IMPORTANT RISK DISCLOSURE
There is no assurance that precious metals, i.e. commodities will achieve their objectives. Return and principal value will fluctuate and your portfolio, when redeemed, may be worth more or less than the original cost. No statement, presentation, article, data file or any other communication available in this material or website is to be construed as a recommendation to purchase or sell a security or service, or to provide investment, legal, accounting or tax advice. Client should carefully read sales literature prospectuses, and/or other offering documents, when available, before making purchases. They should carefully consider all risks and/or considerations contained in the documents. Clients should understand that all purchases have some degree of risk that is possible to lose money on a purchase of precious metals. If seeking advice, clients are responsible for providing accurate information about their financial status, goals, and risk tolerance to ensure that appropriate recommendations are provided. Client should promptly notify their Account Executive whenever there are significant changes to their portfolio objectives, risk tolerance, income, net worth or liquidity needs. Client should make certain that they understand the correlation between risk and return. Clients should consult an attorney or tax advisor for specific tax or legal advice. Commodities involve risk and are not suitable for all investors.
1. Scope of Agreement. This Agreement governs all transactions between Customer and National Gold Group (“NGG”) now or in the future, and supersedes any oral or written information or materials that Customer may have received in connection with any transaction. No agent, employee, or representative of NGG has the authority to bind NGG in any way to any affirmation, representation, or warranty concerning any item purchased from NGG, or any information provided electronically to Customer, except as provided in this Agreement.
2. Delivery of Purchased Item(s). Upon receipt and confirmation of good funds in full payment of the purchase price, NGG shall make best efforts to cause Customer’s order to be shipped within three to five (3-5) business days after receipt of good funds. Personal checks may take a minimum of twelve (12) days to clear NGG’s bank account. If your purchase is for a deferred portfolio such as an IRA/401K delivery to the trustee will be as provided in the relevant account documents.
3. Items Lost or Stolen in Transit. If NGG determines that any item(s) purchased by Customer have been lost or stolen while in transit to Customer by common carrier, NGG will, in its sole discretion, either refund to Customer the full purchase price for such lost item(s) or replace such item(s). Customer agrees that this shall be Customer’s sole and exclusive remedy for any losses resulting from items lost or stolen in transit.
4. Customer’s Independence; No Future Predictions. Customer acknowledges that the decision to purchase coins, and which coins to purchase, is ultimately the Customer’s
alone. Customer acknowledges that no fiduciary relationship exists between NGG and Customer. NGG makes no predictions concerning market trends, and does not guarantee that any customer will be able to sell coins for a profit in the future. NGG recommends holding coins for a period that averages between three (3) and five (5) years in order to overcome fees and commissions applicable to each purchase.
5. Re-Purchases by NGG. NGG purchases coins from its Customers, but makes no guarantee that it will always do so, or that it will do so at any particular price.
6. NGG’s Pricing.
a) NGG’s sales prices include a buy-sell spread. Except as set forth below for Coins or Proof Bullion transferred to an Individual Retirement Account (“IRA”), spreads may
fluctuate from time to time with market conditions and other factors. All quotes are given as an “ask” price. For instance, the price for bullion (coins and bars whose prices are linked with the gold and silver spot price) includes a spread that currently averages between five (5%) and twenty (20%) percent; the price for Raw, Semi Numismatic and Numismatic Coins includes a spread that currently averages between seventeen (17%) and seventy (70%) percent; and the price for Coins or Proof Bullion coins placed in an IRA includes a spread that currently averages between seventeen (17%) to seventy (70%) percent.
The following is an example of how the spreads work. A bullion or semi-numismatic coin or bar that carries a twenty percent (20%) spread might be quoted by NGG at $1000, while NGG’s cost for the coin, and the most NGG would pay to buy that item from a supplier or other customer at that date and time (“bid” price), would be $800.
b) With IRA purchases the price as contracted in the agreement will remain locked until delivery of the product to Your IRA.
c) NGG’s prices are set internally based upon our analysis of a variety of factors and are not necessarily tied to spot metal prices or the prices quoted by any other organization, and are subject to change based on market conditions. NGG’s total profit before operating expenses may be more or less than the bid-ask spread based on various factors including, but not limited to: quantity purchased, favorable or unfavorable purchases, and positive and negative market conditions.
7. Fees. NGG reserves the right to apply a three percent (3%) Transaction and Processing Fee to all purchases, based upon the total purchase price before taxes. This fee covers all of NGG’s transaction costs (shipping, packaging, insurance, etc.), as well as the processing of the transactions (e.g. coordination between custodians). The details of this and other fees charged by NGG, where applicable, are outlined in a separate invoice, which this agreement incorporates herein by reference. If a Customer chooses to liquidate their account with National Gold Group, National Gold Group may apply certain other costs and fees to the balance of said account prior to the disbursement of funds to customer. These costs and fees include, but are not limited to a processing fee, and restocking fee.
8. ARBITRATION OF DISPUTES; LIMITATIONS PERIOD.
a) ANY DISPUTE, CLAIM, OR CONTROVERSY ARISING OUT OF OR RELATING TO CUSTOMER’S RELATIONSHIP WITH NGG, INCLUDING BUT NOT LIMITED TO THIS AGREEMENT OR THE BREACH, TERMINATION, ENFORCEMENT, INTERPRETATION OR VALIDITY THEREOF, OR ANY OTHER DISPUTE, CLAIM OR CONTROVERSY ARISING OUT OF ANY INTERACTION BETWEEN NGG AND CUSTOMER, SHALL BE BROUGHT WITHIN ONE YEAR OF THE EVENT OR TRANSACTION GIVING RISE TO THE DISPUTE, CLAIM OR CONTROVERSY. THE EXCLUSIVE VENUE FOR RESOLUTION OF SUCH DISPUTE, CLAIM OR CONTROVERSY SHALL BE ARBITRATION IN SANTA MONICA, CALIFORNIA, BEFORE ONE ARBITRATOR, AND ADMINISTERED BY JAMS PURSUANT TO ITS COMPREHENSIVE ARBITRATION RULES AND PROCEDURES (IF THE AMOUNT IN CONTROVERSY IS LESS THAN OR EQUAL TO $250,000) OR ITS STREAMLINED ARBITRATION RULES AND PROCEDURES (IF THE AMOUNT IN CONTROVERSEY IS LESS THAN OR EQUAL TO $250,000). THE ARBITRATOR SHALL HAVE SOLE JURISDICTION OF MATTERS RELATING TO THE SCOPE OR APPLICABILITY OF THIS AGREEMENT TO ARBITRATE.
CLAIMS MUST BE BROUGHT IN CUSTOMER’S INDIVIDUAL CAPACITY AND NOT AS A PLAINTIFF OR CLASS MEMBER IN ANY PURPORTED CLASS OR REPRESENTATIVE PROCEEDING. THE ARBITRATOR SHALL NOT CONSOLIDATE MORE THAN ONE PERSON’S CLAIMS, OR PRESIDE OVER ANY FORM OF REPRESENTATIVE OR CLASS PROCEEDING.
JUDGMENT ON THE AWARD MAY BE ENTERED IN ANY COURT HAVING JURISDICTION.
b) Confidentiality. All arbitration proceedings, including but not limited to any testimony, documents or evidence produced and the outcome of the arbitration shall be kept strictly confidential. Any breach of this confidentiality agreement shall entitle the non-breaching party to be entitled to injunctive relief and/or compensatory damages from any court having competent jurisdiction, or the arbitrator.
c) Authority of Arbitrators. The arbitrator shall have the authority to award compensatory damages, equitable relief, liquidated damages, pre-award interest, and attorney’s fees and costs.
d) Enforcing Arbitration. In the event a party fails to proceed with arbitration, unsuccessfully challenges the arbitrators’ award, or fails to comply with the arbitrators’ award, the other party shall be entitled to an award of any costs, including attorney’s fees, incurred in order to compel arbitration or defend or enforce an award.
9. The laws of the State of California, excluding any choice of law rules, shall govern any and all transactions and any and all disputes between NGG and Customer.
10. DISCLAIMER OF DAMAGES. IN NO EVENT, AND UNDER NO LEGAL THEORY, CONTRACT, TORT OR OTHERWISE, SHALL NGG OR ITS SUBSIDIARIES, AFFILIATES, OFFICERS OR EMPLOYEES BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE OR CONSQUENTIAL DAMAGES OF ANY KIND WATSOEVER, INCLUDING BUT NOT LIMITED TO DAMAGES RESUTLING FROM LOSS OF PROFITS, WAGES OR BUSINESS, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.
11. Risk Disclosure; Volatility of Market. The success of any precious metals purchase is dependent, in part, upon extrinsic economic forces including supply, demand, international monetary conditions, and inflation or the expectation of inflation. The impact of these forces on the values of coins cannot be predicted with any certainty. Customer acknowledges that the coin market can be volatile and that coin prices may rise or fall over time and that past performance is no indication of future performance. Moreover, rare coins are not suitable financial instruments for anyone seeking current income or short-term profits.
12. Non-Payment by Customer. In the event that Customer refuses to accept delivery of the purchased item(s) or fails to make payment when due, NGG, in its sole discretion, may cancel the transaction and resell such item(s) on a wholesale basis. If the amount received by NGG upon any such resale shall be less than the contract price with Customer, NGG shall be entitled to recover from Customer the difference between the resale price and Customer’s contract price, together with any incidental damages occasioned by Customer’s breach. If the amount received by NGG upon any such resale shall be in excess of the contract price with Customer, such excess amounts shall inure solely to the benefit of NGG and Customer shall not be entitled to share in any such excess amounts.
13. Retirement Accounts. NGG has made every effort to comply with current federal laws in connection with Coins placed in IRA accounts. However, NGG expressly disclaims any responsibility or obligation for any tax impact to Customer as a result of future Internal Revenue Code regulations or interpretations of current law. Customer expressly acknowledges and agrees that Customer has been advised to seek independent tax advice and that NGG has made no representations regarding the tax impact of Coins held as a physical asset in an IRA.
14. Credit Card Purchases. Credit card purchases are only available for numismatic and semi-numismatic coins, not bullion. All credit card purchases are final and the purchased
items may not be returned except pursuant to the provisions of Section 14 herein. Delivery of goods will only occur once the good funds have been distributed and verified by NGG.
15. Refund Policy.
a) No Refunds except as to Counterfeit Coin(s). NGG shall not be obliged to accept returns of any coin(s) for refund other than counterfeit coins returned in their original holders within one year of purchase. In such event, NGG’s liability to Customer shall be limited to refund of the purchase price or replacement of the coin(s) in question, at NGG’s option. NGG expressly disclaims any further liability to Customer, including any liability for lost profits or consequential damages.
b) Replacement of Numismatic Coin(s). Any Numismatic Coin may be replaced with any other Numismatic Coin of equal or greater value for any reason whatsoever within fifteen days of receipt of the Numismatic Coin by Customer; provided that the returned Numismatic Coin has not been removed from its original holder and is returned in the same condition as when it was shipped by NGG. The type and value of the replacement coin shall be under the sole discretion of NGG. Customer is responsible to pay the difference between the original and replacement coin and NGG’s processing fee.
c) Bullion. ALL BULLION TRANSACTIONS ARE FINAL UNLESS THE ITEM HAS BEEN PROVEN TO BE FALSE BY A COMPETENT AUTHORITY.
16. Disclaimer of Express Warranties. NGG warrants that the nature and precious metals’ content of the purchased item(s) are as described and are genuine, but no other express warranty is made in respect to any purchased item(s). Grades and descriptions of rare coins are opinions, not statements of fact or guarantees, and are based on standards and interpretations that can and do change over time. NGG uses contemporary grading standards and interpretations to grade coins, or relies upon the opinions of independent grading services such as the Professional Coin Grading Service, Inc., Numismatic Guaranty Corporation of America, ANACS, and The U.S. Mint. NGG does not guarantee that the coins it sells will achieve the same grades from NGG itself or from any independent grading service in the future.
17. Disclaimer of Implied Warranties. NATIONAL GOLD GROUP EXPRESSLY DISCLAIMS ANY OTHER WARRANTIES WITH RESPECT TO THE COINS, EXPRESS OR IMPLIED, INCLUDING THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.
18. Application to Future Transactions. Unless otherwise agreed by the Parties in writing, any additional transactions between the Parties of the kind contemplated by this
Agreement shall be subject to the terms and conditions set forth herein.
19. Customer Warranty. Customer warrants that he/she/it: (1) is of sound mind; (2) is sole owner or trustee of any funds used to make purchases from NGG; (3) has all necessary consents to enter into purchases with NGG; (3) was not unduly pressured to consummate this Agreement or any transaction with NGG; and (5) was given every opportunity to seek assistance in discussing his/her/its purchases from NGG.
20. Finality of this Writing. This Agreement is intended by the parties as a final expression of their agreement concerning the matters contained herein, and is also intended as a complete and exclusive statement of the terms of their agreement. This Agreement supersedes any oral or written statement prior to or contemporaneous with this transaction by NGG. Customer shall not rely on any statement by or on behalf of NGG which is inconsistent with this Agreement.
21. Severability. If any provision of this Agreement or any portion of any transaction between Customer and NGG is determined by any court of competent jurisdiction or arbitrator to be invalid, illegal, or unenforceable to any extent, that provision or portion shall, if possible, be construed as though more narrowly drawn, if a narrower construction would avoid such invalidity, illegality, or unenforceability or, if that is not possible, such provision shall, to the extent of such invalidity, illegality, or unenforceability, be severed, and the remainder of the Agreement or transaction shall be in full force and effect.