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FREQUENTLY ASKED QUESTIONS
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PUNK HOUS INFO AND CLIENT ONBOARDING
TERMS AND CONDITIONS
INTRODUCTION
Your (herein, “You” or "Customer”) agreement to purchase the services, or the products designed and manufactured by Punk Hous, LLC, is subject to the following Terms and Conditions (“Terms”).
If at any time you have questions regarding our products, services, or these Terms, please contact our representatives at info@punkhous.com, or call (619) 780-7865.
SECTION I.
ORDERS
1.1 Sales Orders, Quotations, and Invoices. Punk Hous, LLC, a California Limited Liability Company (“Punk Hous”) furnishes Sales Orders to its Customers, or You, in the form of an invoice (“Invoice”). Until the parties have reached an agreement, the Sales Order is treated as a quotation (“Quote”) containing a written summary of the terms previously agreed-upon by oral, written, or electronic communication, among the parties herein regarding the products to be designed and manufactured by Punk Hous (the “Products”), and/or its services (“Services”), sometimes collectively herein referred to as “goods.” Such Sales Order/Quote includes the specifications, quantity, price, design charges, estimated total purchase price, shipping instructions, shipping methods, requested and estimated delivery dates, estimated shipping costs, estimated tariffs or other taxes (if known), “bill to” and “ship to” addresses, and any other special instructions agreed upon by the parties. The Sales Order/Quote is valid for 15 calendar days from the date of receipt and is not binding on Punk Hous until the Terms herein are met.
1.2 Deposit. Punk Hous is not bound by the terms of the Sales Order/Quote, as summarized in the Invoice, until it is in receipt of a deposit in the sum of fifty (50) percent of the total sum listed on the Invoice for the Products, and, where applicable, 100% of the setup costs and design time (collectively, the “Deposit”). This provision applies to Sales Orders/Quotes furnished by Punk Hous for branding, logo, or other illustration services; in which case, payment of the Deposit is required before the work commences or before the illustration is supplied to Customer for review, at Punk Hous’ discretion. For some illustration services, at Punk Hous’ discretion, payment of the full Invoice amount may be required before the work commences or is supplied to Customer for review.
1.3 Agreement. Your payment of the Deposit; Your approval of the design, artwork, or other illustrations provided by Punk Hous for Your review and proofing; and these Terms; shall constitute a complete and exclusive expression of the parties’ agreement (“Agreement”), and shall be effective on the same date that the above steps have been completed. With the exception to ongoing artwork being circulated between the parties for Your approval prior to production, any terms and conditions of Customer, or Customer’s exceptions to Punk Hous’ terms (such as Customer’s standard form contract, purchase order, or other delivery or pre-delivery document) are deemed to be material alterations of the parties’ agreement and are rejected by Punk Hous unless Punk Hous expressly agrees otherwise.
SECTION II.
PRICES AND PAYMENTS
2.1 Prices. The prices set forth in the Invoice are the prices for the goods in effect at the time of production start, including initial artwork, molds, mockups, setups, and effects, selected by the Customer. Due to the varying nature of the costs of production, all prices are subject to change, with notice, at any time prior to Punk Hous’ receipt of the Deposit and Your final artwork approval and proofing, to prices prevailing at the time of Punk Hous’ receipt of the Deposit and Your final artwork approval. Additionally, prices of the Products are subject to change during production, with notice to Customer. Finally, pricing for additional orders in relation to an order currently in production is subject to change, with notice, to the prices prevailing at the time of the additional order, and additional artwork approval (where applicable).
You acknowledge that Punk Hous may charge an additional fee for customized molds, mockups, setups, effects, and other production art required to fulfill an order. You further acknowledge that such molds, mockups, setups, effects, and production art, is the property of Punk Hous, and shall be retained by Punk Hous at all times. See Section IX for further details.
2.2 Design Charges. Charges for design services, logo packages, branding, and other illustration services to be provided by Punk Hous will be itemized in the Quote in the form of an hourly rate, or other negotiated price at Punk Hous’ discretion, depending on the scope of the service. Such Quote is not binding on Punk Hous until the Terms herein are met, and Punk Hous is in full receipt of the Deposit, or retainer (where applicable), and Customer’s final approval and proofing of the artwork. Punk Hous will not release its completed artwork or other illustration project until the remaining balance of the Invoice is paid in full. Additional designs will be subject to an additional charge (minimum of $250 per design). Additional other charges may apply where applicable.
2.3 Fluctuations. Notwithstanding any provision in this Agreement, if significant fluctuations occur at any time in the material cost of components required under this Agreement, Customer and Punk Hous will review the impact of such fluctuations and mutually agree to any pricing changes arising therefrom. For purposes hereof, a “significant fluctuation” is defined to mean 100% of the quoted bill of material.
2.4 Delays. If there is a delay in completion of shipment of any order, due to any change requested by Customer, or as a result of any delay on Customer’s part in furnishing information, or final payments required for completion of the order, the price agreed upon at the time of acceptance of the order is subject to change with notice.
2.5 Alterations. You acknowledge that changes to the agreed-upon terms between the parties, additions to the agreed-upon scope of work, changes to the agreed-upon and supplied design copy, or changes required to be carried out after Your acceptance of the drafted design or illustration, are subject to an additional charge. Additionally, such changes are subject to a delay in production and delivery, and expenses associated with such delays.
2.6 Shipping Rates. Prices contained in the Invoice for shipping, special packing, insurance, taxes, duties, tariffs, and other similar charges, are estimates only and subject to change upon completion of production of the goods, and/or changes to the shipping quantities or methods pursuant to Customer’s requests.
In addition to the varying nature of the costs of production, due to the dynamic nature of international trade policies, including recent U.S. tariff adjustments and shipping cost fluctuations, Punk Hous reserves the right to adjust prices accordingly. Despite these variables, producing goods in China remains the most cost-effective manufacturing option than domestic manufacturing, as many raw materials used by U.S. manufacturers are sourced from China.
2.7 Taxes. Unless the Customer holds a valid seller’s permit, there may be added to the price any sales or other tax or duty that Punk Hous may be required to collect or pay upon the manufacture and sale of the Products quoted. If such tax or duty is not included in the Invoice at the time of the parties’ Agreement, it may be invoiced separately later.
2.8 Payment Terms. Unless Punk Hous in its sole discretion otherwise expressly agrees, upon completion of production, or completion of a design, artwork, or other illustration service, Punk Hous shall Invoice Customer with the total balance due on the purchase price of the product or service, design charges, alteration charges, shipping costs, duties and other taxes, less the receipt of the Deposit (herein “Final Invoice”). Customer shall pay the Final Invoice in full, in United States Dollars, prior to the shipment of the Products to Customer’s designated “ship to” location, or prior to delivery of the completed illustration project, depending on the service, in accordance with the terms of the Final Invoice.
Unless otherwise agreed upon in writing, all payments shall be remitted by ACH, cash, check, cashier’s check, or wire transfer. To facilitate the production and shipping process, if paid by check, Customer may e-mail or text message a legible color photocopy of the front and back sides of the check(s) with consent for Punk Hous to deposit the check(s) via mobile deposit. Failure to pay the Final Invoice upon receipt shall constitute a breach of the parties’ Agreement and these Terms.
2.9 Delinquent Payments. If a Customer is delinquent in the payment of any Invoice, or is otherwise in breach of their Agreement, Punk Hous may at its discretion, withhold shipment (including partial shipments) or delivery of any goods, reject or cancel other orders requested by Customer, and/or require Customer to prepay for further shipments. Any sum not paid by Customer when due shall bear interest until paid at a rate of 10% or the maximum rate permitted by California law whichever is less.
Punk Hous’ exercise of its rights under these Terms, Federal law, or California law, does not constitute a waiver of its rights under this Section.
2.10 Insecurity. Punk Hous shall retain the right to suspend performance of any order or require payment in cash, security or other adequate assurance satisfactory to Punk Hous when, in Punk Hous' opinion, the financial condition of the Customer, or other grounds for insecurity, warrant such action.
2.11 Security Interest. You grant Punk Hous, by and through these Terms, a security interest in the Products purchased under the Agreement to secure payment for those Products. If requested by Punk Hous, You agree to perfect the security interest.
2.12 Disputes. If Customer disputes, or otherwise disagrees, with Punk Hous’ performance under these Terms, Customer does not have the right under these Terms, any other agreement(s) with Punk Hous, or any other document or law, to withhold, offset, recoup or debit any amounts owed (or to become due and owing) to Punk Hous; whether pursuant to these Terms or otherwise, whether relating to Punk Hous’ breach or non-performance of these Terms, or any other agreement between you, your affiliates, assignees, or successors in interest, and Punk Hous’ affiliates, assignees, or successors in interest.
SECTION III.
SHIPPING AND DELIVERY
3.1 Shipment. Unless otherwise specified by Customer, all shipments shall be delivered to the “ship to” address provided to Punk Hous by Customer’s authorized representative. Shipping dates provided by Punk Hous to Customer are estimates only. Punk Hous assumes no liability for loss, damage or consequential damage, while the Products are shipped. Punk Hous is not liable for delays or product seizures by U.S. Customs and Border Protection or any other government entity in the United States or Abroad. Punk Hous may, in its sole discretion, without liability or penalty, make partial shipments of products to Customer. The quantity of all installments of goods, as recorded by Punk Hous on dispatch from the manufacturing location, shipping point, or Punk Hous’s place of business, is conclusive evidence of the quantity of goods received by the Customer on delivery, unless the Customer can provide conclusive evidence of the contrary.
3.2 Lost Shipments. Punk Hous assumes no liability for losses sustained by Customer for Products lost or misplaced by the shipping carrier(s), warehousemen, or bailee(s). If such loss occurs, Punk Hous will facilitate re-ordering and re-shipment of the replacement Products, at full price. Replacements and re-shipments of lost Products will not be discounted.
3.3 Force Majeure. Likewise, Punk Hous shall not be liable for any delay in delivery or for non-delivery, in whole or in part, caused by the occurrence of any contingency beyond its reasonable control, including but not limited to war (whether an actual declaration thereof is made or not), sabotage, insurrection, rebellion, riot or other act of civil disobedience, act of public enemy, failure or delay in transportation, act of any government or any agency or subdivision thereof, judicial action, labor disputes, fire, accident, explosion, epidemic, quarantine, restrictions, storm, flood, earthquake, or other natural disaster.
3.4 Rescheduled Delivery. Rescheduled deliveries will be subject to acceptance by Punk Hous, and an additional charge. If any such reschedule represents a delay in shipment, Customer shall be responsible for any and all costs incurred by Punk Hous associated with the delay. If such reschedule represents an acceleration of the delivery date, Punk Hous shall use its best efforts to meet the request and any extra costs incurred to meet the new delivery date shall be added to the purchase price of the Products.
3.5 Inspection, Acceptance, Returns. Customer shall promptly inspect the Products within ten (10) calendar days of receipt. No Products shall be returned to Punk Hous without Punk Hous’ written authorization. Any claims for defects, manufacturing errors, or non-compliance with the specifications proofed and approved by Customer, must be submitted in writing to Punk Hous within ten (10) calendar days of receipt of the goods.
SECTION IV.
CANCELLATION
4.1 Cancellation. Customer may cancel an order upon delivery of a written cancellation or termination notice to Punk Hous within two (2) business days of the effective date of an Agreement. In such case, Customer shall pay all costs of materials and components purchased by Punk Hous, shipping costs, design charges, and other incidental costs incurred by Punk Hous, pursuant to the Agreement that is being cancelled.
SECTION V.
DISCLAIMER OF WARRANTIES AND LIABILITY
5.1 No Warranties. ALL CONTENT, PRODUCTS, AND SERVICES PROVIDED THROUGH PUNK HOUS’ REPRESENTATIVES ARE DELIVERED ON AN “AS-IS” AND “AS AVAILABLE” BASIS. YOUR USE OF THE CONTENT, PRODUCTS, AND SERVICES IS AT YOUR SOLE RISK. PUNK HOUS EXPRESSLY DISCLAIMS ALL WARRANTIES OF ANY KIND, WHETHER EXPRESS, IMPLIED OR STATUTORY, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE, AND NON-INFRINGEMENT OF INTELLECTUAL PROPERTY RIGHTS OF A THIRD PARTY.
THIS DISCLAIMER OF WARRANTIES SHALL EXTEND TO ANY ABUSE, MISUSE, ACCIDENT, ALTERATION, NEGLECT, UNAUTHORIZED REPAIR OR INSTALLATION, MODIFICATION, OR ENHANCEMENT OF THE PRODUCTS, DESIGNS, MOCK-UPS, SAMPLES, OR ANY OTHER SERVICES PROVIDED BY PUNK HOUS.
5.2 No Liability. YOU EXPRESSLY AGREE THAT IN NO EVENT SHALL PUNK HOUS BE LIABLE TO YOU OR ANY THIRD PARTY FOR ANY CONSEQUENTIAL, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, PUNITIVE OR ENHANCED DAMAGES, LOST PROFITS OR REVENUES OR DIMINUTION IN VALUE, ARISING OUT OF, OR RELATING TO, OR IN CONNECTION WITH THE USE OF AND/OR THE SALE OR PURCHASE OF PRODUCTS OR SERVICES; REGARDLESS OF (A) WHETHER SUCH DAMAGES WERE FORESEEABLE, (B) WHETHER OR NOT PUNK HOUS WAS ADVISED OF SUCH POSSIBILITY OF SUCH DAMAGES, (C) THE LEGAL OR EQUITABLE THEORY (CONTRACT, TORT OR OTHERWISE) UPON WHICH THE CLAIM IS BASED, AND (D) THE FAILURE OF ANY AGREED OR OTHER REMEDY OF ITS ESSENTIAL PURPOSE.
IF A COURT OF COMPETENT JURISDICTION DISREGARDS THIS SECTION AND DECIDES TO HOLD PUNK HOUS LIABLE TO YOU OR A THIRD PARTY, IN NO EVENT SHALL PUNK HOUS’ AGGREGATE LIABILITY ARISING OUT OF THIS AGREEMENT OR RELATED TO THE PURCHASE OF PRODUCTS OR SERVICES, WHETHER FOUNDED ON BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE) OR OTHERWISE, EXCEED THE TOTAL OF THE AMOUNTS PAID TO PUNK HOUS BY YOU FOR THE PRODUCTS AND SERVICES SOLD.
SECTION VI.
COMPLIANCE AND COMPATIBILITY
6.1 Compliance. You acknowledge that Punk Hous has no expertise in, and is not being retained for the purposes of, investigating, detecting, abating, replacing, remediating, or removing any items, products, or services, which may render Your intended use or actual use of Punk Hous’ products or services unlawful or non-compliant with industry customs and standards. Punk Hous does not represent or warrant that any content, products or services offered by its representatives or otherwise, are compliant with applicable law, as it relates to your intended or actual use of its products or services. Including, without limitation, heavy metal or hazardous substance regulations; controlled substances regulations; specific compliance standards in Your industry; language, words, phrases, disclaimers or symbols; or other industry-specific requirements and regulations for such products or services. You are solely responsible for adhering to local, State, and Federal, licensure requirements as it relates to Your intended and actual use(s) of the goods designed and sold by Punk Hous. Further, You are solely responsible for consulting separate and independent legal counsel to obtain advice with respect to any compliance issues or other inquiries, in relation to the design and manufacturing of the products or services sold by Punk Hous, and Your intended use(s) and/or actual use(s) of such products or services.
By agreeing to purchase goods from Punk Hous, You represent and warrant that: (i) You are acting in compliance with and shall comply with all applicable laws, regulations and ordinances in connection with Your intended and/or actual use of the products or services that You are purchasing from Punk Hous; (ii) You shall use the products or services provided by Punk Hous or its agent(s) in conformance with recognized industry, compliance, and professional standards; (iii) You have used Your own independent skill and expertise in connection with the selection and use of the products or services purchased through Punk Hous; or, alternatively have consulted with counsel who possess the requisite skill and expertise; (iv) You possess the skill and expertise in the handling, storage, transportation, treatment, use and disposal of the products or services purchased through Punk Hous; or, alternatively, have hired a professional who possess the requisite skill and expertise; (v) You will ensure that the products or services You purchase from or through Punk Hous are safe for Your intended and/or actual use and that the products are handled in a safe and professional manner; and (vi) You are an authorized purchaser of the products and/or services sold by Punk Hous.
You further acknowledge that Punk Hous’ design and manufacturing of product packaging and accessories does not render Punk Hous a participant or seller of the products in Your industry, or subject Punk Hous to the industry-specific customs and regulations that You are required to adhere to. You are solely responsible for reviewing, testing, proofing, and approving, all wording, compliance and designs submitted to You by Punk Hous before Punk Hous sends the designed product for production.
PUNK HOUS IS NOT LIABLE TO YOU OR A THIRD PARTY, INCLUDING ANY LOCAL, STATE, OR FEDERAL LAW ENFORCEMENT AGENCIES, FOR THE ULTIMATE USE OF ITS PRODUCTS, INCLUDING THE LEGAL COMPLIANCE OF THE CONTENTS WHICH YOU CHOOSE TO STORE, FILL, OR OTHERWISE HOUSE, WITHIN THE PACKAGING PRODUCTS AND ACCESSORIES DESIGNED BY PUNK HOUS.
Finally, any purchaser, customer, or user, of such products or services purchased from Punk Hous shall have and maintain in effect all the licenses, permissions, authorizations, consents and permits (the “Requisite Licenses”) that is needed to carry out its obligations to purchase any products or services through a Punk Hous representative. In the event Punk Hous requests any purchaser, customer, or user, to provide the Requisite Licenses, said purchaser, customer, or user, shall promptly comply with such request. Non-compliance with this request shall constitute a breach of their Agreement and these Terms. Delays caused by Your failure or delay to comply with Punk Hous’ requests are subject to additional fees and costs associated with such delays.
6.2 Compatibility. Punk Hous is not responsible for product compatibility with any products and/or services sold to You, including without limitation, product or package compatibility, stability, functionality, decoration, adhesion, leakage testing, drop tests and shipping tests. Punk Hous strongly recommends that You perform compatibility testing and line trials on all components of goods or services purchased prior to commencing production or filling any products purchased through Punk Hous. Upon written request, Punk Hous may provide samples of products based on the item and quantity needed (subject to sampling charges) as determined by Punk Hous. Punk Hous does not guarantee the current status, accuracy, or completeness of any designs, products or services. You are solely responsible for reviewing and approving all designs, mockups, models, or samples, including compliance with industry customs, standards, and regulations, before such goods are sent for production and shipping.
SECTION VII.
TERMINATION
7.1 Termination. Either party shall be entitled forthwith to terminate their Agreement by giving written notice to the other party in the event of:
(a) the other party committing a continuing or material breach of their Agreement and these Terms, and, if the breach is capable of remedy, failing to remedy it within seven (7) calendar days after receipt of a written notice giving full particulars of the breach and requiring it to be remedied;
(b) the liquidation or insolvency of the other party;
(c) the appointment of a receiver or similar officer for the other party;
(d) the assignment by the other party for the benefit of all or substantially all of its creditors;
(e) the entry by the other party into an agreement for the composition, extension, or readjustment of all or substantially all of its obligations;
(f) the filing of a petition in bankruptcy by or against the other party under any bankruptcy or debtors’ law for its relief or reorganization;
(g) the other party ceasing, or threatening to cease, to carry on business; or
(h) the party delivering the notice reasonably apprehending that any of the events mentioned above is about to occur in relation to the other party and the notifying party notifies the other party accordingly.
For the purpose of the first paragraph in this section, a breach shall be considered capable of remedy if the party in breach can comply with the provision in question in all respects other than as to the time of performance (provided that time of performance is not of the essence).
The rights to terminate an Agreement given by this clause shall not prejudice any other right or remedy of either party in respect of the breach concerned (if any) or any other breach. On the termination of an Agreement for any reason, subject as otherwise provided in these Terms and to any rights or obligations that have accrued under law prior to termination, neither party shall have any further obligation to the other under their agreement and these Terms.
SECTION VIII.
CONFIDENTIALITY
8.1 Confidentiality. Both parties acknowledge that, by reason of their relationship, they may have access to certain information and materials concerning the other’s business, plans, and products (including, but not limited to, information and materials contained in technical data provided to the other party) which is confidential and of substantial value to the other party, which value would be impaired if such information were disclosed to third parties. Neither party shall use in any way, for their own account or the account of any third party, nor disclose to any third party, any such confidential information which is disclosed in written form to it by the other party hereto, without written authorization from the other party. Each party will take every reasonable precaution to protect the confidentiality of such information consistent with the efforts exercised by it with respect to its own confidential information. Each party shall advise the other if it considers any particular information or materials to be confidential. This provision shall survive termination of Your Agreement and these Terms.
SECTION IX.
INTELLECTUAL PROPERTY RIGHTS
9.1 Ownership Rights of Punk Hous. Molds, mockups, sketches, rough layouts, visualizations, compositions, setups, effects, illustrations submitted for proofing, and all preliminary and final artwork invented or designed by Punk Hous and its representatives, is the sole property of Punk Hous, and shall be retained in Punk Hous’ possession. This shall include Punk Hous’ production art used to send a Product to production with its manufacturing partners. You acknowledge that charges for design and illustration work by Punk Hous, in relation to, or in furtherance of designing and producing your Products, do not entitle You to Punk Hous’ protected production art. Assets used for production art will be provided upon request, but will exclude Punk Hous’ protected production art or property. Release of assets used for production art does not constitute a waiver of Punk Hous’ ownership rights to its inventions or designs. Upon request, Punk Hous may supply proofs as appropriate for printing, or other graphic files, subject to an additional fee, but shall exclude Punk Hous’ protected production art or other protected intellectual property.
9.2 Customer’s Copyrights and Trademarks. By supplying text, images and other data to Punk Hous for inclusion into the goods sold by Punk Hous, You declare that You hold the appropriate ownership rights, or copyright and/or trademark permissions from its rightful owner, for Your use of such data. The ownership of such materials shall remain with You, or the rightful owner. By supplying images, text, or any other data to Punk Hous, You grant Punk Hous permission to use such material freely in the pursuit of the design, illustration, or production services that You have hired Punk Hous to complete.
9.3 Professional Credits. Subject to the Confidentiality provisions set forth above, Punk Hous shall have the right to include representations of a completed design or illustration project, including photographs, among its professional materials, including, but not limited to, promotional materials, its website, professional publications, and competition submissions. Displaying content in Punk Hous’ website and other promotional platforms does not constitute a waiver of its intellectual property rights.
SECTION X
DISPUTE RESOLUTION
10.1 Negotiation. You acknowledge that it is the parties’ intention to avoid the cost of litigation and to resolve problems amicably if possible. To that end, in the event of a dispute arising under or relating to the Agreement and/or these Terms, including an allegation of breach, the parties agree to negotiate with each other in good faith and, recognizing their mutual interests, to use their best efforts to reach a fair and equitable solution satisfactory to both parties.
(a) Negotiation Procedures. If the parties are unable to resolve their dispute(s) through informal measures (i.e., a phone call, or e-mail exchange), any party may initiate negotiations by giving all other parties written notice by certified mail or electronic mail, containing the parties’ position as to the matter(s) in dispute. Within 30 days of receiving the initial notice, the responding party shall serve the noticing party with a written response by certified mail or electronic mail containing their position as to the matter(s) in dispute. The parties shall designate a representative authorized to make decisions on their behalf, and to schedule the date, time, and means of negotiation (either in person, phone call, or remote video appearance).
(b) Discovery, Confidentiality, and Statute of Limitations. The parties are entitled to initiate discovery to exchange information reasonably necessary to resolve the dispute at issue without undue expense. All applicable statutes of limitation are tolled while the negotiation procedures specified herein are pending. The negotiations pursuant to these Terms shall be treated as confidential settlement communications within the scope of the protection provided by California Evidence Code section 1152.
(c) Enforceability. You acknowledge that the obligation to participate in the negotiations provided for in these Terms to be an essential provision of the Agreement and these Terms, and one that is legally binding upon You. In case of a breach of this obligation by either party, the other party may bring a motion to compel enforcement of this obligation in the same manner, and utilizing the same procedures, as a motion to compel arbitration under the Cal. Code of Civil Procedure in any court of law having jurisdiction thereof. No party is entitled to proceed to arbitration unless that party has participated in negotiations first. If any party fails or refuses to participate in the negotiation by other parties may proceed immediately to mediation, the costs of which shall be borne equally among all parties.
The procedure for negotiation provided herein applies to all disputes arising under or related to the Agreement and/or these Terms and one that is legally binding upon You.
10.2 Mediation. If the parties are unable to resolve their dispute(s) by utilizing the negotiation procedures set forth in Section 10.1, then the parties shall endeavor to settle the dispute by mediation. If a party fails or refuses to participate in mediation after a request has been made, the requesting party(ies) may proceed immediately to arbitration, the costs of which shall be borne equally among all parties. The refusing party shall not be entitled to attorney’s fees and costs, even if they would otherwise be available to that refusing party. The provisions under Section 10.1, subsections (a) through (c), shall apply to the mediation provisions in this Section 10.2.
10.3 Arbitration. If the parties are unable to resolve their dispute(s) in mediation, the dispute(s) shall be finally resolved by arbitration in accordance with the California Arbitration Act (CAA) (CCP §§1280-1294.2). The arbitrator shall be a retired judge or justice, or an attorney with at least five (5) years of experience in business law, unless the parties mutually agree to a different arbitrator. The arbitrator shall render an award in accordance with substantive California Law. Judgment upon the award of an arbitrator may be entered in any court of competent jurisdiction. The parties shall have the right to discovery in accordance with the discovery rules of the California Code of Civil Procedure. If a party refuses to arbitrate after a request has been made, then the refusing party shall not be entitled to attorney’s fees and costs, even if they would otherwise be available to that refusing party. The provisions under Section 10.1, subsections (a) through (c), shall apply to the mediation provisions in this Section 10.3.
10.4 Right to Initiate Litigation. If the dispute(s) has/have not been resolved by the means as provided in Sections 10.1 through 10.3 above, these Terms do not preclude either party from initiating litigation in a Court of jurisdiction. If a party refused to participate in either of the alternative dispute resolution methods listed above, the refusing party shall not be entitled to attorney’s fees and costs, even if they would otherwise be available to that refusing party.
10.5 Attorney’s Fees and Costs. If any party brings an action or proceeding involving these Terms and their Agreement, whether founded in tort, contract or equity, or to declare rights hereunder, the Prevailing Party in any such proceeding, action, or appeal thereon, shall be entitled to reasonable attorney’s fees and costs, subject to the attorney’s fees provisions in Sections 10.1 through 10.3 above. Such fees may be awarded in the same suit or recovered in a separate suit, whether or not such action is pursued to decision or judgment. The attorney’s fees shall not be computed in accordance with any court fee schedule but shall be such as to fully reimburse all attorney’s fees reasonably incurred.
In addition, Punk Hous shall be entitled to attorney’s fees and expenses incurred in preparation and service of demand letters, notices of breach or default, notices of termination pursuant to Section 7, cease and desist, and consultations in connection therewith, whether or not legal action is subsequently commenced in connection with such default or resulting breach. $500 is a reasonable minimum per occurrence for such services and consultation.
SECTION XI
GENERAL PROVISIONS
11.1 Indemnification. The Customer shall indemnify, defend and hold harmless Punk Hous and its officers, directors, employees, agents, affiliates, successors and permitted assignees (collectively, “Indemnified Party”) against any and all losses, damages, liabilities, deficiencies, claims, actions, judgments, settlements, interest, award, penalties, fines, costs, or expenses of whatever kind, including attorneys’ fees and the cost of enforcing any right to indemnification and the cost of pursuing any insurance providers, incurred by Indemnified Party, relating to or resulting from any claim of a third party or arising out of or occurring in connection with use of any purchase of the products and services from Punk Hous.
11.2 Governing Law. Your Agreement and these Terms shall in all respects be construed, interpreted, and enforced in accordance with, and governed by the laws of the State of California. Whenever there is a conflict of laws, the laws of the State of California shall prevail.
11.3 Severability. If any term or provision of the Agreement and these Terms shall be held invalid or unenforceable to any extent, the remainder of the Agreement and these Terms shall not be affected and each other term and provision of Agreement and these Terms shall be valid to the fullest extent permitted by law.
11.4 Notices. All notices, requests, demands, and other communications under the Agreement and these Terms shall be in writing and served to the parties’ principal place of business or designated agent for service, if applicable.
11.5 Waiver. The failure of Punk Hous’ strict compliance with any of the terms, covenants or conditions of its Agreements and these Terms shall not be deemed a waiver of that term, covenant or condition, nor shall any waiver or relinquishment of any right or power at any one time be deemed a waiver or relinquishment of that right or power for all or any other time.
11.6 Assignment. The Agreement and these Terms shall not be assignable by either party without the prior written consent of the other party, which consent shall not be unreasonably withheld.
11.7 Construction. The headings in these Terms are for convenience only and shall not affect its interpretation.
11.8 Entire Agreement. Your Agreement with Punk Hous, including these Terms, contain the entire agreement between the parties with respect to its subject matter and supersedes all previous agreements and understandings between the parties.
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