| Terms and Conditions
 By making a purchase from California Digital, 
                you are agreeing to the following terms and conditions.1. Payment Terms. Unless agreed to separately in writing, payment 
                is to be made in advance of shipment by authorized credit card, 
                cashiers check, or other negotiable instrument. In those cases 
                where California Digital, in its sole discretion, allows credit 
                terms, payment shall be made within thirty (30) days of shipment, 
                or on such other terms as mutually agreed. All amounts past due 
                are subject to a late charge of one and one-half percent (1 1/2 
                %) per month or eighteen percent (18%) per annum. Buyer shall 
                also pay Seller's cost of collection (including reasonable attorney's 
                fees). Seller may refuse or delay shipments if Buyer fails to 
                pay promptly any payments due to the Seller.
 
 2. Shipping. All Equipment delivered pursuant to the terms of 
                this Agreement shall be marked for shipment to your address and 
                delivered to you or your carrier F.O.B. (as defined in the Uniform 
                Commercial Code as implemented by the state of California, U.S.A.) 
                California Digital's manufacturing plant.
 
 3. Partial Shipments. Unless otherwise agreed to in writing, you 
                agree to accept partial shipments and pay for Product comprising 
                a partial shipment, net thirty (30) days after the date of California 
                Digital's invoice; provided, however, that California Digital 
                will only submit an invoice for Product that has shipped.
 
 4. Security Interest. Until the purchase price and all other charges 
                payable to California Digital have been received in full, California 
                Digital hereby retains and you hereby grant to California Digital 
                security interest in the Equipment delivered to you and any proceeds 
                therefrom.
 
 5. Restocking Charges; Cancellation Policy. You may cancel your 
                order upon written notice to California Digital up to fifteen 
                (15) days prior to scheduled shipment by paying to California 
                Digital a ten percent (10%) restocking charge. California Digital 
                will not accept cancellations within fifteen (15) days of scheduled 
                shipment. You agree that such cancellation charge represents a 
                fair and reasonable estimate of costs to California Digital related 
                to such cancellation. Orders for custom products of any nature 
                are noncancellable.
 
 6. Export. You agree to comply with all applicable laws and regulations 
                of the various states and of the United States. You hereby agree 
                that you do not intend to, and will not knowingly, without the 
                prior written approval, if required, of the Office of Export Administration 
                of the U.S. Department of Commerce or any other applicable government 
                agency, export, either directly or indirectly, any Equipment or 
                any portion of Equipment, or any software or any portion of software, 
                to any country for which such approval is required. You further 
                acknowledge that the Equipment and software may also be subject 
                to the export laws and regulations of the country in which the 
                Equipment and software is received, and that you will abide by 
                such laws and regulations. You also understand that the requirements 
                and restrictions of U.S. Law may vary depending on the Equipment 
                and software delivered and may change over time and that, to determine 
                the precise controls applicable to the Equipment and software 
                acquired, it is necessary for you to refer to the U.S. Export 
                Administration Regulations and the U.S. Foreign Assets Control 
                Regulations, or other applicable export regulations.
 
 7. Warranty for Equipment. California Digital warrants all Equipment 
                to be free from material defects in workmanship or materials for 
                a period of one (1) year from date of shipment. If at any time 
                within one (1) year after shipment the Equipment does not function 
                as warranted, return it and California Digital will repair or 
                replace it without charge. If California Digital is unable to 
                do so, California Digital will refund your money less shipping 
                costs. If, within thirty (30) days after shipment, the Equipment 
                does not function as warranted, California Digital will pay shipping 
                charges to return the Equipment to us for repair or replacement 
                (North American customers only). After thirty (30) days, you pay 
                shipping costs to return the Equipment to California Digital . 
                Equipment shipped back to you after warranty repair will be shipped 
                to you using shipping method equivalent to the method used to 
                return the Equipment to California Digital . For example, if you 
                ship Equipment to California Digital using two-day express shipping, 
                California Digital will return the repaired item to you using 
                a two-day shipping method. If any Equipment is subject to federal 
                or state consumer warranty laws, and subject to applicable law, 
                California Digital's statement of limited warranty included with 
                the Equipment applies in place of these warranties. Misuse, accident, 
                modification, unsuitable physical or operating environment, improper 
                maintenance by you or failure caused by an item for which California 
                Digital is not responsible may void these warranties. THIS WARRANTY 
                REPLACES ANY OTHER WARRANTY, AND California Digital MAKES NO OTHER 
                WARRANTY, EXPRESS OR IMPLIED, INCLUDING ANY IMPLIED WARRANTIES 
                OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.
 
 8. No Warranty for Software. California Digital systems may include 
                software that is licensed free of charge. Such software is provided 
                under the terms of the Open Source compliant license, or other 
                third party license, which governs its distribution, copying and 
                modification, and is provided by California Digital on an "AS 
                IS" basis, without warranty of any kind, either expressed 
                or implied, including, but not limited to the implied warranties 
                of merchantability and fitness for a particular purpose, to the 
                extent permitted by applicable law. The entire risk as the quality 
                and performance of the software is with you. Should the software 
                prove defective, you assume the cost of all necessary servicing, 
                repair or correction. IN NO EVENT UNLESS REQUIRED BY APPLICABLE 
                LAW WILL California Digital BE LIABLE TO YOU FOR DAMAGES, INCLUDING 
                ANY GENERAL, SPECIAL, INDIRECT, INCIDENTAL OR CONSEQUENTIAL DAMAGES 
                ARISING OUT OF THE USE OR INABILITY TO USE THE SOFTWARE (INCLUDING 
                BUT NOT LIMITED TO LOSS OF DATA OR DATA BEING RENDERED INACCURATE 
                OF LOSSES SUSTAINED BY YOU OR THIRD PARTIES OR A FAILURE OF THE 
                SOFTWARE TO OPERATE WITH ANY OTHER SOFTWARES), EVEN IF SUCH HOLDER 
                OR OTHER PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.
 
 9. Limitation of Liability. If California Digital defaults, or 
                because of other liability you are entitled to recover damages 
                from California Digital, then, regardless of the basis on which 
                you are entitled to claim damages, California Digital is only 
                liable for the amount of any actual loss or damage up to the charges 
                for the Equipment that is the subject of the claim. This limit 
                also applies to any subcontractor, reseller, programmer, or developer 
                as the maximum for which we are collectively responsible. UNDER 
                NO CIRCUMSTANCES IS California Digital LIABLE FOR THIRD-PARTY 
                CLAIMS AGAINST YOU FOR LOSSES OR DAMAGES; LOSS OF OR DAMAGE TO 
                YOUR RECORDS OR DATA; OR CONSEQUENTIAL DAMAGES (INCLUDING LOST 
                PROFITS OR SAVINGS), SPECIAL, INDIRECT OR INCIDENTAL DAMAGES, 
                EVEN IF California Digital HAS BEEN ADVISED OF THE POSSIBILITY 
                OF SUCH DAMAGES.
 
 10. Applications with Inherent High Risk. You acknowledge that 
                Product is not specifically designed, manufactured or intended 
                for use in applications that are inherently high risk, such as 
                those connected with the design, construction, maintenance, and/or 
                operation of any (i) nuclear facility, (ii) aircraft, aircraft 
                communication or aircraft ground support system, or (iii) life 
                support system. Except as otherwise provided herein, California 
                Digital will not be liable to you or any third party, in whole 
                or in part, for any claims or damages arising from such use, and 
                you agree to indemnify, defend (with counsel approved in writing 
                in advance by California Digital) and hold California Digital 
                harmless against any claims for cost, damage, expense (including 
                reasonable attorneys' fees) or liability arising out of or in 
                connection with any such use.
 
 11. Assignment. You may not assign your rights, duties or obligations 
                hereunder without the prior written permission of California Digital; 
                any attempt to make such an assignment without California Digital's 
                permission will be null and void.
 
 12. Force Majeure. In no event will California Digital be liable 
                for delays or failure to fulfill its obligations hereunder arising 
                because of acts of God, fire, labor disputes of any nature, supplier 
                failure or delay, insurrection or other causes beyond the reasonable 
                control of California Digital.
 
 13. Headings. The section headings used herein are for convenience 
                of reference only and do not form a part of these terms and conditions, 
                and no construction or inference shall be derived therefrom.
 
 14. Governing Law. This Agreement and any order issued hereunder 
                shall be in all respects governed by the laws of the State of 
                California without reference to conflict of law principles. The 
                application of the United Nations Convention of Contracts for 
                the International Sale of Goods is expressly excluded. The parties 
                hereby agree that any dispute relating to the Equipment sold and 
                software provided hereunder shall be subject to the exclusive 
                personal jurisdiction and venue of the United States District 
                Court for the Northern District of California, San Jose and the 
                Superior and Municipal Courts of the State of California, Santa 
                Clara County, and the parties hereby consent to such jurisdiction 
                and venue and waive any obligations thereto.
 
 © California Digital Corporation 2005. All rights reserved.
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