RULES AND REGULATIONS FOR USING "WOWID"

ARTICLE 1. The General

1. Objectives

These Rules and Regulations ("Rules and Regulations") set forth policies and procedures for the distribution of download contents, operations of distribution, and Service related to the distribution and operations ("Service") on an Internet site which Wow inc. ("Company") operates, and also set forth procedures and conditions with which a User of the Service ("User") shall comply when using the Services. THE RIGHT OF RECEIVING THE SERVICE IS OFFERED TO THE USER ONLY ON THE CONDITION THAT THE USER AGREES TO THESE RULES AND REGULATIONS. THE USER SHALL BE DEEMED TO HAVE AGREED TO BE BOUND BY THESE RULES AND REGULATIONS BY USING THE SERVICE.

2. Providing Service

The Company provides the Service to the User based on the Rules and Regulations, the Terms of Service the Company specifies separately, "a user guide" of each Service, and/or the terms of each Service specified by "a notice to user."

3. Definitions

As used in the Rules and Regulations and unless the context otherwise plainly requires, the terms defined in the Rules and Regulations shall have the meanings ascribed to them in this paragraph:
(1) "User" means the person agreeing to the Rules and Regulations and using the Service.
(2) "Download contents" mean the download data such as information, communication, software, music, sound and other information or service, visual data, graphics data (including pictures), or flash movie sold by a creator of contents or a publisher through this web site.

4. Scope of The Rules and Regulations and The Terms of Service

(1) The Rules and Regulations and the terms of Service shall apply to both the Company and the User with respect to the use of the Service. The User shall faithfully comply with the Rules and Regulations and the terms of Service.
(2) If any provision of the Rules and Regulations and of the terms of Service differ, the terms of Service shall supersede and apply. The notice specified in Item 29 of the Rules and Regulations shall constitute a part of the Rules and Regulations.

ARTICLE 2. Start/Termination of the Service

5. Qualification of User

(1) The User may be an individual or a company. A person wishing to use the Service ("Applicant") applies for use of the Service to the Company through the specified application process and becomes the User when the Company approves the application. The User shall register the accurate, true and latest information which the Company specifies and requires when starting the use of the Service, and shall be liable for maintaining the accuracy, truth, and applicability of the data. If there is a change in the registered data, the User shall make such a change immediately following the policy the Company specifies. The Company shall not be liable for any damages or loss caused by a failure to comply with this procedure. If any damage results to the Company due to the User's failure to comply with this procedure, the User shall be liable for such damage.
(2) If an Applicant is not a sui juris, such as a minor, the application for the Service shall require the consent of a person who supplements the legal capacities of the User ("Legal Representative"). The Legal Representative shall cosign for the Service and jointly and severally bear all the liabilities of the Service.

6. Application

When you apply for the Service, you will complete either of the following procedure:
(1) You will fill in the data accurately in the application form listed on the home page of the Company and transmit it to the Company, or;
(2) You will submit the accurate data by a way the Company approves as appropriate.

7. Approval of Application

(1) The contract of the Service is accepted when the Company approves the application as specified in Item 6. The Company processes and approves applications on a first-come-first-served basis. If disruptions are expected in conducting business of the Company, the order of applications may be changed.
(2) The Company may reject an application in case of the following:

1. It is revealed that the applicant provides the false information in the application form, or the application has an error in writing or is incomplete.
2. It is extremely difficult in technology to provide the Service to the applicant.
3. The Company determines that the applicant is unable or may become unable to pay the Service fee and other obligations under this agreement..
4. A contract or the Service to the applicant has been terminated by the Company or other companies due to a wrongful use.
5. The Company determines that disruptions are expected or may be expected in conducting business of the Company.
   

(3) The Company will notify the applicant in a way specified by the Company if the application is rejected as stipulated above.

8. Changes to Contract

(1) A User can request a change to the contract following the procedure specified by the Company. The User shall pay handling charges listed in the table of fees and charges by a method specified by the Company.
(2) The Company shall process a request for a change as stipulated in Item 7.

ARTICLE 3. Rights and Obligations of User

9. Procedures for Use

When using the Service, the User shall agree to the Rules and Regulations and the terms specified per each Service, and go through the specified procedures.

10. Principle of Self Responsibility

(1) The User shall bear all the responsibilities for all the acts and their consequences conducted by the Service regardless of whether or not the User conducted the acts.
(2) In the event of any dispute between the User and the third party arising out of or in connection with the use of the Service, the said User shall bear full responsibilities and fees and expenses for the resolution of the said dispute, and shall indemnify, hold the Company harmless from any legal claim of the said third party and bear all the costs and expenses arising out of or in connection with the defense of the Company from the said third party. IN NO EVENT SHALL THE COMPANY BEAR ANY RESPONSILITY FOR INTERVENING IN ANY DISPUTE, OR TO RESOLVE IT.
(3) In an event of the User's causes damages or losses to the Company, or any other third party, arising out of or in connection with the use of the Service (including a case that the User did not perform an obligation stipulated in the Rules and Regulations or in the terms of the Service and caused damages or losses to the Company or the third party), the User shall be liable for such damages or losses.

11. The Use of Service

(1) The revocable license of all the several contents of the Service is granted to the User, provided the Company, business partners of the Company, independent content providers who are consigned by the Company, or other Users limits the use of the contents within the scope specified by the Rules and Regulations. The Company reserves the copyright regarding the selection, editing, arrangement, and improvements of the contents offered by the Service. There are some contents which all the Users can use, and some contents which have restrictions on the use.
(2) The payment of fees specified by the Company for the use of the contents shall be paid as provided by the Service. The fees and charges are specified in the terms per each pay Service.
(3) The User is deemed to understand and acknowledge that the Service the Company provides may contain the contents inappropriate to minors or may make some people uncomfortable ("Restricted Contents"). The User assumes all responsibility for viewing the Restricted Contents and takes responsibility for letting any third party view the Restricted Contents. IN NO EVENT SHALL THE COMPANY ASSUME ANY RESPONSILITY FOR THE USER'S OR THE THIRD PARTY'S VIEWING THE RESTRICTED CONTENTS.
(4) The User can purchase goods or services on a shopping site of the Internet operated by the Company or a business partner of the Company under the User's own responsibility. The User must read the precautions and statements of each shopping site and comply with them when purchasing the goods or services. IN NO EVENT SHALL THE COMPANY INTERVENE IN ANY DISPUTE ABOUT ANY PURCHASE BETWEEN THE USER AND THE SELLER OF THE GOODS AND SERVCES, NOR SHALL BEAR ANY RESPONSILITY FOR THE DISPUTE.

12. Intellectual Property Right

(1) As for the contents provided by the Service, ordinances or instructions of the competent authorities concerned with the copyright law, trademark law, and all other pertinent laws of intellectual property right shall apply. The User understands that certain acts may constitute infringement under the copyright law or trademark law and shall not use the Service to infringe on any copyright or trademark. Possible infringements include:

1. The duplication of data, information, sentences, statements, visual data, graphics data, sound, software, and others (collectively "Data")
2. Any act of handling the contents of the Services such as online magazine or news articles and processing a part of the contents listed in the following: Excerpts, duplication, any act of enabling data to be transmitted, or distribution to the third party.
3. Use of the visual data or other information provided with streaming and restriction of download or duplication while removing those restricting functions.
   

(2) When the User enters and opens data or other information on the Service, the User shall obtain explicit permission to enter and open the said data and others on the Service and on the Internet, with respect to the portrait right, copyright, trademark right, personal right of writer, and other intellectual rights contained in the data or other information, from owners of those rights.
(3) If the User enters and opens data or other information without any permission from the third party who retains the intellectual property right of the said data or other information, the User violates the Rules and Regulations and may be liable to the third party. In this event the User shall bear the full responsibilities and be liable for the act. IN NO EVENT SHALL THE COMPANY BE RESPONSIBLE.
(4) The User understands that there are some contents controlled by Foreign Exchange, Foreign Trade Law, related ordinances of governments and ministries, or foreign export control. The User shall not enter or open the data or other information on the Service without approval or license required by law.

13. Prohibition Against Other Than Personal Use

(1) The User shall not use the data or other information beyond the personal use permitted by the copyright law. The User shall not duplicate, sell, distribute, or publish the data and others to use for commercial purposes or acts considered similar to these without any permission unless otherwise the Company approves the use (including a case that there is an owner of the said copyright and the said owner grants the license of the copyright through the Company).
(2) The Company strictly prohibits the User from making the third party conduct acts violating the above mentioned.

14. Prohibition of Commercial Acts

(1) The User shall be prohibited from doing business activities, soliciting for profit, advertising, or selling goods and preparing for goods selling ("Business Activities") while using the functions of the Service.
(2) In case that the Company approves separately, the User shall be allowed to do Business Activities within the scope of the said approval regardless of the above stipulation.

15. Other Prohibitions

(1) In addition to the prohibitions in Item 13 and Item 14, User is prohibited from conducting the following acts when the User uses the Service:

1. Any act of infringing or potentially infringing the intellectual property rights such as the copyright, related rights, or trademark right retained by other User or the third party.
2. Any act of infringing the property rights of other User or the third party, or acts damaging the property rights of other User or the third party.
3. Any act of violating or potentially violating privacy or the portrait rights of other User or the third party including communication information and private information.
4. Any act of discrimination or defamation of other User or the third party, and any act of slandering rights, reputation, or credit of other User or the third party.
5. Any act of leading to or potentially leading to crimes such as fraud, theft, or violence.
6. Any act of violating or potentially violating the law.
7. Any act of falsification or providing fallacious and fraudulent information.
8. Any act offensive to public order and morals.
9. Any act of transmitting or displaying the information about the sellout or exchange of unlawful goods or goods offensive to public order and morals.
10. Any act of opening or soliciting a pyramid scheme.
11. Any act of changing, deleting, or illegally obtaining the information of the Company or the third party made accessible by the Service.
12. Any act of using the Service pretending to be a User of the Service. Any act of communication while pretending to be an employee of the Company, a business partner of the Company, or a provider of the contents, or while using a false name or a name without the right to use.
13. Any act of making a harmful software program such as a computer virus and distributing it to other Users or the third party via e-mail or others online.
14. Any act of election campaign, preparations for election, or acts similar to them. Any act of violating public office election law.
15. Any act of conducting political activities or religious activities.
16. Any act of sending advertising or soliciting messages by e-mail (direct mail). Any act of sending disgusting or uncomfortable messages, or potentially disgusting or uncomfortable messages by e-mail (hate e-mail). Any act of sending massive e-mail messages at a time (spam e-mail). Any act of interfering other Users' receiving e-mails. Any act of requesting chain mails or passing them on based on the request.
17. Any act of conducting unauthorized access to the equipment for the Service or illegal use of the equipment.
18. Any act of collecting, using, or disclosing the information of other Users or the third party without their consent or by unlawful means such as fraudulent conducts.
19. Any act of not following applicable administrative procedures which require a notification to or a license from the competent authorities based on the law. Any act of violating or potentially violating the said law.
20. Besides the all of the above, any act of hindering the operation and use of the Service.
21. Any act of contributing to any of the above mentioned acts (including a case that the third party is conducting).

16. Transfer of Rights

No User shall have the right to transfer any status as the User of the Service or right based on the Rules and Regulations or pledge the status or right as collateral.

ARTICLE 4. Fees and Charges

17. Service Charges

(1) The Fees for the Service the Company provides are specified in the schedule of fees separately. The schedule will be posted on the home page of the Company or any other specified location.
(2) The Company reserves the right to change fees and charges as the change may become necessary. When the said change is made, Item 28 will apply.
(3) The Company deems that the User purchased the Service of the Company when the said User agreed to the screen showing up in confirming the purchase of the Service. Once the said purchase is made, the Company shall not provide a refund for any reason.

18. Methods of Payment

The payment for the Service charges and other fees will be made by PayPal. IN NO EVENT SHALL THE COMPANY BE LIABLE FOR ANY DAMAGE OR LOSS ARISING OUT OF USER'S USING PAYPAL.

19. Delay Damages

If the User fails to pay debts, such as the Service charges or other fees (excluding late charges), by the due date, the User shall pay 14.5% annum of the unpaid amount as liquidated damages from the next payment becomes due until the previous day payment is made, by a payment method specified by the Company separately. If the User pays within ten days from the due date, the Company will waive the damage charges.

ARTICLE 5. Operations

20. Changes to The Service

The Company may change contents or name of the Service without any advance notice to the User.

21. Maintenance

Some or all of the Service may be suspended temporarily due to the system maintenance and other checking. The Company will notify Users of scheduled maintenance in advance except in an emergency. IN NO EVENT SHALL THE COMPANY BEAR RESPONSIBILITY FOR ANY DAMAGE OR LOSS ARISING OUT OF A CHANGE IN THE SCHEDULE DUE TO TEMPORARY SUSPENSION OF SERVICE WITH OR WITHOUT ADVANCE NOTICE.

22. Deletion of Information

(1) The Company may delete the data which the User registered and stored in the equipment for the Service without any advance notice if the said data have been stored while the time or amount exceeding the limit the Company specified per each Service.
(2) The Company may delete the data which the User registered and stored in the equipment for the Service without any advance notice due to the operation of the Service or the maintenance.
(3) IN NO EVENT THE COMPANY SHALL BEAR RESPONSIBILITY FOR ANY DAMAGE OR LOSS OF THE USER OR THE THIRD PARTY ARISING OUT OF DELETING THE DATA WITHOUT ANY ADVANCE NOTICE.

23. Indemnity

(1) The User shall use the contents, special software, or other service the Company provides on the Internet with self-responsibility.
(2) The Service and the contents or functions of the special software are those which the Company can offer at that point. The Service, the contents on the Internet, the special software, or other service should be provided for the User to use for private purposes only. IN NO EVENT SHALL THE COMPANY BEAR RESPONSIBILITY FOR PERFORMANCE, ACCURACY, INTEGRITY, APPLICABILITY, OR USABILITY OF THE DATA OR OTHERS THE COMPANY PROVIDES OR THE USER REGISTERS.
(3) IN NO EVENT SHALL THE COMPANY BEAR RESPONSIBILITY FOR LOSS, DAMAGE, FALSIFICATION BY THE THIRD PARTY, OR DELETION OF THE DATA WHICH THE USER STORED AND ACCUMULATED IN THE EQUIPMENT FOR THE SERVICE OR THE USER AUTHORIZED THE THIRD PARTY TO STORE AND ACCUMULATE INCLUDING A DELETION BY THE COMPANY BASED ON ITEM 22.
(4) IN NO EVENT SHALL THE COMPANY BEAR RESPONSIBILITY OR BE LIABLE FOR DAMAGE OR LOSS OF THE USER ARISING OUT OF THE USE OF THE SERVICE (INCLUDING DAMAGE OR LOSS CAUSED BY A DISPUTE WITH THE THIRD PARTY) OR DAMAGE OR LOSS OF THE USER OR THE THIRD PARY ARISING OUT OF THE UNAVAILABILITY OF THE SERVICE.
(5) The Company shall not refund the Service charges the User paid to the Company for any reason.

24. Breach of Contract

(1) The Company may take one or several of the following actions against the User, if the Company judges that the said User violated the Rules and Regulations or other terms of Services for reasons such as the third party filed a complaint or demanded improvements or for other reasons, with respect to the User's use of the Service:

1. Demand that the User stop the actions violating the Rules and Regulations or other terms of Services immediately and that the User never repeat the same or similar actions.
2. Demand that the User talk with the third party to settle a dispute between the parties.
3. Demand that the User immediately delete the information which the User transmitted or posted, and violated the Rules and Regulations.
4. Delete all or some of the information the User transmitted or posted, and violated the Rules and Regulations, or block access to the said information from the third party, without any advance notice.
5. Suspend the membership of the User who violated the Rules and Regulations or terminate the said membership with advance notice based on Item 25 and Item 26. The Company may take one of the above actions without any notice and notify the said User after the said action if the Company judges the said action is urgent.

(2) Nothing set forth above shall contradict the Principle of Self-Responsibility stipulated in Item 10.
(3) The User agrees the Company shall not bear responsibility for taking actions stipulated in Section (1) of Item 24. IN NO EVENT SHALL THE COMPANY BEAR RESPONSIBILITY FOR THE CONSEQUENCES OF TAKING ACTIONS STIPULATED IN SECTION (1) OF ITEM 24.

25. Suspension of Service

(1) The Company may suspend the Service to the User for a period specified by the Company under the User's following circumstances:

1. Violation of the Rules and Regulations or other terms of Services.
2. The User falsification of information in the application form for the Service.
3. Failure to pay debts to the Company, such as the Service charges or other fees, by the due date specified by the Company separately.
4. Failure to pay via PayPal or became unable to use PayPal.
5. Impersonation of other User and use the Service.
6. Failure to agree to an amendment to the Rules and Regulations.
7. Conduct, hindering or potentially hindering the operations of the Service besides the above.

(2) The Company will notify the User of the reason for suspension and the effective date by a method specified by the Company in advance, when suspending the Service to the said User based on the above Item. Notwithstanding the foregoing, the Company may suspend the Service without any notice in case of urgency or for other compelling reason.
(3) If the Company sustains damage as stipulated in Sections of Item 25, the Company shall claim the said damage.
(4) IN NO EVENT SHALL THE COMPANY BE RESPONSIBLE FOR THE SUSPENSION OF THE SERVICE AS STIPULATED IN SECTIONS OF ITEM 25. The Company shall not refund the Service charges the User has paid, or exempt the User from paying unpaid Service charges.

26. Prohibition of Using Service

(1) The Company may prohibit the User from using the Service by a method specified by the Company, if the Service to the said User has been suspended as set forth in Item 25 and the User has not resolved the matters.
(2) The Company may prohibit the User from using the Service without a suspension, if the Company judges that the User is under any circumstance set forth in Section (1) of Item 25 and that the circumstance interferes with the Service.
(3) If the Service to the User is suspended as stipulated in Section (1) and Section (2) of Item 26, the User shall pay all debts, such as the Service charges or other fees, to the Company immediately. In addition, the Company shall not refund the Service charges the User has paid.
(4) The Company will notify the User of the prohibition of the Service as set forth in Section (1) and Section (2) of Item 26 in advance by a method specified by the Company. Notwithstanding the foregoing, the Company may prohibit the Service without any notice in case of urgency or for other compelling reason.

ARTICLE 6. Policy for Protecting Personal Information

27. Handling Personal Information

The Company shall comply with "Policy for Protecting Personal Information" as set forth separately with respect to the personal information of member, and handle the information. Any User shall be deemed to consent to the Policy.

ARTICLE 7. Others

28. Amendment to Rules and Regulations

The Company may change the Rules and Regulations from time to time unilaterally. The said change shall be deemed to be in effect when the change is posted in the site specified by the Company. When the User uses the Service after the change becomes effective, the User shall be deemed to consent to the amended Rules and Regulations.

29. Notice to User

(1) The Company will notify the User of necessary information as needed, by methods, such as online display, or the distribution via e-mail, which the Company judges as appropriate.
(2) The notice set forth above shall be deemed in effect when the Company transmitted the information to the User by an appropriate method, such as displaying the said notice online.
(3) The notice set forth in Section (1) and Section (2) shall be deemed in effect when the Company transmitted the information to the User by an appropriate method, such as displaying the notice online, regardless of whether the User received or reviewed the said notice.

30. Court of Jurisdiction

Any controversy or claim arising out of the Rules and Regulations or other terms of Service between the Company and the User shall be brought in the Tokyo District Court of Japan as exclusively agreement jurisdictional court of the first instance.

31. Governing Law

The Rules and Regulations and other terms of Service shall in all respects be enforced, governed by, and construed in accordance with the laws of Japan.

32. Stipulation about Law

Each User and the Company shall comply with all applicable laws and regulations, if any exists, with respect to the use or the provision of the Service.

33. Effective Date

The Rules and Regulations are effective from April 1, 2010.

Description Based on Regulations for Specific Trading

Site Name	wowid
Site ＵＲＬ	http://wowid.jp/
Name of Seller	Wow inc.
Head Representative	Hiroshi Takahashi
Address	1-14-3 Jinnan, Shibuya-ku, Tokyo 150-0041, JAPAN
Contact	Tel: 03-5459-1100（Main） E-mail : info@w0w.co.jp ※We may show a contact point of our business partner (such as an actual operating company).
Name of Goods, Main Contents	Video distribution site ”wowid” Paid distribution service for digital contents
Payment Method	PayPal only
Prices	Based on a tax included price shown per goods contents      ※The price may change due to sales promotions, campaigns, and others.
Payment Terms	Payment process is complete when you purchase goods contents.  We will charge you the tax included amount per goods contents via PayPal.
Goods Availability	Our service will be available immediately after the routine procedure is complete unless otherwise announced separately.
Fees and Charges besides Goods Amount	Basically there is no additional charge besides goods contents charges.  However, processing fees and foreign exchange gain or loss by using PayPal will be borne by customer. If you fail to pay by the due date, you shall pay 14.5% annum of the unpaid amount as liquidated damages from the next day payment becomes due until the previous day payment is made. (If you pay within ten days from the due date, we will waive the damage charge.)
Return	No return or refund due to the nature of goods. Please make sure your computer-mediated environment for use of the service before the purchase.