly or indirectly to the benefit of any insurer, person or organization or other bailee. Subrogation: It is a condition of this insurance that ifthe Company pays the Insured for a loss, it will require the Insured to assign and transferany claim or right of adios aggainst any individual, firm or corporation for such loss to the Company or subrogate or hold intrust all such rights to the extent of the amount paid. Theihsured will agree to take action as requested by the Company to enforce such rights. Upon payment by the Company to tht: Insured, the Insured agrees to direct enforcement of such' rights '0s reasonably requested by the Company and to return to the Company any recovery to the extent payment of loss has been made by the Company. Arbitration: In the event of a dispute under this polity, either the Company or the Insured may make a written demand for arbrti•aUon. In that case, the Company and the Insured will each select an arbitrator. The two arbitrators will select a third. rfthey cannotagree within 15 days, either the Company orthe Insured may request that the choice of arbitrator be submitted to the American Arbitration Association. The arbitration will be held in he state of the Insured's principal residence. GLOBAL TRAVELER'S HOTLINE TERMS AND CONDITIONS The Global Traveler's Hotline provides Cardmembers and theirfamilies,a wide range of free travel. assistance benefits. It is operated' by AXA Assistance USA, Inc. Visit Discovercard.com/travel to earn more. Eligi6ility.'YOu must be a Cardmember whose Account is m good standing, the Cardmember's spouse or dependent child traveling with' the Cardmember or an Authorized User of an Account in good stantling. Third•Party Charges. GlobaFTraveler's Hotline is not insurance, so-you wyll be responsible for all third-party fees and expenses for services requested, such as professional or medical fees. Availability of Services. Certain services may not be available in all areas. Call us at 1.800-DISCOVER (1-800-347.3683) fqr assistance or if, you have "questions about a specifirdestination; Outside the U.S., call us collect at 1.801-902.3100. While AXA Assistance will make every reasonable effort to provide the services; neither AXA Assistance nor -0iscover Bank or our respective affiliates will be liable if a service is not provided nr for any services that are provided by third parties. The services and these terms and conditions are subject to change without notice. 25 12!15109 ' 7:36:44 PM ,. EXHIBIT "C" ~,_ ~_ New Balance Minimum Payment Due i Account Number ending in 8:$6~ ~'~ ~ $0.00 $2,162.00 i Enter Amount Enclosed Below VPayment Due Date July 25, 2010 30 SDSN6A070004492 DIANE ROBERTSON 225 STETLER RD NEW CUMBERLND PA 17070-2346 Go paperless andmake youraccount information more secure with password- protected statements only you can access. Learn more at discover.cam/paperless. PO BOX 6103 Illrrrll""'~~'~~"'~®r~ll CAROL STREAM IL 60197-6103 Address,e-mail or telephone change? Itllrtllrtrrrrlllrltrlrrrlr~~rnnllllunrlltllnnrllrrlrall Go to www.Discoveocom or pant change m space above. 2D0 C)pening Date: June 20, 2010 - n,,.e. Lroa an ~nlo More Card Account Summary Account number ending in 8369 Previous Balance $13,026.39 Payments And Credits - 13,026.39 Purchases + 0,00 Balance Transfers + 0.00 Cash Advances + 0.00 Interest-Charged + 0.00 Fees Charged + 0.00 NewBalance $0.00 See ihferest Charge Calculation section following ~ transactions for detailed APR information Credit Line $10,600:00 Credit Line Available $0.00 Cash Advance Credit Line $.`!,300.00 Cash Advance Credit Line Available $0.00 Payment Information New Balance $0.00 Minimum Payment Due $2,162.00 Payment Due Date July 25, 2010 Late Payment Warning: If we do not receive your minimum payment by the date listed above, you may have to pay a late fee of up to $39.00 and your purchase APRs for new transactions may be increased up to the Penalty APR of 24.99% variable. Manage Your Accounf Online at vrrvw.Discover.com • Securely access statements and free online tools; pay bills online and track and view all transactions simply and easily • Make your money worth moreSM-find easy ways to earn and redeem cash rewards • NEW! Access your account securely through. your mobile phone I 3 Easy Ways to Contact Us Cg511baC1C BOrtUS~ ~ Anniversary Month 1: Access your account securely at www.Discoveccom 800-DISCOVER(1-800347-2583) Galll 2 5'eptember - . Please have your Discover®card available. Opening Cashback Bonus Balance $ 0.00 ' 3. Write to us at Discover, PO Box 30943, .Salt Lake City, UT 84130 New Cashback Bonus This Period - + 0 .00 -- For TDD (Telecommunications Device for the Deaf]. Cashback Bonus Balance $ 0.00 assistance; please call 1-800-347.7449. To learn more, log in al www.Discover.com and select Rewards' Transactions r Trans. Pcs - Date Payments and' Credits Jun 30 Date Jun 30 INTERNAL CHARGE-OFF $ -i 3,025.39 Fees TOTAL FEES FOR THIS PERIOD $ 0.00 9nterest Charged. -TOTAL INTEREST FOR THIS PERIOD $ 0.00 2O1 O TOtQIS Year-tO-Date TOTAL FEES CHARGED IN 2010 $ 482.51 TOTAL INTEREST CHARGED IN 2010 1,216.34 Interest Charge Calculation Your Annual Percentage Rdte (APR) is t he annual. interest rate on your account. ANNUAIL PERCENTAGE BALANCE SUBJECT TO INTEREST CHARGE Current Billing Period: l 1 days RATE (APR) INTEREST RATE $0 Purchases 19.99% V $0 $0 $0 Cash Advances 25.99°6 V = Varia6ie Rate Additional Important InForination Important Information- If there is more Than onepage to this billing siaiemenL see the back of each page for additional impormm informaiioa Continued on reverse side. DISC®VER STOCK & GRIMES, LLP By: Edward Stock, Esquire ID No.: 13657 804 West Avenue Jenkintown, PA 1046 (215-576-1900) FILED-OFFICE OF THE PROTHONOTARY 2010 NOV 18 PM 2: 31 CUMBERLAND COUNTY PENNSYLVANIA DISCOVER BANK : COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiff : CIVIL ACTION-LAW V. : DIANE L. ROBERTSON Defendant : NO. 10-7090 PRAECIPE TO DISCONTINUE ACTION PURSUANT TO Pa.R.C.P. 229(a) TO THE PROTHONOTARY: Kindly mark this action discontinued without prejudice pursuant to Pa.R.C.P. 229(a). Date: 11/16/10 EDW , TtL Attorney for Plaintiff