HotSpot Energy
Payment, Shipping, Returns, Legal & Limited Warranty Agreement

All business conducted between a customer and HotSpot Energy (HSE, or HotSpot) is subject to the terms, conditions and policies of this document.

Payment Terms
All orders are prepaid before shipping. All payments must be made in US Dollars. HotSpot accepts check, credit card, or PayPal from USA customers. Checks will be held for clearance or verification. International orders are paid via wire transfer. No cashiers checks or money orders will be accepted. Orders under $7,500 are paid at the time of the order. Orders above $7,500 require a 50% deposit and balance paid before shipping. All container, private-label, special, or non-standard orders must be fully prepaid or paid 50% deposit with balance secured by approved LOC (Letter of Credit) drawn on a USA bank.

Taxes
If HotSpot is required to pay any sales, use, or excise tax related to any customer transaction, and such tax is not paid to HotSpot at the time of the sale and HotSpot is subsequently required to pay such tax, the customer is responsible for paying the amount of such tax plus any penalty, interest, or costs associated with collecting or remitting such tax.

USA Shipping Policy
HotSpot ships products to its customers only via common carrier. HotSpot does not itself deliver products or make any products available for customer pick up except via common carrier. It is the exclusive responsibility of the customer to pay any shipping costs, fees, taxes or other costs incurred in shipping. The estimated shipping quote provided by HotSpot is the quote provided to HotSpot by the applicable common carrier. If shipping circumstances beyond the knowledge or control of HotSpot cause additional shipping costs or fees, such as security inspection, restricted delivery, lift-gate costs, inaccessible delivery address, etc., customer is responsible for the additional costs or fees.

Production & Shipping Intervals
HotSpot ships standard heat recovery water heating systems within 3 days. Pool heating equipment is configured for each customer and typically ships within 5 days. Air conditioners: small orders usually ship within 5 days, container orders usually within 30-45 days. Private label or special certifications require additional time. Any shipping delays will be communicated to customer.

International Shipping & Container Orders
For LCL orders HotSpot ships to your USA freight forwarder. For container orders shipped by sea, HotSpot will quote a price delivered to your port including insurance, and help complete ISF or other paperwork. HotSpot can also quote EXW terms. Customer is responsible for all customs clearance, duties, taxes, drayage, storage, inspections, etc.  Any shipping damage claims must be filed directly with the shipping and/or insurance company.

Payments For Container or Factory Direct Orders
Failure of customer to make final payment when due may result in cancellation of the order. Upon ready to ship notification, customer will transfer final payment within 3 business days. Storage and re-scheduling fees of 1% of the order value, per day of payment delay after the 3rd day, shall be added to customers cost.  If final payment is not received within 10 business days, the order will be cancelled and the goods sent back to the factory for re-manufacturing to correct branding, if needed, and/or shipped to HotSpot's Virginia warehouse or other such location as HotSpot designates for disposal. Fees for transportation, storage, re-stocking, re-branding or disposal of up to 50% of the total order value will be charged to the customer and shall be deducted from any advance payment made by customer. Customer refund, if any, shall be forwarded to customer after HotSpot has disposed of the goods.

IMPORTANT NOTICE ABOUT USA DOMESTIC SHIPMENTS

Thank you for your order. We ship out FOB Origin which means once a shipment is in the carrier's hands, it is the consignee's responsibility to inspect the shipment before signing for receipt of it.

When you or your agent provides a signature on the paperwork the delivery driver presents at the time of delivery,  you are signing that you have received the shipment completed and in good condition.

We recommend that all of our valued customers thoroughly inspect shipments at the time of delivery:

• Any abnormalities, shortages, or damages must be noted on the delivery receipt at the time of delivery. Please alert your delivery representatives and contact us immediately so we can arrange for a prompt replacement.
• All boxes should be opened for inspection and pieces counted to ensure a complete delivery.
• Make the driver wait while you review the shipment and notate any damage on the delivery receipt.
• If the shipment looks damaged or wrong, you may refuse delivery. In this case, please notify us so that we can expect the return shipment.
• Write "DRIVER REFUSED INSPECTION" when signing the delivery receipt in the unlikely event a driver will not wait.
• Failure to notate the delivery receipt at the time of delivery terminates any and all claims that can be filed on damaged merchandise.

Shipping Damage Claims USA
Customer must inspect the shipment carefully upon receipt and note in writing, any damage, on the shipping company’s documents, and retain a copy of the noted document. If the packaging has been dented, crushed or otherwise damaged and if not possible to fully inspect at time of delivery, the customer must note on the shipping company shipping documents “package damaged, may have concealed damage”. The customer must inspect the products promptly, delayed claims for damages are not usually successful. HotSpot can assist you with a damage claim but HotSpot is not responsible for shipping damages. All damage claims must be filed with the shipping company and are subject to applicable tariff or law.

Return Merchandise Authorization
HotSpot is under no obligation to accept any merchandise for return for any reason other than under a valid warranty claim or if we shipped a product different from what was ordered (wrong item). It is the customer’s responsibility to determine, and order, the correct product for the customer’s application. HotSpot may agree to accept returns for exchange or refund at its sole discretion. Any merchandise returns authorized by HotSpot, other than for defective or wrong product, must be return shipped pre-paid and any refund or exchange may be subject to a deduction for shipping costs incurred plus a restocking fee of up to 25%. Custom or special ordered products are not returnable. Before shipping any item to HotSpot, customer must first contact HotSpot and obtain a RMA (Return Merchandise Authorization) number. HotSpot will refuse delivery of any items shipped to us that do not have a valid RMA number on the shipping label.

Advance Replacement Program (ARP)
In order to make any exchanges or replacements as quickly as possible for the customer, HotSpot provides an advance replacement option whereby HotSpot can replace an item prior to receiving the item back from the customer. In order to ensure that HotSpot receives the exchanged or replaced item back in a timely manner, not to exceed 30 days. HotSpot requires advance payment for the replacement item and will refund or credit the payment after the replaced or exchanged item has been received, inspected/approved, provided it is received within 30 days. NOTE THAT IF HOTSPOT RECEIVES A RETURNED ITEM UNDER THE ARP PROGRAM THAT UPON INSPECTION IS DETERMINED TO BE OPERABLE AND NOT DEFECTIVE THERE WILL BE NO CREDIT FOR THE RETURN. LIKEWISE, IF THE ITEM HAS BEEN DAMAGED OR FAILED DUE TO MISUSE, NEGLECT, IMPROPER INSTALLATION, ETC. THERE WILL BE NO CREDIT. In the event that a returned item fails to pass inspection as stated above, Customer will be responsible for shipping charges and HotSpot will return the item to the customer at customers request and expense.

NOTE: We must receive the ARP returned items within the 30 day window specified above. If HotSpot does not receive the exchanged or replaced ARP item back from the customer within 30 days of shipping the replacement item, no credit or refund shall be made.

Force Majeure
HotSpot shall not be liable to any customer for damages resulting from any delay or failure of delivery when such failure or delay results from acts of God, acts or threats of war, riots, civil insurrections, terrorism, or hurricanes, floods, fires, explosions, earthquakes, lightning, storms, chemical contamination, epidemics, acts of sabotage, blockades, embargoes, accidents or interruptions to transportation, supplier delays or materials shortages, trade restrictions, strikes or other labor difficulties, regulatory or other acts of any Governmental Authority, and other events or circumstances beyond the reasonable control of HotSpot.

Collections & Legal
If HotSpot takes action to collect any unpaid monies from customer, HotSpot shall be entitled to recover its reasonable collection and/or legal costs from the customer. In the event of any legal action brought under, or between the parties of, this Payment, Shipping, Returns, Legal & Limited Warranty Agreement, exclusive law choice and venue shall lie in Chesapeake, VA, USA.

Limited Warranty
HotSpot Energy Inc. (HSE) warrants to the original end-user customer that the HSE manufactured products will be free from defects in material and workmanship for the duration described herein, or as described on the official HSE product description, whichever is the longer term. HSE does not warrant that the operation of any product will be uninterrupted or error free or that the equipment is suitable for any particular application.  HSE’s limited warranty covers only those defects that arise as a result of normal use of the product when installed by a qualified installer and does not cover any other problems, including those that arise as a result of: (i) improper installation, use, maintenance or modification; (ii) parts or supplies not provided or supported by HSE; (iii) operation outside the product’s specifications; or (iv) unauthorized modification, repair, or misuse; (v) water quality problems; (vi) relocation or re-installation of the product after original installation. An improper installation includes failure to comply with our instructions, relevant law, codes, industry best-practices and specified procedures/specifications of the relevant industry or regulatory bodies, for example, compliance with ASHREA, AHRI, BOCA, the US National Electric Code, local codes, etc., as applicable to the installation.

If HSE receives, during the applicable warranty period, notice of a defect in any product which is covered by HSE’s limited warranty, HSE shall either repair or replace the product, or provide an equivalent new or reconditioned product, at HSE’s option. If HSE is unable to repair or replace, as applicable, a defective product which is covered by HSE’s warranty, HSE shall, within a reasonable time after being notified of the defect, refund the purchase price of the product less a reasonable deduction for damage or wear. HSE shall have no obligation to repair, replace or refund until the customer returns the defective product shipping prepaid to HSE for a determination of the problem and/or Warranty coverage. Any replacement product may be either new, removed from another system, or repaired, etc. provided that it has functionality at least equal to that of the product being replaced. Any defective claim product must be returned to HSE for examination to determine if the product is defective or if failure is the result or misuse, improper installation or maintenance etc. HSE’s determination will be final.

HotSpot Limited Warranty covers only products manufactured by HotSpot. Other products provided by HotSpot carry their own respective warranties or guarantees. HotSpot generally handles warranty claims on behalf of its 3rd party manufacturers, but is not obligated to do so. HotSpot warrants it’s hardware only for repair or replacement. In no event shall HSE be liable for costs of repairs, labor, installation, or shipping costs related to a warranty claim.

Limitations of Warranty
TO THE EXTENT ALLOWED BY LOCAL LAW, HotSpot Energy Inc. MAKES NO OTHER WARRANTY OR CONDITION OF ANY KIND, WHETHER EXPRESS OR IMPLIED WARRANTIES OR CONDITIONS OF MERCHANTABILITY, SATISFACTORY QUALITY, AND FITNESS FOR A PARTICULAR PURPOSE.

Limitations of Liability
To the extent allowed by US local law, the remedies provided in this Limited Warranty are the customer’s sole and exclusive remedies. TO THE EXTENT ALLOWED BY LOCAL LAW, IN NO EVENT SHALL HOTSPOT BE LIABLE FOR DIRECT, INDIRECT, SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES, WHETHER BASED ON CONTRACT, TORT, OR ANY OTHER LEGAL THEORY AND WHETHER ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.

Local Law
This Limited Warranty gives the customer specific legal rights. The customer may also have other rights which vary from state to state. International warranty claims are subject exclusively to Virginia, USA law.
To the extent that this Limited Warranty is inconsistent with US local law, the inconsistent parts of the Limited Warranty shall be subject to such local law. Under such local law, certain disclaimers and limitations of this Warranty may not apply to the customer. For example, some states in the United States may: (i) preclude the disclaimers and limitations in this Limited Warranty statement from limiting the statutory rights of a consumer; (ii) otherwise restrict the ability of a manufacturer to enforce such disclaimers or limitations; or (iii) grant the customer additional warranty rights, specify the duration of implied warranties which the manufacturer cannot disclaim, or allow limitations on the duration of implied warranties.

The Limited Warranty on each of our products is typically stated individually for each product we produce. Air conditioner: (ACDC12 and DC48 here) If no limited warranty is explicitly stated, the limited warranty period is as follows:

Heat recovery heat exchangers (copper coil) - 5 Years
Heat recovery valves - 2 years (no warranty if valve is overheated or if tell-tale thermal label is altered or removed)
Titanium heat exchangers (titanium coil) - 10 years
Pumps & compressors - 1 year
Stainless heat exchanger tanks - 5 years defects affecting operation
Other mechanical or electronic components - 1 Year
Solar thermal products: The greater of 1 year or as otherwise stated.
ACDCX 2 years
No warranty on glass breakage.
Other items not listed: 1 year.
Cosmetic (items not materially affecting performance)- 30 days

Additional Warranty Limitations for Private Label & International Distributors:
For private label & distributors, HotSpot provides a 1% free spare parts allowance along with the order as it's exclusive warranty program. Customer may specify a parts list or ask HotSpot to include a suggested list of parts in the order. If the customer does not select either of these options, spare parts may be specified at a future time but will incur additional shipping costs. Private label & international distributors are responsible for handling all warranty claims for their own customers.

Updated 5/11/2022
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Address Correspondence To:

HotSpot Energy Inc.
4021 Holland Blvd.
Chesapeake VA 23323

USA Nationwide Telephone:
1-800-916-2067

International or Local:
1-757-410-8640



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