PREAPP LLC

Customer Terms of Use

These Customer Terms of Use (the “TOU”) constitute the agreement between PREAPP LLC (“PREAPP”) and the customers (“Customer(s),” “you”) of Mortgage Loan Originator identified on a registered PREAPP 1003 account (or “MLO”), who provides pre-approval loan services for Customers using PREAPP 1003 (“Services”). These Terms of Use governs the use of Services by Customers. By submitting information via the Service, you agree to be bound by these Terms of Use. These Terms of Use will bind all Customers who participate in the Services.

1.  GENERAL

1.1.   DEFINITIONS

1.1.1.  “Services” as used herein refers to the suite of services offered by PREAPP as listed at preapp1003.com.

1.1.2.  “MLO” as used herein means the Mortgage Loan Originator identified on the registered PREAPP 1003 account.

1.1.3.  “Customer” and you as used herein refers to the MLO’s customers using the Service.

1.1.4.  “Legal Fees” means any attorney’s fees, paralegal fees, costs, and/or expenses related thereto.

1.1.5.  “Software” means any necessary software used in connection with the Services.

1.2.   All parties explicitly agree that the use of the Services shall be pursuant to these Terms of Use. PREAPP shall not be bound by any additional or different terms provided by MLO or Customer.

1.3.   The Terms of Use shall be considered and construed as a binding agreement between you and PREAPP.

1.4.   The Terms of Use comprises the entire agreement between you and PREAPP, superseding any prior agreements. Please note that you may be subject to additional rules and regulations that may apply when you register for and use the Services. Any such additional rules and regulations shall be explicitly referenced herein and considered as incorporated within the Terms of Use.

2.     SERVICES

2.1  MLO Responsibilities. Customer’s rights and responsibilities with respect to MLO are governed by its relationship with and any contracts with such MLO, and any disputes directly or indirectly related to such relationship and agreements shall be between Customer and MLO and shall not include PREAPP. PREAPP assumes no responsibility for any defect in a product or service provided by MLO or breach of agreements between MLO and Customer.

2.2  Third-party Providers. The Service may integrate with products or services provided by third parties with whom MLO has written or other agreements. Customer’s rights and responsibilities with respect to such third parties are governed by such agreements and applicable law, and any disputes directly or indirectly related to such agreements shall be between Customer and the third party and shall not include PREAPP. PREAPP assumes no responsibility for any defect in a product or service provided by such third parties or breach of agreements between

MLO, Customer, and such third parties. Notwithstanding the foregoing, under no circumstances is PREAPP obligated to provide instructions to, receive or store information or documentation transmitted by such third party service providers, or transmit data, documentation or other information to such third parties.

2.2.1  To facilitate pre-approval, MLO may pull credit reports from third-party credit agencies via the Service. The Service acts as a portal to the credit agencies and MLO is able to use the Service to send encrypted results of credit agencies to Customers. PREAPP is not responsible for the accuracy, reliability or security of the credit agencies. Customer agrees that such services are subject to each credit agency’s terms of use and privacy policies. A list of Credit Agencies is available at http://preapp1003.com/credit-report-agencies.

2.2.2  To facilitate secure document management, loan origination services, and customer relationship management between MLO and Customers, PREAPP integrates with certain third-party providers. PREAPP is not responsible for the accuracy, reliability or security of these third-party providers. Customer agrees that such services are subject to each third-party provider’s terms of use and privacy policies. A list of third-party providers is available at http://preapp1003.com/preapp-1003-partners

2.3  Compliance with Laws. Customer agrees that MLO is solely responsible for compliance with all applicable federal and state laws, rules and regulations in MLO’s use of the Service and in any business operations conducted pursuant to these Customer Terms of Use and the MLO Terms of Use. MLO is solely responsible for ensuring that MLO and all of its employees, consultants, and business associates conducting business related to the Service are in compliance with all federal, state or other laws or regulations applicable to them in their professional capacities as mortgage bankers, mortgage brokers, mortgage professionals or any other regulated field or occupation.

Customer will cooperate with PREAPP to investigate or enforce these Customer Terms of Use, the MLO Terms of Use and applicable laws and regulations, and with any inquiry or investigation by regulators or law enforcement officials related to the Service.

2.4  Privacy and Security. Whenever PREAPP comes into contact with “nonpublic personal information” as (defined in the Gramm-Leach Bliley Act and its implementing regulations) of Customers, MLO’s customers and consumers, PREAPP agrees to implement and maintain appropriate measures to protect the confidentiality of such information.  Nonpublic personal information includes but is not limited to, name, address, income, Social Security number, relationship with Seller, loan information, credit history, bank history consumer reports, consumer file information, employment history, etc. PREAPP agrees to protect the confidentiality of all customer and consumer “nonpublic personal information” and that it will not be disclosed for any purpose other than the one for which it was received unless its disclosure is required by law. Customer agrees that at all times while MLO is using the Service, MLO is solely responsible for implementing and maintain appropriate measures to protect the

confidentiality of nonpublic personal information. MLO, not PREAPP, is solely responsible for ensuring MLO’s compliance with these Customer Terms of Use, MLO Terms of Use and applicable law when sharing nonpublic personal information with affiliates or service providers as permitted by these Customer Terms of Use, MLO Terms of Use, and MLO, not PREAPP, shall ensure all that such third parties implement and maintain appropriate security safeguards.

3.  FEES

3.1.   Fees for service are currently incurred by MLOs, not Customers. PREAPP reserves the right to charge fees for service to Customers in the future.

4.  SMS

4.1.   PREAPP will provide services through which customers may communicate with PREAPP by text or short code messaging through the PreApp 1003 program.

4.2.   Customers can text PREAPP to 33655 and it will provide a web link for them to view PREAPP’s website.

4.3.   Customers who opt in to PreApp 1003 will only get one alert. No messages will be sent after that.

4.4.   There are no premium charges for joining our PreApp 1003 message Alerts service. However, message and data rates may apply.

4.5.   To opt-out of the PreApp 1003 Alerts program, a subscriber can send or text STOP, END, QUIT, CANCEL or UNSUBSCRIBE to 33655. An unsubscribe message will be sent to their number confirming the cancellation, but no more messages will be sent after that one.

4.6.   For support or information about PreApp 1003 Alerts service, anyone can send or text HELP to 33655. Optionally, one may email support@preapp1003.com or call toll free (888) 652-6515.

4.7.   Supported Carriers. Alltel, AT&T, Cincinnati Bell, Dobson Cellular Systems, Inter Op, MetroPCS®, Nextel Communications, Sprint PCS, T-Mobile®, U.S. Cellular®, Verizon Wireless, and Virgin Mobile U.S. T-Mobile® is not liable for delayed or undelivered messages.

4.8.  Privacy Focused.

4.8.1.  PreApp 1003 Alerts’ top priority is the privacy of its users. The following is provided to address any concerns you may have.

4.8.2.  PreApp 1003 will never, under any circumstances, sell or distribute your cell phone number to third parties or PreApp 1003 clients for whom you have not approved.

4.8.3.  PreApp 1003 will never directly market to you any services for which you have not opted in, either by cell phone, text message or email.

4.8.4.  PreApp 1003 will never distribute any personal information about you, including your phone number, name, billing information or any other piece of identifying information.

4.8.5.  If any has any questions, they can call (888) 652-6515 or send an email to support preapp1003.com.

5.      CHANGES TO SERVICE

5.1.   PREAPP reserves the right at any time to modify or discontinue, whether temporarily or permanently the Service. Changes may occur from time to time. Notice of any changes or modifications will be provided through the Service and, as appropriate, other means of notice provided herein. Absence of any notice shall not affect the enforceability of these Terms of Use.

5.2.   PREAPP may update its software and/or code, in whole or in part. These updates may require your computer to install additional third-party software.

6.  INDEMNIFICATION BY CUSTOMER

6.1.   Customer agrees to indemnify, hold harmless and defend PREAPP from and against any and all judgments, liabilities, damages, losses, expenses and costs (including, but not limited to, court costs and legal fees) incurred by and for which PREAPP provides notice to Customer within thirty (30) days of such claim which relate to the violation of any third party’s copyright or proprietary rights arising in connection with the provision of Services where such violation arises from PREAPP’s reliance on Customer’s instructions or specifications or where Customer or its agents modify any aspect of the results of the Service or provide falsified information via the Service.

6.2.   Customer shall indemnify, defend and hold harmless PREAPP, its respective affiliates, subsidiaries, directors, officers, agents, suppliers, employees and assigns (collectively, “Indemnified Parties”), from and against any claims, expenses, and/or losses arising, including reasonable legal fees (including but not limited to attorney’s fees, paralegal fees, costs and expenses), made by any third party against PREAPP due to, arising from, and/or relating to: (i) Customers’ connection to and/or use of Services; (ii) the content of Customers’ data and/or any third party information used, maintained or stored in connection with the Services; (iii) the breach by Customer of these Customer Terms of Use or any representation, covenant or warranty contained herein; (iv) violation of any law by Customer or any third party arising out of or relating to Customer’s actions; (v) the modification or unauthorized use by Customer or distribution of the Services or PREAPP’s Intellectual Property; (vi) any violation of law in which Customer allegedly engaged; (viii) any information Customer sent, submitted, electronically received, viewed, printed, downloaded, or transmitted through the Service; or (ix) your violation of any rights of any other person or entity.

7.  LIMITED LIABILITY

7.1.   TO THE FULL EXTENT ALLOWED BY APPLICABLE LAW, THE PARTIES MUTUALLY WAIVE ALL CLAIMS AND RIGHTS OF RECOVERY AGAINST EACH OTHER FOR ANY SPECIAL, EXEMPLARY, CONSEQUENTIAL OR INDIRECT DAMAGES ARISING FROM OR RELATED TO THE SUBJECT-MATTER OF THIS AGREEMENT. CONSEQUENTIAL AND INDIRECT DAMAGES INCLUDE LOSS OF DATA, USE, INCOME, ANTICIPATED PROFITS ON UNPERFORMED WORK OR OTHER CONTRACTS OR PROJECTS, LOSS OF BUSINESS, GOODWILL OR REPUTATION OR OTHER CONSEQUENTIAL OR INDIRECT DAMAGES AS DEFINED BY APPLICABLE LAW.

7.2.   TO THE FULL EXTENT ALLOWED BY APPLICABLE LAW, PREAPP'S TOTAL LIABILITY TO CUSTOMER FOR ANY AND ALL INJURIES, CLAIMS, LOSSES, EXPENSES, OR DAMAGES WHATSOEVER ARISING OUT OF OR IN ANY WAY RELATED TO THIS AGREEMENT OR THE SUBJECT MATTER OF THIS AGREEMENT FROM ANY CAUSE OR CAUSES OF ACTION INCLUDING BUT NOT LIMITED TO PREAPP’S NEGLIGENCE, STRICT LIABILITY, BREACH OF CONTRACT OR BREACH OF WARRANTY SHALL NOT

EXCEED THE AMOUNT OF THE FEES PAID BY CUSTOMER TO PREAPP UNDER THIS AGREEMENT DURING THE PREVIOUS 12 MONTH PERIOD IN WHICH SUCH CLAIM ARISES.

8.  DISCLAIMERS OF WARRANTIES

8.1.   THE SERVICES ARE PROVIDED TO YOU “AS IS”, “WITH ALL FAULTS”, “AS AVAILABLE,” WITHOUT WARRANTY OF ANY KIND, EITHER EXPRESS OR IMPLIED, TO THE FULLEST EXTENT POSSIBLE UNDER APPLICABLE LAW.

8.2.   PREAPP SPECIFICALLY DISCLAIMS ANY AND ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, THE FOLLOWING:                                                          8.2.1. ANY WARRANTIES CONCERNING THE AVAILABILITY, ACCURACY, RELIABILITY, COMPLETENESS, CAPABILITIES, SECURITY, TIMELINESS, USEFULNESS AND/OR CONTENT OF:

8.2.1.1.   PREAPP SERVICES; AND,

8.2.1.2.   THE ABILITY OF THE SERVICES TO INTEROPERATE OR INTEGRATE WITH ANY THIRD-PARTY PRODUCTS SUCH AS SOFTWARE OR HARDWARE;

8.2.2.  ANY WARRANTIES RESULTING FROM A COURSE OF DEALING OR USAGE OF TRADE;

8.2.3.  ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE;

8.2.4.  ANY WARRANTIES OF NON-INFRINGEMENT; AND

8.2.5.  ANY WARRANTIES REGARDING THE RIGHTS AND TITLE OF PREAPP IN THE SERVICE, OR ANY WARRANTY THAT THE SERVICES DO NOT INFRINGE THE INTELLECTUAL PROPERTY RIGHTS OF A THIRD PARTY.

8.3.   PREAPP IS NOT LIABLE FOR ANY INFORMATION, SOFTWARE OR OTHER PRODUCTS THAT ARE DOWNLOADED FROM SERVICES BY YOU OR INSTALLED ON YOUR COMPUTER.    AS SUCH, PREAPP IS NOT RESPONSIBLE FOR ANY DAMAGE TO YOUR COMPUTER SYSTEM OR LOSS OF DATA THAT RESULTS FROM THE DOWNLOAD OF ANY SUCH MATERIAL.

8.4.   NO ADVICE OR INFORMATION, WHETHER ORAL OR WRITTEN, OBTAINED THROUGH OR FROM THE SERVICES SHALL CREATE ANY WARRANTY NOT EXPRESSLY STATED IN THE TERMS.

8.5.   PREAPP MAKES NO WARRANTY THAT THE SERVICES WILL BE ERROR-FREE, AVAILABLE WITHOUT INTERRUPTION, TIMELY, OR MEET YOUR REQUIREMENTS.

8.6.   PREAPP WILL MAKE REASONABLE EFFORTS TO MAINTAIN THE SERVICES. HOWEVER, WE ARE NOT RESPONSIBLE FOR ANY DAMAGE, LOSS OF DATA, CUSTOMER INFORMATION OR VENDOR DATA, REVENUE, OR OTHER HARM TO BUSINESS ARISING OUT OF DELAYS, MISDELIVERY OR NONDELIVERY OF INFORMATION, RESTRICTION OR LOSS OF ACCESS, BUGS OR OTHER ERRORS, UNAUTHORIZED USE DUE TO YOUR SHARING OF ACCESS TO THE PREAPP SERVICES, OR OTHER INTERACTION WITH THE SERVICES. YOU ARE RESPONSIBLE FOR MAINTAINING AND BACKING-UP YOUR DATA AND INFORMATION THAT MAY RESIDE ON THE SERVICES. WE DO NOT WARRANT THAT (I) THE SERVICES WILL MEET YOUR SPECIFIC REQUIREMENTS, (II) THE SERVICES WILL BE UNINTERRUPTED, TIMELY, SECURE, OR ERROR-FREE, (III) THE RESULTS THAT MAY BE OBTAINED FROM THE USE OF THE SERVICES WILL BE ACCURATE OR RELIABLE,

(IV) THE QUALITY OF ANY PRODUCTS, SERVICES, INFORMATION, OR OTHER MATERIAL PURCHASED OR OBTAINED BY YOU THROUGH THE SERVICES WILL MEET YOUR EXPECTATIONS, AND (V) ANY ERRORS IN THE SOFTWARE WILL BE CORRECTED.

9.  EXCLUSIONS AND LIMITATIONS.

SOME JURISDICTIONS DO NOT ALLOW THE EXCLUSION OF CERTAIN WARRANTIES OR THE LIMITATION OR EXCLUSION OF LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES. ACCORDINGLY, SOME OF THE ABOVE LIMITATIONS MAY NOT APPLY TO YOU.

10.  GENERAL PROVISIONS

10.1.   Acknowledgement. You acknowledge that you have read, understood, and agreed to all terms contained herein.

10.2.   Applicable Law. These Terms of Use shall be construed and enforced in accordance with the laws of the State of Texas without regard to its conflicts of laws provisions. Similarly, the laws of the State of Texas (again without regard to its conflicts of laws provisions) shall also govern any dispute arising between you and PREAPP. You agree to submit to the personal and subject matter jurisdiction of the courts located within the State of Texas. You also agree the venue for any action, dispute or proceeding with respect to this Agreement or any dispute between you and PREAPP shall be Harris County, Texas. You further waive all defenses to the contrary including, but not limited to, lack of personal jurisdiction or forum non conveniens.

10.3.   Arbitration Clause. Any dispute, claim, or controversy arising out of these Terms of Use, and/or the Services will be settled by arbitration in Harris County, Texas.  Such arbitration shall be conducted in accordance with the rules of American Arbitration Association or then-existing equivalent. The party requesting arbitration shall serve upon the other party a notice demanding arbitration and a description of the issue or issues to be arbitrated. Any award issued as a result of

the arbitration may be entered as a final judgment or order in any court of competent jurisdiction and enforced accordingly. All costs and expenses of the arbitration, including reasonable legal fees

(including, but not limited to, attorney’s fees, paralegal fees, etc.), shall be allocated among the parties as determined by the arbitrator or awarded to the prevailing party.

10.4.   Entire Agreement. The Parties agree that the Terms of Use as it shall be modified from time to time constitutes the full and complete understanding among them with respect to the subject matter hereof and supersedes and preempts any prior understandings, agreements, or representations by or among the Parties, written or oral, which may have related to the subject matter hereof in any way. You may not rely on any other statements, promises, or agreements by any party, whether written or oral, that alters or contradicts the terms of this Terms of Use.

10.5.   Incorporation Clause. This Terms of Use expressly incorporates the terms provided for in PREAPP’s Privacy and Security Policy.

10.6.   Independent Parties. You and PREAPP are independent parties and nothing contained in these Terms of Use shall be construed or implied to create any agency or partnership between you and PREAPP. At no time shall you or PREAPP act as an agent for or make commitments for or in the name of the other party.

10.7.   Jury Trial Waived. As provided in the Arbitration Clause above, you acknowledge that all disputes with PREAPP shall be resolved through arbitration. Should any arbitration or court find such restriction unenforceable and/or should any dispute appear before a court, you expressly waive any right to a jury trial in any action against PREAPP for any claims related to the Services. In fact, by using the Services and agreeing to these Terms of Use, you expressly agree that you shall not be permitted to obtain a jury trial in any action against PREAPP.

10.8.   Paragraph and Section Headings. Paragraph and Section headings are for convenience only and shall not be used to construe the Terms of Use or otherwise be given any legal effect.

10.9.   Reasonableness. The Parties have read each of the terms in the Terms of Use and consider each of them, including all subparts, to be reasonable.

10.10.   Savings Clause. In the event that any provision of the Terms of Use is held to be void or unenforceable by a Court of competent jurisdiction, the remaining provisions of the Terms of Use shall nevertheless be binding upon the Parties with the same effect as though the void or unenforceable part had been deleted. Further, any provision held to be void or unenforceable by a Court of competent jurisdiction shall be construed, if possible, to give effect to the Parties’ intent. The Parties agree that any such provision, in its form so modified by the court, shall then be enforceable and shall be enforced.

10.11.   Statute of Limitations. To the extent permitted by law, any claim or cause of action arising out of or related to use of the Services shall be filed within one (1) year after such claim or cause of action arose. To the extent permitted by law and as applicable, the doctrine of “continuous publication” shall apply to this Terms of Use.

10.12.   Waiver.

10.12.1.  No waiver of any breach of any provision of this Agreement shall constitute a waiver of any prior, concurrent or subsequent breach of the same or any other provisions hereof,

and no waiver shall be effective unless made in writing and signed by an authorized representative of the waiving party.

10.12.2.  The failure of PREAPP to insist, in any one or more instances, upon the performance of any of the terms of this Agreement or to exercise any right hereunder shall not be construed as a waiver of the future performance of any such term or the future exercise of such right.

10.12.3.  No PREAPP employee, agent, or representative, including, without limitation, a customer service representative, shall be entitled to waive any term of the Terms of Use or any other PREAPP agreement or policy.

10.14  Notices.

Notices by PREAPP to you for any reason (including changes to this Agreement, the Services, the fees, or other similar matters) may be provided by a general posting at http://preapp1003.com. Notices by you to PREAPP may be given through electronic mail to support@preapp1003.com unless otherwise specified in these Terms of Use. Without receiving a confirmation email back from PREAPP, you may not assume that your notice has been received.

10.15  Restricted Locations.

10.15.1   The Services may not be accessed, viewed, downloaded or otherwise used in any country or location in which doing so would or could be deemed a violation of any law, regulation, rule, ordinance, edict or custom.

10.15.2   The Services may not be used within and are not directed at any country or region currently embargoed by the United States. By using the Services, you agree to the foregoing and you warrant that you are not located in, or under the control of, or a national or resident of any such country or region.

10.15.3   You agree to comply with all applicable laws regarding the transmission of technical data exported from the United States or the country in which you reside.

10.16  REVISIONS TO TERMS OF USE

10.16.1   PREAPP reserves the right to revise, amend, or modify these Terms of Use, our Privacy and Security Policy, and other policies and agreements at any time and in any manner.

10.16.2   PREAPP shall provide notice of such changes by posting the revised policies to the applicable PREAPP owned websites and by either (a) providing you a message the next time you login into your account or (b) sending you electronic mail to the email address you provided when creating your account.

10.16.3   With respect to this Terms of Use, you should visit our website at http://preapp1003.com from time to time to review the then-current terms. At any time, the current-posted policies govern and shall be binding.

Notices by PREAPP to you for any reason (including changes to this Agreement, the Services, the fees, or other similar matters) may be provided by a general posting at http://preapp1003.com. Notices by you to PREAPP may be given through electronic mail to support@preapp1003.com unless otherwise specified in these Terms of Use. Without receiving a confirmation email back from PREAPP, you may not assume that your notice has been received.

You acknowledge and agree that the form and nature of the services that PREAPP provides may change from time to time without prior notice to you. Unless explicitly stated otherwise, any new feature that augments or enhances the current Services shall be subject to these Terms of Use.