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INTERNET SALES (ISP) POLICY

AETREX WORLDWIDE, INC.
INTERNET SALES POLICY

Aetrex Worldwide, Inc. (“Aetrex”) is a manufacturer of premium footwear and orthotic products. As part of its strategy to market the finest products available, Aetrex has adopted this Internet Sales Policy to regulate Internet sales of its footwear and orthotics. This Policy is limited to Internet sales of Aetrex products in the United States and Canada.

Properly fitting footwear and orthotics is an important purchase for individuals. Aetrex believes that optimum fit and performance, and the successful selling of our products, can only be achieved through face-to-face consultation with those distributors and vendors trained on the proper use and fitting of our products. There is no substitute for personal service which addresses each customer’s unique needs on an individual basis. Internet retailers cannot provide consumers with the same services as those who can offer in-person fitting, informational, and support services which we believe are critical to consumers receiving the maximum benefit, performance and value from our products.

Sales of Aetrex’s products over the Internet do not afford the authenticity and protection to the consumer that Aetrex expects from vendors who can offer in-person services if desired by consumers. We want to mitigate the risks associated with online purchases, such as customer dissatisfaction, customers disliking the style, or those who were not fully informed about the product and how it would function for their needs.

At the same time, Aetrex understands the need for supplemental means of communication between the vendors and their customers, and we recognize that the Internet is a large infrastructure for consumers seeking information and to purchase products conveniently. Therefore, Internet sales by Aetrex’s vendors will be permitted subject to the limitations specified herein. This Internet Sales Policy is intended to maintain our distinctive position in the marketplace.


THE INTERNET SALES POLICY IS AS FOLLOWS:

A. General Criteria

Only vendors who have: (i). annual revenue of at least $50 Million; or (ii). at least one (1) brick and mortar retail footwear location which stocks and features Aetrex footwear, will be permitted to sell Aetrex footwear only on their own website. Vendors not meeting the above criteria are not permitted to sell any Aetrex footwear on the internet. Vendors meeting the above criteria are still subject to the Internet selling restrictions of part B below.

B. Lynco® Orthotics, Lynco® Flips™, Lynco® Slides™, and Lynco® Clogs

Vendors who satisfy the criteria of Part A above are not permitted to sell Lynco® Orthotics, Lynco® Flips™, Lynco® Slides™, or Lynco Clogs® on their own website unless: (i). they have an annual revenue of at least $50 Million; or (ii). they operate at least five (5) brick and mortar retail store locations and at least five (5) of its total locations have iStep® foot scanning devices. A vendor who does not satisfy these criteria will not be permitted to sell Lynco® orthotics, Lynco® Flips™, Lynco® Slides™, or Lynco® Clogs on the Internet.

C. Third Party Marketplace

Vendors permitted to sell Aetrex footwear and/or Lynco orthotics, Lynco Flips™, Lynco Slides™, and Lynco® Clogs on the Internet as outlined in Parts A and B above shall not sell same on any, (i).Third party marketplace or third party websites,(e.g., Amazon, Jet, eBay, Alibaba, etc), (ii). Classified sites e.g., Craigslist, Facebook, etc.), or (iii). Direct messages on forums. Notwithstanding, vendors who are accepted into Aetrex’s Elite Dealer Program may in addition to their own website, sell Lynco® orthotics, Lynco® Flips™, Lynco® Slides™, and Lynco® Clogs only in the Amazon marketplace.

D. Miscellaneous

This Internet Sales Policy is not predicated on the pricing policies of any Internet Sellers, but solely upon the need for Aetrex vendors to have an appropriate balance between face-to-face personal customer service support and online sales activities. Aetrex proactively will monitor the Internet to identify Internet Sellers of our products, and may request documentation from any Internet Seller to confirm compliance. The failure to provide such documentation will result in such Internet Seller being an Unauthorized Internet Seller until such time that documentation is provided showing compliance. Aetrex reserves the right to discontinue supplying products to any unauthorized Internet Seller, including advising Aetrex’s distributors that they are not authorized to sell the specified products to such Internet Seller. The foregoing shall not constitute or be construed as a waiver or limitation of Aetrex’s rights or remedies under other agreements or applicable law, all of which are reserved.

 

Aug. 2017