Is this typical for online credit card processing companies... ?

The Company assumes no liability for disruptions or improper operation of its equipment or software for any reason, including, but not limited to, vandalism, theft, phone service outages, Internet disruptions, human error, extreme or sever weather conditions or any other causes in the nature of “Acts of God” or fore majeure.

The Company shall not be responsible for consequential damages or punitive or exemplary damages under any circumstances. In no case shall a Supplier be entitled to recover damages from the Company which exceed the sum of sales commissions and service fees retained by the Company under this Agreement during the six months prior to the event giving rise to the claim for damages.


Please forgive me if I am reading that wrong, but are they saying if they screw up they won't pay me back my money for the transaction they messed up? :eek:

I haven't agreed to anything yet on my account, waiting for some advise from you guys.

Originally posted by Rebel
Is this typical for online credit card processing companies... ?



Please forgive me if I am reading that wrong, but are they saying if they screw up they won't pay me back my money for the transaction they messed up? :eek:

I haven't agreed to anything yet on my account, waiting for some advise from you guys.

1) There's no "typical online credit card processing company". Each one is unique.

2) In no case shall a Supplier be entitled to recover damages from the Company which exceed the sum of sales commissions and service fees retained by the Company under this Agreement during the six months prior to the event giving rise to the claim for damages.


This means that 2CO can't be held liable for more than what they already owe you.

if it's blatent negligence or carelessness, then no TOS will protect them.

It depends on the consumer legislation that exist where they are. Generally, in real court cases, such disclaimers have proven to be ineffective to protect companies who are clearly at fault. However this requires usually existing consumer legislation. It will also not cover them if there's fraud. But in this case, I doubt it is anything of that nature.

I don't know about typical companies. But the first paragraph

The Company assumes no liability for disruptions or improper operation of its equipment or software for any reason, including, but not limited to, vandalism, theft, phone service outages, Internet disruptions, human error, extreme or sever weather conditions or any other causes in the nature of “Acts of God” or fore majeure.


is typical for any company. It's know as a Force Majeure clause which basically covers acts of God and stuff. However, human error cannot fall under this clause, and to put it as such, is unlikely to work if someone sues them because "human error" = fault of the company. So it is unlikely to cover them if someone decides to sue them regardless of what the TOS says .

the second para

The Company shall not be responsible for consequential damages or punitive or exemplary damages under any circumstances. In no case shall a Supplier be entitled to recover damages from the Company which exceed the sum of sales commissions and service fees retained by the Company under this Agreement during the six months prior to the event giving rise to the claim for damages.

is a common liability limitation clause, once again not unique to just clearing house. It's in almost all TOS usually. What it means as akash mentioned is that, even if you sue them, the maximum damages you can claim is up to how much they had managed to earn off you. In US legislation, I am sure there's many ways to get around it and sue for something more.