#3400 @001 State the name of the manufacturer of the goods: @002 State the name of the person receiving the goods: @340 Describe the goods: #3401 Will the seller insure the goods: #3402/#3403 The seller will receive: A flat sum per good sold A commission of the sales price #if#3402 !341 State the flat fee per good sold: #endif #if#3403 !342 State the minimum sales price per unit: @343 State the commission rate (in numerical form): #endif #3404 @344 State the number of days between accountings: #3405 Will the funds from sales be required to be specially deposited #3406 Is this agreement for sale or return? #if#3406 @355 State the number of days allowed for return: #endif #3407/#3408 Return freight will be paid by: The manufacturer The consignment merchant #3410 #end control section #3400 /* PARAGRAPH 3400: CONSIGNMENT AGREEMENT, HEADER */ CONSIGNMENT SALES AGREEMENT @001, referred to as SELLER, and @002, referred to a CONSIGNMENT MERCHANT, agree: @001 consigns to @002 the following goods: @340 The title to the same shall remain at all times until a bona-fide sale in the owner of the consigned goods. OWNER may recall and take possession of the consigned property at any time. #3401 /* PARAGRAPH 3401: INSURANCE */ At all times that CONSIGNMENT MERCHANT has goods owned by @001 in its possession, @002 shall, and at its expense, maintain multi-peril inventory insurance in an amount equal to the value of the goods. with @001 named as a loss payee on a long form loss payable clause. Should CONSIGNMENT MERCHANT fail to maintain such coverage, @001 may obtain the same, and @002 shall upon presentation of an invoice therefor, pay for the same on sight. The maintenance of insurance is not dependent on sales. CONSIGNMENT MERCHANT shall maintain such insurance regardless of the number of sales. #3402 /* PARAGRAPH 3402: FLAT SUM DUE PER SALE */ CONSIGNMENT MERCHANT shall pay to OWNER the following sums per unit of the consigned goods sold: $ @341 (!341 Dollars) #3403 /* PARAGRAPH 3403: COMMISSION */ CONSIGNMENT MERCHANT shall sell the goods consigned to it by SELLER at a price not below the following minimums, all sales being for cash or cash equivalents: $ @342 (!342 Dollars) As compensation for sales made, CONSIGNMENT MERCHANT shall receive a commission of @343% per sale. #3404 /* PARAGRAPH 3404: PERIOD FOR SALE, ACCOUNTINGS */ CONSIGNMENT SELLER shall provide an accounting, under oath, or otherwise verified, every @344 days to OWNER, each accounting being accompanied by payment in full for all sums due. Should any sums not be paid when due, then OWNER shall have the right, but not obligation, to repossess all merchandise of OWNER's in CONSIGNMENT SELLERS possession. All sums due, but unpaid, shall bear interest at the highest legal rate applicable. CONSIGNMENT SELLER shall permit an audit by representatives of @001 of all of its books and records, together with a physical inspection of the premises and inventory of goods at such times as OWNER may desire. CONSIGNMENT seller herewith grants a lien to OWNER in the proceeds of the sales of OWNER's goods. #3405 /* PARAGRAPH 3405: TRUST */ The proceeds of the sale of the goods of owner shall be deposited in a special escrow account and shall not be commingled with the funds of @002, or the funds of others. @002 shall provide proof of compliance with this requirement by forwarding proof of said account's being opened, and shall also request that the banking institution provide to @001 a copy of each periodic bank statement directly. The funds received shall be deemed to be trust funds and shall be deemed to be held in trust and for the sole benefit of @001. @002 is authorized, provided that all accountings are timely filed and all sales proceeds have been deposited to withdraw its commission from the account. However, should any instruments accepted by @002 not be honored, @002 shall remain liable to repay the same. #3406 /* PARAGRAPH 3406: SALE OR RETURN */ This agreement is for "sale or return." CONSIGNMENT SELLER shall have @355 days from the date of delivery of the consigned goods to either sell or pay for the goods, or return the same. Should CONSIGNMENT SELLER fail to pay or return the same within such time period, then the goods shall be deemed to be purchased by CONSIGNMENT SELLER, and shall be paid for within 30 days, net. #3407 /* PARAGRAPH 3407: FREIGHT FOR RETURN, OWNER */ Freight for return shall be paid by OWNER. OWNER shall have the right to designate the carriers. #3408 /* PARAGRAPH 3408.FRM: FREIGHT FOR RETURN: CONSIGNMENT SELLER */ Freight for return shall be paid by the CONSIGNMENT SELLER. OWNER shall have the right to designate the carriers. The same shall be shipped insured for the value of the goods. #3410 /* Close -- Para 3410 */ Dated: FOR @001: _______________________________________________ FOR @002: _______________________________________________