Merchants assume full responsibility for economic activities in the USA
As specifically outlined in the Contractual Liability Clause explicitly stated in the Merchant Service Agreement (MSA), merchants doing business in the USA bear final responsibility to ensure that their policies and procedures meet the requirements of the laws in the United States. Clients are encouraged to seek counsel regarding compliance with federal law, state law and all applicable rules and regulations pertaining the United States of America whenever there is any doubt about compliance.
Merchants doing business in the USA represent and warrant that all entries processed by Payment21® comply with all applicable US legislation, including - without limitation - the following regulations:
1. FTC Act (15 U.S.C. §§ 41, et seq.), if applicable
2. TSR (16 C.F.R. 310, et seq.), if applicable
3. Electronic Fund Transfer Act (15 U.S.C. §§ 1601, et seq.) and Regulation E (12 C.F.R 205, et seq.), if applicable
4. Uniform Commercial Code Article 4-A, if applicable
5. Federal Reserve Board Regulation J, if applicable
6. The rules and sanctions laws of the Office of Foreign Assets and Control (“OFAC”)
7. Unlawful Internet Gambling Enforcement Act (31 U.S.C. §§ 5361, et seq.) and accompanying regulations (12 C.F.R. 233; 31 C.F.R. 132)
Clients doing business in the USA further represent and warrant that they shall not originate and/or transmit any entries that constitute unlawful Internet tobacco sales, prohibited sales of pharmaceuticals, or of any other products and services as described in the list of prohibited items/merchants.
These representations and warranties by merchants doing business in the USA shall survive termination of the MSA. Clients will indemnify Payment21® for any losses, liabilities, costs, fines or expenses suffered or incurred (including attorneys’ fees and costs) relating to, arising from or involving any breach of these representations and warranties or failure to comply with any applicable laws of the USA. Payment21® will immediately cancel the Merchant Service Agreement if Payment21® reasonably believes that the merchant is violating or has previously violated any applicable regulation or rule or is in breach of these representations and warranties.