Terms of Use

1. Service / Scope

Fairpayo AG is a stock corporation based in Luzern, Switzerland. The purpose of Fairpayo AG (hereinafter referred to as "Fairpayo") is to establish a Fairpayo payment system in Switzerland. The payment system works through a mobile app that acts as a digital wallet for buyers and merchants. These Terms of Use regulate the use of the services offered by Fairpayo (hereinafter referred to as "Services"), in particular the use of the Fairpayo app (hereinafter referred to as "App") by entrepreneurs/providers (hereinafter referred to as "Retailers") and customers (hereinafter referred to as "Buyers"). Both Retailers and Buyers can be also referred as "Users".

Fairpayo AG is a member of VQF SRO (Financial Services Standards Association - Self-Regulatory Organisation according to the Anti-Money Laundering Act - AMLA) and follows the membership regulations.

2. References

All references in this document refer to all genders.

3. Access to the Fairpayo Services

The Fairpayo Services can be used by Users with a mobile phone registered in their name and on which the App is installed.

The services can be used with a Swiss cell phone number that is installed on an (up-to-date) iOS or Android operating system.

Due to regulatory requirements, Fairpayo cannot offer payment functions outside of Switzerland.

Each retailer/buyer may only have one virtual wallet (hereinafter referred to as "wallet").

4. Registration, authentication and account limit for buyers

Fairpayo buyers register online, via a Fairpayo app or website.

When registering, the buyer must confirm (using a SMS Pincode) that he is the owner of the phone number used and also has no other Fairpayo buyer wallet. It is not allowed to own more than one Fairpayo buyer/retailer wallet. In addition, telephone number and name entries are automatically checked. If the buyer's/retailer's phone number has changed, Fairpayo must be contacted to register the new number.

The wallet can be topped-up by the means of a bank transfer to the Fairpayo bank account or by using a credit card or a debit card (incl. Apple Pay and GooglePay).

Fairpayo can be used as means of payment only within a specific network of Fairpayo merchants.

The credit on the user's wallet does not earn any interest and is in Swiss francs only.

Certain limits apply to Fairpayo Buyers without full verification:

-- Credit can at no time be more than CHF 1'000

-- The Fairpayo Services can be used by Users with a mobile phone registered in their name and on which the App is installed.

-- No more than CHF 1,000 can be paid per transaction.

There may be other safety-related or statutory requirements/limits introduced.

Withdrawals from the Fairpayo payment system can only be made to a registered Swiss bank account in the buyer's name. However, such a withdrawal may incur a small fee.

5. Registration, identification and account limits of retailers

The registration of the Fairpayo dealer takes place via an identification during a personal meeting or via post correspondence.

The merchant must also confirm when registering the app (using SMS pincode) that he/she is the owner of the phone number used and does not have any other Fairpayo merchant wallet. The telephone number and the company name are also checked automatically. A distinction is made between legal entities (or partnerships) and sole proprietorships. If the merchant's phone number has changed, Fairpayo must be contacted to register the new number.

Fairpayo merchants without full verification have certain limits:

-- The turnover cannot exceed CHF 5,000 per month and CHF 25,000 per calendar year.

-- No more than CHF 1,000 can be accepted per transaction.

The merchants' digital wallets are protected by technical measures designed in such a way that the credit can never exceed CHF 3,000 for legal entities and CHF 2,000 for sole proprietorships.

In addition, upon receipt of a transaction that would cause the balance of the merchant wallet (which is a legal entity or partnership) to be more than CHF 2,000 (or more than CHF 1,000 for sole proprietorships), the entire wallet - Funds automatically transferred to the retailer's bank account. The merchant can also request a withdrawal of smaller balances, however, such a withdrawal may incur a fee.

The retailer's wallet balance comes exclusively from Fairpayo buyers by paying for goods or services sold. The merchant cannot use his/her Fairpayo merchant app for payments. Withdrawals of credit are only made to a Swiss bank account in the name of the Fairpayo retailer.

Unless contractually agreed otherwise, the retailer can offer its buyers Fairpayo services free of charge. In certain circumstances, Fairpayo may, at its sole discretion, allow herself to verify the retailer's identity (in writing or verbally).

If the payment is made on a registered mobile phone, Fairpayo will not carry out any further verification in order to make further payments.

The balances do not earn interest and are exclusively denominated in Swiss francs.

6. Payout and processing at merchants

The merchant is liable for any fraudulent behavior of buyers. This includes cheating and/or exploiting the system. Depending on the feedback, a retailer may be barred from offering Fairpayo services.

Any dispute between a Retailer and a Buyer involving funds arising during the provision of a Fairpayo service that cannot be resolved between the two parties must be reported to the Helpdesk immediately and promptly after the transaction. Both parties must provide sufficient information to allow Fairpayo to investigate. Fairpayo may request further information from the parties. Both parties must cooperate in good faith in clarifying the relevant circumstances.

Fairpayo monitors all transactions to ensure compliance with anti-money laundering laws and other applicable laws and regulations. Fairpayo reserves the right to terminate the service if the behavior of the buyer or retailer should lead to suspicious or fraudulent behavior. Fairpayo is responsible for reporting suspicious or fraudulent behavior to other financial institutions or to the regulator when Fairpayo is required to do so.

It is the retailer's responsibility to prevent criminal activity by an employee and, more generally, any other behavior that is inconsistent with promoting a good and loyal relationship with buyers. Fairpayo tracks every complaint or claim received from buyers and keeps a record in the form of a list. Depending on the severity of the issue or the frequency with which complaints are reported, Fairpayo reserves the right to terminate the service.

The merchant must ensure full control over the activities of its employees when providing the Fairpayo services. All transactions must take place within the business premises of the business at the registered address of the business or entity.

Retailers must ensure that all employees using Fairpayo services have been adequately trained in handling the app in accordance with these regulations. Fairpayo reserves the right to screen employees' knowledge without prior notice.

7. Payout and processing at buyers

The buyer can top up his/her wallet using different payment methods. The top up is made from the selected top-up options (4.C).

Fairpayo can be used as a means of payment only at the specific network of service providers (Fairpayo retailers) (4.D).

The buyer can also request withdrawal of deposited wallet funds (to their own Swiss bank account denominated in Swiss francs). Such a withdrawal may be subject to a fee.

8. Payment function

The buyer can use their mobile phone and their virtual wallet to make cashless payments at participating retailers. Wallet payments are debited directly from the corresponding buyer’s wallet. The retailer accepts all payments debited from the virtual wallet, subject to the appropriate security features.

9. Debit of payments

The retailer/buyer acknowledges the validity of all payments resulting from the purchase of goods and services made through a wallet. Such transactions are recorded within the Fairpayo app.

10. Cost

Installing the app is free of charge.

Use of the Fairpayo Buyer App is free for buyers. A fee of 4.8% is charged on top-ups by other means than bank transfer. Retailer fees for Fairpayo services are published online at www.Fairpayo.com under “Prices”. Any fees charged by third parties for using their own services are subject to an agreement between the third party and the retailer/buyer and do not form part of this agreement.

The merchant will be notified of current and new fees. If urgent price changes are imminent, Fairpayo can limit itself to publishing them without reporting them via email. The change will be deemed accepted if the Retailer/Buyer does not terminate the Agreement before the relevant change becomes effective (Clause 25). The Retailer shall not be adversely affected in relation to Fees should it terminate the Agreement as a result of Fee changes and in accordance with this Clause.

The merchant may offer a loyalty scheme. The loyalty points are automatically recorded by the app if the transaction was carried out with the Fairpayo app.

11. Offsetting

The retailer / buyer authorizes Fairpayo to cover any outstanding debts with the current Fairpayo balance. The amount paid out is inclusive of all applicable taxes & fees.

12. Offsetting

Fairpayo is legally obliged to maintain confidentiality. The retailer agrees that the nature of the commercial relationship and the master data (e.g. name, address) are handed over to the buyer as well as to third parties, so that the provision of services is made possible. The Retailer / Buyer is aware that detailed information about trading relationships (e.g. balances and transaction data) is fundamentally confidential, but that the legal obligation to maintain confidentiality can be waived to defend legitimate interests of Fairpayo; especially in the following cases:

-- Existence of a legal obligation to provide information

-- Defense of Fairpayo against third-party claims

-- Litigation

13. Wallet suspension and blocking of access

The retailer/buyer must contact Fairpayo if they wish to block or deactivate their wallet. Payments made up to the point of suspension are considered debited and cannot be reversed retrospectively.

Fairpayo can also partially or completely block the use of the app and/or the access of the retailer / buyer at any time and without prior notice. Access can be restricted for technical and legal reasons (e.g. due to legal regulations, inquiries from official bodies and for security reasons).

14. Changes to the Terms of Use

Fairpayo may change, update and amend the Terms of Use at any time.

15. Help and FAQs

Fairpayo offers the retailers technical support via Email. Fairpayo may hire a third party to provide support, which will have access to relevant data for this purpose. In addition to technical support, Fairpayo can also offer FAQs to facilitate the use of the functions.

16. Retailer / Buyer Due Diligence

The following points are included in the duty of care:

-- In order to prevent unauthorized use by third parties, the retailer / buyer must protect his/her mobile phone (e.g. with a lock code).

-- The code within the app, which is required, among other things, for payment and for confirming payments over a certain amount, must be kept secret. Under no circumstances may this code be made available to any other person, except their own authorized employees.

-- The chosen code must not consist of an easy-to-guess combination of numbers (telephone number, date of birth, etc.).

-- In the event of loss, theft or damage, the retailer/buyer must attempt to resolve the incident as quickly as possible so that the loss or damage can be minimized. The dealer / buyer undertakes to report criminal offenses to the police.

-- By installing the app, the retailer / buyer confirms that he or she is authorized to use the mobile phone number contained therein. The retailer / buyer is responsible for the use and operation of his mobile phone. The retailer is responsible for all consequences of using the app on his mobile phone.

-- As soon as the retailer / buyer suspects that unauthorized persons have access to the device, the corresponding passwords must be changed immediately and Fairpayo must be informed.

-- Should the mobile phone be stolen or lost, the retailer/buyer must inform Fairpayo immediately so that the account can be blocked.

17. Abuse

If the app identifies unusual usage patterns or if illegal or contractually prohibited activities are suspected, Fairpayo can block the retailer’s / buyer's account at any time; change, limit or revoke the Terms of Use without notice and without compensation; terminate this Agreement immediately and without compensation; and, if necessary, claim damages and relief from third-party claims. This provision also applies if the dealer has provided incorrect or incomplete information when concluding the contract.

18. Liability

Fairpayo's liability for loss and damage, neglected profits and/or loss of data is hereby excluded, unless otherwise agreed by law. Fairpayo is also not liable for illegal or non-contractual use of the app.

Technical access to the relevant services is the responsibility of the dealer / buyer. Fairpayo assumes no liability for the network operator (service provider) and disclaims responsibility for the hardware and software required for the use of the service, unless otherwise agreed by law.

Fairpayo's liability is for loss or damage on the part of the retailer / buyer, transmission errors, acts of God, technical defects or failures (failure of beacons or internet connection), illegal intrusion into telecommunications equipment and networks, network congestion, intentional blocking of electronic access by third parties and other incidents, unless otherwise stipulated by law, are absolutely excluded.

Fairpayo endeavors to enable uninterrupted use of the Fairpayo app and services. However, Fairpayo cannot give any guarantees in this regard. Fairpayo expressly reserves the right to interrupt access to the app and/or the corresponding services at any time in the event of an increased security risk, failures or for maintenance purposes. The retailer/buyer assumes any loss or damage resulting from such interruptions.

Merchants and buyers are liable for any fraudulent behavior.

19. Social media

Fairpayo's website may contain links to social media platforms. Users from the relevant social media platforms can use these links to view profiles of Fairpayo on social media. Identification data is sent to the relevant social media platforms for this purpose. The activities on the social media platforms are not checked or monitored. Fairpayo assumes no liability for this.

20. Electronic communication

Communication between Fairpayo and retailer/buyer is usually via Email. Fairpayo can contact the retailer/buyer by telephone, provided that the retailer/buyer has provided a corresponding telephone number. The retailer / buyer is responsible for the correctness of the relevant contact details. The retailer / buyer is aware that electronic communications are neither confidential nor secure. The data could be accessed, maintained or modified by third parties and even lost. Unless Fairpayo has electronically acknowledged receipt of the message, Retailer should assume that Fairpayo has not received such notification. Fairpayo shall not be liable for any loss or damage arising out of or in connection with any communication sent to Fairpayo by email or other transmission method.

21. Data protection

Fairpayo undertakes to comply with Swiss data protection regulations. Further information on this can be found in the Fairpayo data protection declaration for the retailer / buyer. The retailer / buyer accepts that data transmitted during the use of the app and via Fairpayo can be transmitted across jurisdictional borders, even if both the issuing and the receiving party are located in Switzerland.

22. Changes to the Terms of Use

Fairpayo can change the Terms of Use at any time. The retailers / buyers are informed of any changes in advance through appropriate channels. Retailers / buyers who do not agree with the changes can delete the app from their mobile phone before the changes in question come into effect. They should also expressly declare that they wish to stop using the relevant services as a result of the changes to the Terms of Use.

23. Reservations to the legal regulations & restrictions

The Services are provided subject to any legislation governing the operation and use of mobile phones, the internet and other dedicated infrastructure as soon as such measures come into force. The use of services outside of Switzerland is not possible. The use of services from Switzerland is subject to local legal restrictions and may, under certain circumstances, violate the laws of other countries. The retailer / buyer is aware that there may be circumstances within the commercial relationship where Fairpayo is legally required to freeze assets, report the business relationship to the relevant authorities or terminate the agreement. At the request of Fairpayo, the retailer / buyer undertakes to provide all information required to fulfill the statutory disclosure or reporting obligations.

24. Loyalty Program

Fairpayo offers the retailer / buyer a platform on which personalized discounts and promotions can be offered.

All discounts and promotions are handled within the app and access is provided within the app at all times.

The retailers using such promotion/loyalty options are solely responsible for the related content, offers and communications. Fairpayo is not responsible for discounts or loyalty cash-bonuses that cannot be redeemed. The same applies to open, lost or missing loyalty bonuses. Furthermore, under no circumstances can Fairpayo be held responsible for loyalty bonuses that are not taken back by the termination of the relevant loyalty program by the retailer.

25. Intellectual property

The retailer/buyer is granted non-transferable and non-exclusive rights to use the app for the duration of this agreement. The content and scope of these rights apply to these Terms of Use. Fairpayo, as well as affected third parties, retain the right to all intellectual property rights. Fairpayo shall not be liable for third party claims based on intellectual property infringement.

26. Duration and Termination

The trading relationship between the retailer/buyer and Fairpayo is concluded for an indefinite period of time.

The user can delete the app at any time, and each contractual partner can also give notice of termination in writing. Deleting the app terminates ongoing participation in possible Fairpayo loyalty programs or promotions. All loyalty bonuses and vouchers accumulated by the buyers can be deleted as a result.

27. Applicable Law

To the extent permitted by law, all legal relationships between the retailer/buyer and Fairpayo are exclusively subject to the Swiss law, excluding conflict of laws and international treaties. Unless unlawful, jurisdiction over legal proceedings of any kind shall be the court of the City of Lucerne (Switzerland).

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