ROYAL MAIL GROUP SCHEME FOR GROWTH FRAMEWORK GENERAL TERMS AND CONDITIONS DATED [ insert date ] BETWEEN: (1) Royal Mail Group Limited, a company registered in England and Wales (number 04138203) with its registered address at 100 Victoria Embankment, London EC4Y 0HQ (Royal Mail, us or we); and (2) [Customer’s registered name], a company registered in [country of registration] (number [registered number]) with its registered address at [registered address] (you). BACKGROUND To encourage the posting of Letters and Large Letters we are offering participants in the Royal Mail Group Scheme For Growth (the Scheme) the opportunity to earn Postage Credits for new incremental mail volume that they send through any provider of UK Postal Letter Services. Your participation in the Scheme and an Incentive will be subject to the provisions of the Agreement. FRAMEWORK GENERAL TERMS AND CONDITIONS 1 Definitions Capitalised terms which are used in the Agreement have the meanings set out in Schedule 1 (Definitions). 2 Agreement 2.1 To participate in the Scheme, you must post incremental mailing items in accordance with these Terms and Conditions and the Incentive Specific Terms for the relevant Incentive. 2.2 You shall accurately complete and submit to us an Application Form for the Incentive in which you are applying to participate. 2.3 We shall confirm receipt of the Application Form within 5 Working Days after receipt. 2.4 The Agreement is formed on the date on which you receive an Acceptance and is comprised of these Terms and Conditions, the relevant Incentive Specific Terms, the Application Form, the Acceptance and the Redemption Form (the Agreement). 2.5 Unless expressly provided otherwise in the Incentive Specific Terms, we will provisionally allocate Postage Credits to each successful Incentive applicant on the date we accept its application to participate in the Scheme and an Incentive. Each such allocation will be in an amount equal to the Expected Incremental Volume forecast in the submitted application form unless and until the allocation of Postage Credits reaches the Postage Credit Limit for the relevant Incentive. 3 Term 3.1 The Agreement shall commence on the Commencement Date and shall continue in force until the Termination Date. 4 Calculation of Postage Credits 4.1 In consideration of you entering into the Agreement and complying with its terms and conditions, we will pay you Postage Credits on the Actual Incremental Volume above the Expected Base Volume. We will calculate the amount of any Postage Credits to be awarded to you by applying the relevant Postage Credit Rate to the Actual Incremental Volume you posted under each Eligible Service during the relevant Incentive Period. 4.2 Except where expressly provided otherwise in the relevant Incentive Specific Terms, you will not receive Postage Credits for any Actual Incremental Volume which exceeds the Expected Incremental Volume. 4.3 Within six months of the last day of the relevant Incentive Period, you shall accurately complete a Postage Credit Application Form and send it to us in order to claim the amount of Postage Credits you consider due to you. We will confirm receipt of your Postage Credit Application Form within 5 Working Days after receipt. Any claims received by us after this sixmonth period shall be invalid and you shall have no right to receive any Postage Credits. 4.4 If you wish to appoint a third party other than a Direct Delivery Provider to send Scheme Mail on your behalf, you must ensure that the third party indicates that such Mailing Items should be credited to you by inserting a reference code unique to you in the relevant reference field of any sales order it creates for a handover of Mailing Items to Royal Mail. You acknowledge that a failure by the third party you appointed to follow this procedure will result in your Mailing Items not being recorded as Scheme Mail. 5 Awarding Postage Credits 5.1 Within 45 Working Days after we have received your completed Postage Credit Application Form and all further evidence or information requested under clause 5.2 of these Terms and Conditions, we shall notify you whether you have been awarded Postage Credits and, if you have, the value of the Postage Credits due to you. Our decision on the amount of your Postage Credit award is final. 5.2 We may request further evidence or information from you to verify your claim for Postage Credits. If you do not provide sufficient evidence or information that is acceptable to us to support your claim, we may decide not to award Postage Credits to you and/or may terminate the Agreement. 5.3 Subject to clause 5.5, any Postage Credits that are awarded to you will be provided to you in the form of a posting certificate which contains a unique voucher code (a Postage Credit Voucher). If the value of the Postage Credits exceeds £10,000, we will contact you. You will then have the choice of receiving your total Postage Credits in one Postage Credit Voucher or in more than one Postage Credit Voucher. 5.4 You may use Postage Credit Vouchers in full or part payment of a future mailing posted by you with us, a Participating Mailing Agent, a Participating Access Operator or a Participating Direct Delivery Provider. - 2- 5.5 If you hold an active Royal Mail credit account, you may choose to instruct us in your Postage Credit Application Form to credit the face value of any Postage Credits that may be awarded to you to your nominated Royal Mail credit account. You may apply the value of the Postage Credits in your Royal Mail credit account to pay, in full or in part, a future mailing posted by you with us. 5.6 If, when you choose to redeem one or more of your Postage Credit Vouchers, the postage value of the mailing is less than the value of the Postage Credit Voucher(s) presented, any remaining value of the Postage Credit Voucher(s) will be cancelled and will not be redeemable at any other time. 5.7 You must use a Postage Credit Voucher in accordance with the terms and conditions set out in the Redemption Form. If you fail to do so, we may take any of the actions described in clause 5.8 of these Terms and Conditions. 5.8 Any Postage Credits that you are awarded will expire 12 months after the date stated on your Postage Credit Voucher(s) and will not be redeemable after that date. 5.9 If, after we have awarded you Postage Credits, we discover that you have not fully complied with the terms of the Agreement, we may: (a) cancel any Postage Credits which have been awarded to you, but which have not been redeemed; (b) require you to repay the face value amount of any Postage Credits which you have redeemed; and/or (c) make a claim against you for any losses we suffer in connection with your noncompliance with the terms of the Agreement. 6 Changes 6.1 We reserve the right to change all or any part of the Agreement and/or to terminate the Scheme and/or an Incentive at any time, without any liability to you except as expressly provided otherwise in clause 7.7, as we determine is necessary in order to comply with our legal obligations and/or applicable regulatory requirements (including, without limitation, where required by the decision of a regulatory authority, a court, or an arbitration or other proceeding). We will give you not less than 30 Working Days’ prior notice of such change or termination (as applicable) unless we are required to implement the change or termination sooner. If we are, we will give you as much advance notice as is reasonably practicable in the circumstances. 6.2 You and we recognise that the Scheme will run as a pilot project until 28th April 2017. Except to the extent expressly provided otherwise in these Terms and Conditions or in the relevant Incentive Specific Terms, any Incentive which is still in process on 28 th April 2017 will continue in effect until the completion of the Incentive process for that Incentive in accordance with the Agreement. Upon completion of that Incentive process, we shall decide whether to continue the Scheme or to terminate it in accordance with the terms of the Agreement. 6.3 If, during the operation of the Scheme, we determine that it does not address matters which should be addressed or that elements of the Scheme and/or an Incentive do not function in a - 3- desirable and/or effective way, we may make changes to the Scheme and/or an Incentive to the extent we determine is necessary or desirable to correct such matters. If we do so, we will give you not less than 30 Working Days’ prior notice of such corrections. Except as expressly provided otherwise in the next paragraph of this clause, we will have no liability to you in relation to or in connection with such corrections and/or any modifications to the Scheme and/or the relevant Incentive which relate to or are in connection with such corrections. To the extent permitted by applicable law or regulations, the following corrections to the Agreement, the Scheme and/or an Incentive (as applicable) which we make under this clause 6.3 shall not affect any rights which have accrued to a Party under the Agreement on or before the date of such correction: 6.4 (a) any such correction which reduces the value of the Postage Credits that are awarded in an Incentive; (b) any such correction which changes the calculation of the Expected Base Volume in a way which increases the Expected Base Volume; (c) any such correction which modifies the definition of “Eligible Services” for purposes of an Incentive by reducing the types of services that are included in the definition of “Eligible Services”. If we determine that it is not possible to correct the identified issues within a reasonable period of time, then we may terminate the Agreement, the Scheme and/or an Incentive, without any liability to you except as expressly provided otherwise in clause 7.7, by giving you not less than 30 Working Days’ notice of such termination. 7 Termination 7.1 We may terminate the Agreement with immediate effect, without any liability to you, if you have not commenced sending Mailing Items under the Agreement within six months of the Commencement Date. 7.2 The Agreement shall terminate with immediate effect if you are in breach of any of the material terms of the Main Agreement or the Main Agreement is terminated. 7.3 Either Party may terminate the Agreement, without any liability to the other Party except as expressly provided otherwise in clause 7.7, as the Party determines is necessary in order to comply with its legal obligations and/or applicable regulatory requirements (including, without limitation, where required by the decision of a regulatory authority, a court, or an arbitration or other proceeding If a Party wishes to terminate the Agreement in accordance with this clause 7.3, then that Party shall give the other Party not less than 30 Working Days’ notice of termination. If the terminating Party is required to terminate the Agreement sooner, that Party will give the other Party as much advance notice as is reasonably practicable in the circumstances. 7.4 Regardless of any other term of the Agreement, either Party may terminate the Agreement on written notice to the other Party with immediate effect if: (a) the other Party commits any material or persistent breach of the terms of the Agreement and, if the breach is of a type that can be remedied, that breach has not - 4- been remedied within 30 days of the Party in breach having been notified of the breach by the non-defaulting Party; or (b) an Insolvency Event occurs in respect of the other Party. 7.5 Royal Mail shall have the right to withdraw the Scheme and terminate the Agreement at any time on not less than 30 Working Days’ notice to you and with no liability to you except as expressly provided otherwise in clause 7.7. Unless required otherwise by applicable law, regulation and/or the decision of a government body or a tribunal, any Incentive which is in process at the time Royal Mail announces the withdrawal of the Scheme will continue until the completion of the Incentive process in accordance with the terms of the Agreement. 7.6 If we are prevented from performing an obligation to you, your Participating Mailing Agent, your Participating Access Operator and/or your Participating Direct Delivery Provider (as the case may be) by circumstances outside of our control, we will be released from that obligation and will not be liable for any failure to perform it or for any consequences of that failure. 7.7 To the extent permitted by applicable law or regulations, termination of the Agreement, the Scheme and/or an Incentive by either Party shall not affect any rights which have accrued to a Party under the Agreement on or before the date of termination whether or not any obligations under the Agreement which were intended either to come into effect or remain in force after termination do so. 8 Liability 8.1 Neither Party shall be liable to the other, whether in contract, tort (including, without limitation, for negligence) or restitution, or for breach of statutory duty or misrepresentation, or for any loss of profit, revenue, opportunity, contracts, sales, turnover, anticipated savings, business opportunity, production, or otherwise for any indirect, special or consequential damage or loss suffered by the other Party that arises under or in connection with the Agreement. 8.2 Our total liability to you arising out of or in connection with the Agreement, the Scheme and/or the Incentives shall in no event exceed £100,000. 8.3 Each Party shall take all reasonable steps to restrict or mitigate all losses, costs, expenses, damages and/or liabilities that it may suffer or incur under or in connection with these Terms and Conditions. 9 Confidential Information Each Party agrees that it will hold in confidence all Confidential Information that it receives from the other, a Participating Mailing Agent, a Participating Access Operator and/or a Participating Direct Delivery Provider (in each case, if applicable) in connection with the Agreement. Each Party further agrees that it will only disclose such Confidential Information to its directors, officers, employees, agents, representatives, consultants and contractors who (a) are not prohibited by applicable law from receiving such Confidential Information and (b) need to know such Confidential Information in order to perform their obligations in connection with the Scheme, an Incentive and/or the Agreement. 10 Conflict - 5- In the event of any conflict between the Agreement and the Main Agreement, the provisions of the Agreement shall prevail. 11 Notices 11.1 All notices and other communications to be served on or given to either you or us under the Agreement shall be given in writing and sent either by: (a) a form of delivery for which a signature is required, to the address specified for each Party on the first page of these Terms and Conditions; or (b) email, in your case to your [email protected] or Contact Person and in our case to or to such other address or email address as is notified by one Party to the other from time to time. 11.2 A notice is classed as having been given as follows: (a) if sent by postal signature delivery service, at the time of delivery; or (b) if sent by email, when received at the place it was sent to (if an out of office message is received the notice is classed as having been received) unless the time you or we receive the notice is after 5pm on any Working Day in which case we shall class the notice as having been received at 9am on the next Working Day. 11.3 Notices sent by email and for which the sender has received an automatic reply that the email was undeliverable are classed as not having been sent. 12 General 12.1 Waiver: Any failure by a Party to enforce or to exercise (at any time or for any period) any term of or right under the Agreement shall not constitute a waiver of that term or right or affect that Party's right to enforce or exercise that term or right later. 12.2 Entire Agreement: The Agreement (and the documents referred to in it) set out the entire agreement between you and us in relation to the subject matter of the Agreement. There are no additional terms or obligations that are binding on you or us other than those contained or referred to in the Agreement (and the documents referred to in it) which relate to the subject matter of the Agreement. Nothing in this clause, however, limits or excludes liability for personal injury, death, fraud or fraudulent misrepresentation. 12.3 Governing Law and Jurisdiction: The Agreement and any dispute or claim arising out of or in connection with it or its subject matter or formation (including, without limitation, noncontractual disputes or claims) shall be governed by and construed in accordance with the laws of England. You and we agree to submit to the exclusive jurisdiction of the courts of England to settle any dispute or claim that arises out of or in connection with the Agreement or its subject matter or formation (including, without limitation, non-contractual disputes or claims). 12.4 Rights of Third Parties: Nothing in the Agreement is intended to confer any benefit or any right on any person who is not a party to the Agreement to enforce any term of it which that - 6- person would not have had the right to enforce but for the Contracts (Rights of Third Parties) Act 1999. 12.5 Invalidity: If any clause or part of a clause of the Agreement is invalid, illegal or unenforceable, then that invalidity, illegality or unenforceability shall not affect the other parts of that clause or the other clauses of the Agreement. 12.6 Compliance with Law or Regulatory Requirement: Subject to clauses 6.1 and 7.3 of these Terms and Conditions, if the Agreement or any part of it puts or would put either of us in breach of any law or regulatory requirement, then each of us shall use our reasonable efforts to change the relevant terms of the Agreement so that it does comply with that law or regulatory requirement. 12.7 Assignment: Neither of us may assign the benefit of the Agreement. Executed by each of the Parties. Signed by [insert name of signatory] duly authorised for and on behalf of [registered name of Customer] Signed by [insert name of signatory] duly authorised for and on behalf of Royal Mail Group Limited - 7- SCHEDULE 1: DEFINITIONS 1.1 When used in these Terms and Conditions, each of the following words and expressions has the meaning which is given to it in this Schedule 1 (Definitions) unless expressly provided otherwise in these Terms and Conditions: Acceptance means our acceptance of the Application Form confirming the Expected Base Volume, the Expected Incremental Volume and the Start Date terms that we will use for purposes of the Agreement and your participation in the Scheme and an Incentive; Access Contract means a contract between Royal Mail and a postal operator or user who has Letters and Large Letters for delivery in the UK, pursuant to which Royal Mail provides such postal operator or user with access to certain Royal Mail mail centres and with services relating to such access; Access Operator means a customer who is a postal operator and has entered into an Access Contract with us; Actual Volume means the actual number of Mailing Items, excluding the Actual Incremental Volume, that are sent by you during an Incentive Period pursuant to the Agreement; Base Actual Incremental Volume means the actual number of Scheme Mail items sent by you during an Incentive Period pursuant to the Agreement; Agreement has the meaning given in clause 2.4 of these Terms and Conditions; Application Form means the application to participate in an Incentive which you submit to us to provide us the requested information in order to show your eligibility to participate in that Incentive; ASA means the Advertising Standards Authority; CAP means the Committee of Advertising Practice; CAP Code means the CAP UK code of non-broadcast advertising, sales promotion and direct marketing; Commencement Date means the commencement date of the Agreement, being the date on which you receive the Acceptance as described in clause 2.4 of these Terms and Conditions; Confidential Information means all information of a confidential nature (including, without limitation, details of mailing profiles and security processes in respect of Mailing Items) in any form or format which is disclosed by one of us to the other and/or to a Participating Access Operator, a Participating Mailing Agency and/or a Participating Direct Delivery Provider (as applicable), whether in writing, orally or by any other means (a) before or after the date of the Agreement; and (b) which - 8- relates to the subject matter of the Agreement; Contact Person means the person nominated in the Application Form whom we should contact in relation to your participation in the Scheme and/or an Incentive; Direct Provider means any company that performs the delivery of addressed Letter mail to households and/or businesses in the UK; Delivery Eligible Services (a) (b) means any service for Letters and/or Large Letters posted either with: Royal Mail (whether directly or through a Mailing Agent and/or an Access Operator) using Royal Mail Mailmark® derived services, with the exception that non machineable Letters such as poly-wrapped Letter items and any Large Letter items do not need to be posted using Royal Mail Mailmark®, which services are published at www.mailmen.co.uk/incentives and at www.royalmailwholesale.com/schemeforgrowth; or a Direct Delivery Provider, using their UK Postal Letter Services; Expected Base Volume means the expected number of Mailing Items, excluding the Expected Incremental Volume, that you will send during an Incentive Period in accordance with the terms of the Agreement, as we determine pursuant to the applicable Incentive Specific Terms; Expected Incremental Volume means the expected number of Scheme Mail items above the Expected Base Volume that you will send during an Incentive Period in accordance with the Agreement, as we determine pursuant to the applicable Incentive Specific Terms; Incentive means an incentive for growth which is part of the Scheme, the terms of which are set out in the relevant Incentive Specific Terms and through which Royal Mail incentivises posting customers to send Scheme Mail via the Eligible Services ; Incentive Period means the period of your participation in an Incentive, commencing on the Start Date and terminating on the earlier to occur of (i) the date that falls 12 months after the Start Date and (ii) the Termination Date; Incentive Terms means the terms set out in a Schedule (with the exception of Schedule 1 (Definitions)) that apply in addition to the Terms and Conditions and relate to a particular Incentive; Specific Insolvency Event means any of the following events (or any event analogous to any of the following in a jurisdiction other than England and Wales): a) an administrator or a receiver (including, without limitation, any administrative receiver or manager) is appointed over the whole or any part of a Party’s assets; or b) in your case: an order is made or a resolution is passed for your winding- (i) - 9- (ii) (iii) (iv) (v) (vi) (c) (i) (ii) (iii) (iv) up or the winding up of your business or the appointment of a provisional liquidator over you (except in the case of a bona fide scheme of solvent amalgamation or reconstruction); an application for an administration order is presented in respect of you or documents are filed with the court for the appointment of an administrator in respect of you or notice of intention to appoint an administrator has been given by you, one of your directors or members or by a qualifying floating chargeholder in respect of you (as defined in paragraph 14 Schedule B1 Insolvency Act 1986; circumstances arise which entitle a court or a creditor to appoint a receiver or manager or entitle the court to appoint an administrator or make a winding-up order in respect of you; you have made any composition with your creditors generally; a creditor or encumbrancer of yours forecloses on or takes possession of the whole or part of your assets; a distress, execution, sequestration, or other such process is levied or enforced on or sued against the whole or any part of your assets which (in our reasonable opinion) puts your ability to fulfil your obligations to us at risk, and such attachment or process is not discharged within 10 Working Days; if the other Party: suspends, or threatens to suspend, payment of its debts; is unable to pay its debts as they fall due; is deemed unable to pay its debts within the meaning of Section 123 of the Insolvency Act 1986; or suspends or ceases to carry on all or a substantial part of its business; Letter means a mailing item, the dimensions of which meet the following specifications: Maximum size 240mm x 165mm Minimum size is 100mm x 70mm Maximum thickness 5mm Maximum weight 100g; Large Letter means a mailing item which is not a Letter and the dimensions of which meet the following specifications: Maximum size 353mm x 250mm Maximum thickness 25mm Maximum weight 750g; Mailing Agent means a company that posts with Royal Mail or a Direct Delivery Provider and is responsible for invoicing a Participating Originating Customer for the full postage amount for the provision of UK Postal Letter Services; - 10 - Mailing Item means a Letter or Large Letter; Main Agreement means the agreement entered into between you and your postal provider of UK Postal Letter Services; Party means you or us and Parties means both you and us; Participating Access Operator means an Access Operator who is participating in the Scheme and has entered into a Voucher Redemption and Reimbursement Agreement with us; Participating Direct Delivery Provider means a Direct Delivery Provider who is participating in the Scheme and has entered into a Voucher Redemption and Reimbursement Agreement with us; Participating Mailing Agent means a Mailing Agent who is participating in the Scheme and has entered into a Voucher Redemption and Reimbursement Agreement with us; Participating Originating Customer means a company or other organisation which has entered into agreement with us in relation to the Scheme and an Incentive, consisting of an application form, an acceptance from us, the relevant Incentive Specific Terms, these Terms and Conditions and a redemption form; Postage Credit Application Form means the Postage Credit application form provided by us which you must complete in accordance with the terms of the Agreement and submit to us to claim your Postage Credits; Postage Credit means a credit for each Mailing Item that qualifies as Actual Incremental Volume in accordance with the criteria and terms set forth in the Agreement; Postage Limit Credit means the maximum total Postage Credits available for award under an Incentive; Postage Credit Rate means the Mailing Item Postage Credit value applicable to a particular Eligible Service as published at www.mailmen.co.uk/incentives and at www.royalmailwholesale.com/schemeforgrowth Postage Credit Voucher Redemption Form has the meaning given in clause 5.3 of these Terms and Conditions; Schedule means any schedule to these Terms and Conditions (including, without limitation, any Schedule that sets out Incentive Specific Terms); means the voucher and redemption form which sets out the terms and conditions for use and redemption of a Postage Credit Voucher and which you must complete accurately in order to redeem your Postage Credits; - 11 - Scheme has the meaning given in the first paragraph in Background; Scheme Mail means the new incremental Mailing Items which you send under an Incentive using the Eligible Services and which is visible as such in Royal Mail's billing systems for its retail and wholesale business lines or, in the case of such Mailing Items delivered by a Participating Direct Delivery Provider, is certified as such in writing by a Direct Delivery Provider; Start Date means the date as confirmed in the Acceptance which represents the start of an Incentive Period; Term means the term of the Agreement as set out in clause 3.1 of these Terms and Conditions; Termination Date means the earliest to occur of the date on which the Scheme and/or the Agreement terminate in accordance with (i) clause 6.1 of these Terms and Conditions, (ii) clause 6.2 of these Terms and Conditions or (iii) one of the clauses in Clause 7 of these Terms and Conditions; Terms Conditions and means the Framework General Terms and Conditions and this Schedule 1 (Definitions) as amended by us and notified to you from time to time; Letter means the services provided to you for the posting of addressed Letters and Large Letters to UK addresses under the Main Agreement; UK Postal Services Voucher Redemption and Reimbursement Agreement means the voucher redemption and reimbursement agreement between a Participating Mailing Agent, a Participating Access Operator or a Participating Direct Delivery Provider (as applicable) and us under which the Participating Mailing Agent, Participating Access Operator or Participating Direct Delivery Provider will provide certain services that relate to the Agreement (including, without limitation, redemption of Postage Credit Vouchers); we, us or our means Royal Mail Group Limited, registered number 4138203 with its registered office at 100 Victoria Embankment, London EC4Y 0HQ; Working Day means any day which is not a Sunday, bank holiday or public holiday in the United Kingdom or a Royal Mail non-service day approved as such by Ofcom; and you or your means the customer identified in the Application Form, including (without limitation) its employees and agents. 1.2 Priority of Documents If there is any ambiguity or discrepancy between the documents which form the Agreement, then priority will be given as follows (in descending importance) unless expressly stated elsewhere in the Agreement: (i) the Incentive Specific Terms; (ii) the Terms and Conditions; (iii) the Acceptance; (iv) the Application Form and (v) the Redemption Form. - 12 - SCHEDULE 2: ADVERTISING CONTENT INCENTIVE SPECIFIC TERMS The following terms and conditions shall apply to the Advertising Content Incentive in addition to the terms and conditions set out in the Framework Terms and Conditions (unless expressly stated otherwise in the Agreement): Background To encourage the use of the Eligible Services for Letters and Large Letters of Advertising Content, we are offering you the opportunity to earn Postage Credits during a 12-month period for posting new incremental mail volume of Advertising Content that you send through any provider of UK Postal Letter Services (the Advertising Content Incentive). Under the Advertising Content Incentive, Postage Credits will be awarded on all new, incremental mail volume of Advertising Content which you post above your baseline volume using your historic posting volume, as each has been determined by us. Except as expressly provided otherwise in paragraph 5 of this Schedule 2 (Advertising Content Incentive Specific Terms), any new, incremental volume of Letters posted with Royal Mail (either directly or indirectly through a Mailing Agent and/or an Access Operator) must be posted using Royal Mail Mailmark® Agreement 1 Definitions In addition to the definitions in the Terms and Conditions, the following words and expressions have the following meanings in these Incentive Specific Terms: Advertising Content means a Letter or Large Letter which contains the same generic message as the other Mailing Items in the relevant mailing and has the purpose of promoting the sale or use of products or services or of encouraging contribution to or support of a cause; Eligible Services means posting of Letters and/or Large Letters of Advertising Content either with: (a) Royal Mail (whether directly or indirectly through a Mailing Agent and/or an Access Operator) using (i) Royal Mail Advertising Mail®, (ii) Royal Mail Responsible Mail® (iii) Royal Mail Sustainable Mail®, as more fully detailed at www.mailmen.co.uk/incentives and at www.royalmailwholesale.com/schemeforgrowth, and all of which, subject to paragraph 5 of this Schedule 2 (Advertising Content Incentive Specific Terms), must be Royal Mail Mailmark® derived services, with the exception that nonmachineable Letters such as poly-wrapped Letter items and - 13 - any Large Letter items do not need to be posted using Royal Mail Mailmark®; or (b) a Direct Delivery Provider, using their UK Postal Letter Services; Expected PCV has the meaning given in paragraph 2.6 of this Schedule 2 (Advertising Content Incentive Specific Terms); Minimum Expected Posting Volume has the meaning given in paragraph 2.1 of this Schedule 2 (Advertising Content Incentive Specific Terms); Reference/UCID Number means the unique, identifying number assigned to you by an Access Operator, a Direct Delivery Provider or a Mailing Agent that is used to identify your posted Mailing Items; Updated Application Form has the meaning given in paragraph 3.1 of this Schedule 2 (Advertising Content Incentive Specific Terms); 2. Participation in the Advertising Content Incentive 2.1 To participate in the Advertising Content Incentive, you must have Expected Incremental Volume that you will post using one or more Eligible Services during a 12-month period which equals or exceeds 250,000 new, incremental Mailing Items of Advertising Content (the Minimum Expected Posting Volume). 2.2 You shall accurately complete and submit the Application Form to us on or prior to 28 April 2017. 2.3 We shall review the Application Form and verify the information in it using data sources which we determine are appropriate. 2.4 Using the information provided in the Application Form and our verification data we will calculate the Expected Base Volume for the Incentive Period as follows: (a) total the previous 24 months’ volume of Mailing Items of Advertising Content, working back from the Start Date; (b) factor in a growth trend by comparing the 12 months of Year -1 with the 12 months of Year -2 to determine the trend; and (c) use this sum to project forward the estimated volume for the 12 months following the Start Date. 2.5 You agree that we will assess the Actual Incremental Volume as volume additional to the Expected Base Volume. 2.6 Once we have evaluated the content of the Application Form and have determined that it is acceptable to us, we will email the Acceptance to you no later than 10 Working Days after the date on which we complete our verification of the Application Form information. The Acceptance will state the Expected Base Volume and your expected postage credit value (your Expected PCV). - 14 - 2.7 If the Actual Incremental Volume is less than 250,000 items by the end of the Incentive Period, then you shall have no right to receive any Postage Credits. 2.8 We may terminate your participation in the Advertising Content Incentive with immediate effect, without any liability to you, if you have not commenced sending Mailing Items under the Advertising Content Incentive within six months of the Commencement Date. 3 Changes 3.1 If, on or before the date that falls 11 months after the Start Date, you expect any of the following changes: (a) the Actual Incremental Volume will exceed the Expected Incremental Volume; and/or (b) differences will occur in the volume of the Eligible Services and/or in the Mailing Item format(s) from those your original Application Form indicates you will be using for the Expected Incremental Volume; and/or (c) the Expected Incremental Volume will have additional Reference/UCID Numbers and/or will be posted with different providers of UK postal services than those indicated in your original Application Form, then you may resubmit your original Application Form with your proposed revisions (the Updated Application Form) to us. 3.2 The Updated Application Form must provide the following information for the revisions which are you proposing: (a) an updated forecast of the Expected Incremental Volume and/or (b) a revised statement of the actual Eligible Services and/or Mailing Item format(s) you will be using to post the Expected Incremental Volume; and/or (c) the additional Reference/UCID Numbers and/or the additional and/or different providers of UK postal services you will be using to post the Expected Incremental Volume. 3.3 We shall confirm receipt of the Updated Application Form within 5 Working Days after receipt. 3.4 The Updated Application Form must be received by us not less than 10 Working Days prior to you sending any such additional or different Scheme Mail to enable us to assess the eligibility of your revisions and inform you of whether we accept your revisions. 3.5 Subject to paragraph 3.7, if you do not submit an Updated Application Form which amends the Expected Incremental Volume, you will not receive Postage Credits for any Actual Incremental Volume that exceeds the Expected Incremental Volume. 3.6 If you do not submit an Updated Application Form which amends the use of Eligible Services and/or Mailing Item format(s) stated in the Application Form, you will not receive Postage Credits for any Eligible Services and/or Mailing Items format that differ from those indicated in the Application Form. - 15 - 3.7 If you do not submit an Updated Application Form and the Actual Incremental Volume exceeds the Expected Incremental Volume, we may nevertheless, at the time we evaluate your Postage Credit Application, award, in our absolute discretion, additional Postage Credits to you in a number not to exceed 10% of the Expected Incremental Volume. 3.8 During the Incentive Period you may notify us at any time of a reduction in the Expected Incremental Volume. If the reduced Expected Incremental Volume is less than the Minimum Expected Posting Volume, you shall have no right to receive any Postage Credits. 3.9 The changes in the Updated Application Form will only be effective for purposes of your participation in the relevant Incentive after you have received an Acceptance from us which states that we agree to the changes proposed in the Updated Application Form. 3.10 We will evaluate and accept updated application forms from you and the other Incentive participants in an order of priority based on the date on which we receive each of the updated application forms. You acknowledge and agree that Postage Credits are only available up to the amount of the Postage Credits Limit. You also acknowledge and agree that we may not accept the entire amount of the additional Expected Incremental Volume forecast in the Updated Application Form if an insufficient number of Postage Credits are available at the time we are evaluating the Updated Application Form or if we determine that the information you have provided us in the Updated Application Form is insufficient. 4 Warranties 4.1 You warrant that: 4.1.1 the Mailing Items you will send under the Scheme will be new, incremental mail volume and you will send it using the Eligible Services indicated in the Application Form; 4.1.2 the Scheme Mail you declare as new incremental mail volume has not been, is not, and will not be, included in any other Royal Mail incentive scheme or promotion; 4.1.3 all Scheme Mail shall comply with all relevant laws and regulations, including but not limited to the CAP Code as endorsed and administered by ASA and from time to time revised by them, and all other relevant codes under the general supervision of CAP and ASA; 4.1.4 each of the Expected Incremental Volume and the Actual Incremental Volume only includes mailing volume which is additional to that which you would have normally sent in the absence of the Scheme; 4.1.5 neither the Expected Incremental Volume nor the Actual Incremental Volume includes mailing volume switched from another postal operator or one of our other postal services; 4.1.6 neither the Expected Incremental Volume nor the Actual Incremental Volume includes mailing volume switched into an Incentive from a period outside the relevant Incentive Period; 4.1.7 the Actual Incremental Volume does not include mailing volume which directly relates to notices or other mailing items required by applicable law in respect of a merger or - 16 - acquisition that affects you and that occurred within the 24-month period prior to the Start Date or within 12 months after the Start Date; 4.1.8 the Actual Incremental Volume does not include mailing volume which is the result of switching between/among a company’s divisions, business units, brands or subbrands; and 4.1.9 none of the Actual Incremental Volume is connected with the calling of a local, general or European election or referendum in the UK or other special event where it is unlikely that the mailing volume for the event would be sent annually. 5 Royal Mail Mailmark® Transition Period 5.1 If the Eligible Service(s) used by you to post Actual Incremental Volume of Letters is provided by Royal Mail (whether directly or indirectly through a Mailing Agent and/or an Access Operator), such Eligible Service must use Royal Mail Mailmark® approved Letter services. 5.2 If you are not a participant in the Royal Mail Mailmark® programme at the time you submit the Application Form, you may still be eligible to participate in the Scheme if you give an undertaking that you will start using Royal Mail Mailmark® approved Letter services from no later than 1st November 2016. Your undertaking to use Royal Mail Mailmark® approved Letter services shall be evidenced by you providing us with your Royal Mail Mailmark® participant's ID number on the Application Form. 5.3 With the exception of non-machineable Letters such as poly-wrapped Letter items, any Actual Incremental Volume of Letters posted from and after 1st November 2016 which do not use Royal Mail Mailmark® will not be eligible for Postage Credits under the Incentive. - 17 -
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