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CPR Pharmaceutical Reverse Distribution Service Agreement 0 Page 3 of 7 <br />identified on all product inventory manifests. As agreed upon, Guaranteed Returns® will instruct the <br />® pharmacies' wholesalers to deduct the service fee for the total of the direct vendors estimated credit <br />amounts. CPR facilities and/or affiliates agree to accept full responsibility for Guaranteed Returns®' fee in <br />the event the Drug Wholesaler fails to deduct any portion of the applicable service fee from its credits. Refer <br />to Exhibit B for further pricing schedule information. <br />CPR acknowledges that there are variables beyond the control of Guaranteed Returns® which may affect <br />the ultimate total credit return values. The estimated credit value, (ERV) is only an estimate. Guaranteed <br />Returns' does not guarantee the specific estimated credit return dollar value (ERV) and disclaims any <br />responsibility whatsoever for payment of the estimated credit return value. Guaranteed Returns® will, of <br />course, utilize its best efforts to realize the estimated credit return values and obtain the highest credit <br />values within its control. Our Credit Reconciliation Department will utilize its best efforts to collect, reconcile <br />and issue credits in a timely manner and as soon as reasonably possible. Credits may be delayed due to <br />wholesaler and/or manufacture delays, responsibility for which is expressly disclaimed by expressly <br />disclaimed by Guaranteed Returns®. The beneficial feature of receiving your credits as a consolidated Lump <br />Sum Credit, instead of the traditional credit tracking method, requires them to be issued at various time <br />intervals. This is determined by which Drug Wholesaler the pharmacy utilizes. <br />In the event that AmeriSource Bergen Corporation, the California Department of Corrections contracted <br />wholesaler, or the pharmaceutical manufacturers issues credit in the form of a check and not the standard <br />credit memo method, Guaranteed Returns® will request that these checks be issued to the California <br />Receivers Office for further processing and final disposition and not to each CPR facility. <br />If applicable, collection, accounting and distribution/allocation of all industry 'Administration Fees' are the <br />responsibility of each participating facilities, members and/or affiliates. <br />0 IV. MISCELLANEOUS TERRM <br />This agreement will be interpreted and governed by the laws of the State of California, without giving <br />effect to the principles of conflict of laws. <br />This agreement, including all Exhibits and Addendums, constitutes the entire agreement between the <br />parties and there are no other oral or written understandings and/or agreements between Guaranteed <br />Returns®, Guaranteed Returns® Midwest Division and CPR that relate to the subject matter of this <br />agreement. Unless specifically agreed upon in writing, this would include; any promotional literature, <br />advertisements and/or proposals previously discussed and/or distributed. Guaranteed Returns' expressly <br />disclaims any warranties, expressed or implied, other than that which may have been set forth specifically <br />herein. <br />The duration of this agreement will be in force and in effect for a period of three (3) years from the inception <br />date indicated on page one. In addition, an option to extend this agreement for an additional two, one (1) <br />year extensions may be exercised by mutual written consent of the parties. <br />This agreement may be terminated by either party with or without cause upon thirty (30) days' prior written <br />notice to the party. Termination of this Agreement in whole or in part does not relieve any party from its <br />obligations under this agreement that accrued prior to the effective date of termination. This includes <br />Guaranteed Returns'' responsibilities to perform its pharmaceutical return goods services in accordance <br />herewith as well as CPR facilities and/or affiliates obligation to compensate Guaranteed Returns'' for <br />services rendered. <br />Guaranteed Returns' represents that it has in effect a corporate compliance program or equivalent policy, <br />which includes provisions concerning fraud and abuse and compliance with state and federal law, and that <br />Guaranteed Returns® shall comply with it in all its dealings with the CPR Facilities, <br />