PREPAID LONG DISTANCE CARDS

Terms of Service

These Terms of Service (‘TOS”) constitute the agreement ("Agreement") between FGL Telecom Inc. ("we," "us" or "FGL Telecom") and the user ("you", "user", "customer") of FGL's communications services and any related products or services. This Agreement governs both the Service and any devices, such as an IP phone, Analog Telephone Adapter, or any other IP connection device, used in conjunction with the Service and it applies to all lines on each FGL Telecom account. If you purchased Equipment from a retail store or a provider other than FGL Telecom ("Retail Provider"), you are a "Retail Customer" for purposes of this Agreement. This Agreement starts on the date that FGL Telecom accepts your Order. This Agreement comprises (i) these Terms of Service; (ii) our Privacy Policy, and (iii) our call plans and features.

BY ACTIVATING OR USING THE SERVICE, YOU REPRESENT THAT YOU ARE OF LEGAL AGE TO ENTER INTO THIS AGREEMENT AND THAT YOU HAVE READ AND UNDERSTAND FULLY ITS TERMS AND CONDITIONS.

9-1-1 SERVICE LIMITATION

This notice contains important provisions regarding 9-1-1 service from your VoIP phone. Description: VoIP services allow you to make or receive telephone calls over the Internet to or from the public switched telephone network. The nature of VoIP telephone calls, while appearing similar to traditional telephone calling services, create unique limitations and circumstances, and you acknowledge and agree that differences exist between traditional telephone service and VoIP telephone services, including the lack of traditional 9-1-1 emergency services. 9-1-1 service: Because of the unique nature of VoIP telephone calls, emergency calls to 9-1-1 through your VoIP service will be handled differently from traditional phone service. The following provisions describe the differences and limitations of 9-1-1 emergency calls, and you hereby acknowledge and understand the differences between traditional 9-1-1 service and VoIP calls with respect to 9-1-1 calls placed to emergency services from your VoIP phone as described below. Placing 9-1-1 calls: When you make a 9-1-1 emergency call, the VoIP service will attempt to automatically route your 9-1-1 call through a third-party service provider to the Public Safety Answering Point (“PSAP”) corresponding to your address of record provided by FGL Telecom VoIP service customer for the VoIP service (“Your VoIP Telephone Provider”). However, due to the limitations of the VoIP telephone services, your 9-1-1 call may be routed to a different location than that which would be used for traditional 9-1-1 dialing. For example, your call may be forwarded to a third-party specialized call center that handles emergency calls. This call center is different from the PSAP that would answer a traditional 9-1-1 call which has automatically generated your address information, and consequently, you may be required to provide your name, address, and telephone number to the call center. How your information is provided: The VoIP service will attempt to automatically provide the PSAP dispatcher or emergency service operator with the name, address and telephone number provided by your VoIP Telephone Provider for your telephone number. However, for technical reasons, the dispatcher receiving the call may not be able to capture or retain your name, phone number or physical location. Therefore, when making a 9-1-1 emergency call, you must immediately inform the dispatcher of your location (or the location of the emergency, if different). If you are unable to speak, the dispatcher may not be able to locate you if your location information is not up to date. Failure to keep information current will result in a Customer not being able to communicate during a 9-1-1 call; and/or the emergency operator may assume that Customers are at the last registered address. Correctness of information: You are responsible for informing your VoIP Telephone Provider of any changes to your contact information (including name, address and telephone number) with your account. If you do not correctly identify the actual location where you are located, or if your account information has recently changed or has otherwise not been updated, 9-1-1 calls may be misdirected to an incorrect emergency response site. Upon moving to a new address, or change of use of your IP Phone service, the Customer must immediately notify and advise FGL Telecom by email or by telephone with the most current location information. Failure to advise FGL Telecom of any changes will adversely affect the ability to access 9-1-1 Service. You may also update your most likely physical address online through the FGL Telecom Portal.

9-1-1 NOTE for Auto Attendant clients:

For Auto Attendant customers with their associated extensions, please note that only the main company number and the main company service address will be on file for 9-1-1, regardless of where the associated extension is located. Disconnections: You must not disconnect the 9-1-1 emergency call until told to do so by the dispatcher, as the dispatcher may not have your number or contact information. If you are inadvertently disconnected, you must call back immediately. Connection time: For technical reasons, including network congestion, it is possible that a 9-1-1 emergency call will produce a busy signal or will take longer to connect when compared with traditional 9-1-1 calls. 9-1-1 calls may not function: For technical reasons, the functionality of 9-1-1 VoIP emergency calls may cease or be curtailed in various circumstances, including but not limited to: Failure of service or your service access device: If your system access equipment fails or is not configured correctly, or if your VoIP service is not functioning correctly for any reason, including power outages, VoIP service outage, suspension or disconnection of your service due to billing issues, network or Internet congestion, or network or Internet outage in the event of a power, network or Internet outage, and changing locations (for instance, if you move your system access equipment to a location other than that described in your account information or otherwise on record with Your VoIP Telephone Provider), you may need to reset or reconfigure the system access equipment before being able to use the VoIP service, including for 9-1-1 emergency calls. Alternate services: If you are not comfortable with the limitations of 9-1-1 emergency calls, ask Your VoIP Telephone Provider to provide you with an alternate means for accessing traditional 9-1-1 emergency services. Inform other users: You are responsible for notifying, and you agree to notify, any user or potential users of your VoIP telephone of the nature and limitations of 9-1-1 emergency calls on the VoIP services as described herein. Liability: You are advised to review this section with respect to FGL Telecom’s limitations of liability. Conveying Limitations to other household residents and guests: You should inform any household residents, guests and other persons who may be present at the physical location where you utilize FGL Telecom service, of the important differences in and limitations of VoIP 9-1-1 Dialing service as compared with E9-1-1 service, as set out above. Disclaimer of Liability and Indemnification: We do not have any control over whether, or the manner in which, calls using our 9-1-1 emergency service are answered or addressed by any local emergency response center. We disclaim all responsibility for the conduct of local emergency response centers and the national emergency calling center. We rely on third parties to assist us in routing 9-1-1 emergency calls to local emergency response centers and to a national emergency calling center. We disclaim any and all liability or responsibility in the event such third party data used to route calls is incorrect or yields an erroneous result. Neither FGL Telecom nor its officers, directors, employees, affiliates or agents and any other service provider who furnishes services to you in connection with the Service may be held liable for any claim, damage, or loss, and you hereby waive any and all such claims or causes of action, arising from or relating to our 9-1-1 emergency service unless such claims or causes of action arose from our gross negligence, recklessness or willful misconduct. You shall defend, indemnify, and hold harmless FGL Telecom, its officers, directors, employees, affiliates and agents and any other service provider who furnishes services to you in connection with the Service, from any and all claims, losses, damages, fines, penalties, costs and expenses (including, without limitation, legal fees and expenses) by, or on behalf of, you or any third party relating to the absence, failure or outage of the Service, including 9-1-1 emergency service, incorrectly routed 9-1-1 emergency calls, and/or the inability of any user of the Service to be able to use 9-1-1 or access emergency service personnel. THE CUSTOMER CONFIRMS THAT THEY HAVE READ AND UNDERSTOOD THESE 9-1-1 SERVICE DIFFERENCES. BY ACCEPTING THESE TERMS, THE CUSTOMER ACCEPTS FGL TELECOM VoIP SERVICES ON THESE TERMS, AND HEREBY WAIVES ANY AND ALL CLAIMS OR CAUSES OF ACTION AGAINST FGL TELECOM, ITS AFFILIATES, UNDERLYING CARRIERS, OFFICERS, DIRECTORS, EMPLOYEES, AGENTS OR CONTRACTORS, LICENSORS, AND SUPPLIERS ARISING FROM OR RELATING TO FGL TELECOM IP PHONE 9-1-1 SERVICE. THE CUSTOMER ALSO AGREES TO INDEMNIFY, DEFEND AND HOLD HARMLESS THE ABOVE PERSONS FROM ANY SUCH CLAIMS FOR DAMAGES, INCLUDING LEGAL FEES. THE CUSTOMER’S WAIVER AND INDEMNITY IN THIS SECTION SHALL SURVIVE TERMINATION OF THIS AGREEMENT.

2. SERVICE TERM.

2.1 Acceptance of Terms: FGL Telecom reserves the right to change, modify, update prices (Price Plans, Features, special numbers, etc.) add or remove portions of the Terms of Service at any time without direct notification to subscribers. The Customer must check these Terms of Service for changes. The Customer's continued use of this website and of the FGL Telecom service following the posting of changes to the Terms of Service will be considered an acceptance of those changes. 2.2 Service Term: Service is offered and paid for on a prescribed recurring basis for a term that begins on the date that FGL Telecom activates your Service and ends on the day before the same date in the following period ("Service Term"). Subsequent terms of this Agreement automatically renew for the same Service Term unless you give us written notice of disconnection at least thirty (30) days before the end of the applicable Service Term. If you attempt to disconnect Service prior to the end of the applicable Service Term, you will be responsible for all charges, including unbilled charges, plus a disconnection fee if applicable, all of which will immediately become due and payable. You will also be responsible for charges for the following Service Term in the event that you do not provide the requisite thirty-day disconnect notice as described above. 2.3 Residential Use: If you subscribe to FGL Telecom's residential services, the Service and the Phone adaptor are provided to you solely for residential use. You shall not resell or transfer the Service or the Phone adaptor to another party without our prior written consent. FGL Telecom evaluates customer usage in comparison to similarly situated customers, e.g., residential use under residential Service plans or small business use under small business Service plans. For example, over ninety five per cent (95%) of FGL Telecom's residential unlimited calling plan customers use less than two thousand (2000) minutes per month and do not have any unusual calling patterns. FGL Telecom may conclude that a customer's aggregate usage is outside of normal use if it exceeds 2000 minutes per month. We reserve the right to review your account and take further action, including, but not limited to, immediate suspension of your FGL Telecom service if account usage is beyond normal standards, impermissible or detrimental to other customers' ability to use the service or adversely affects our operations. We may assess abnormal usage based on comparisons to the usage patterns and levels of our other customers. If we determine that you are engaging in abnormal or impermissible usage, we will use commercially reasonable efforts to inform you and provide you with the opportunity to correct the improper usage. If we give you the opportunity to correct your abnormal usage patterns and you fail to immediately conform to normal use, we may exercise our right to transfer your service to a more appropriate plan, charge applicable rates or suspend or terminate your service. You acknowledge that if your service is terminated under this provision, you are subject to all applicable fees and taxes at the time your service is terminated. In addition, you may be required to pay our higher rates for commercial service for all periods in which your use of the Service, or the Phone adaptor was inconsistent with normal residential use. 2.4 Prohibited Uses - Unlawful Uses and Inappropriate Conduct: You shall use the Service and the Phone adaptor only for lawful purposes. You shall not use the Service or Phone adaptor in any way that is improper or inappropriate, including in a manner that is threatening, abusive, harassing, defamatory, libelous, deceptive, fraudulent, invasive of another's privacy, or any similar behavior. In addition, you shall not use the Service or the Phone adaptor to impersonate another person; send bulk unsolicited messages; use robots, data mining techniques or other automated devices or programs to catalogue, download, store or otherwise reproduce or distribute information from the Service or use any such automated means to manipulate the Service; use the Service to violate any law, rule or regulation; violate any third party's intellectual property or personal rights; or exceed your permitted access to the Service. Subject to applicable law, we may, but are under no obligation to, monitor usage of the Service for violations of this Agreement. We may remove or block any or all communications if we suspect a violation of this Agreement or if we deem it necessary in order to protect the Service, or FGL Telecom, its parent, affiliates, directors, officers, agents and employees from harm. We reserve the right to immediately disconnect your Service without notice, if, in our sole and absolute discretion, we determine that you have used the Service, the Extension or the Phone adaptor for an unlawful purpose or in ways mentioned above. In the event of such disconnection you will be responsible for all fees and charges due under this Agreement, including those referred to in Section 2.1, plus a disconnection fee, if applicable, all of which will be immediately due and payable. If we believe that you have used the Service, and the Phone adaptor for an unlawful purpose, we may forward the relevant communication and other information, including your identity, to the appropriate authorities for investigation and prosecution. You hereby consent to our forwarding of any such communications and information to these authorities. In addition, FGL Telecom will provide customer and call detail information in response to lawful government requests, subpoenas, court orders and to protect its rights and property, and in response to law enforcement requests where the failure to disclose the information may lead to imminent harm to the customer or others. Furthermore, FGL Telecom reserves all of its rights at law and equity to proceed against anyone who uses the Services illegally or improperly. 2.5 Copyright - Trademark: The Service, and Phone adaptor and any firmware or software used to provide the Service or provided to you in conjunction with providing the Service, or embedded in the Phone adaptor, and all Services, information, documents and materials on our websites are protected by trademark, copyright or other intellectual property laws and international treaty provisions. All of our websites, corporate names, service marks, trademarks, trade names, logos and domain names (collectively "marks") are and will at all times remain our exclusive property. Nothing in this Agreement grants you the right or license to use any of our marks. 2.6 Unauthorized Usage of Phone adaptor; Firmware or Software: For residential and business plan customers only, you (i) have not been granted any license to use the firmware or software used to provide the Service or provided to you in conjunction with providing the Service, or embedded in the Phone adaptor, other than a non-transferable, revocable license to use such firmware or software in object code form (without making any modification thereto) strictly in accordance with the terms and conditions of this Agreement, and (ii) expressly agree that the Phone adaptor is exclusively for use in connection with the Service and that we will not provide any passwords, codes or other information or assistance that would enable you to use the Phone adaptor for any other purpose. We reserve the right to prohibit the use of any interface device that we have not provided to you. You hereby represent and warrant that you possess all required rights, including software and/or firmware licenses, to use any interface device that we have not provided to you. In addition, you shall indemnify and hold us harmless against any and all liability arising out of your use of such interface device with the Service. You shall not reverse compile, disassemble or reverse engineer or otherwise attempt to derive the source code from the binary code of the firmware or software. 2.7 Tampering with the Phone adaptor or Service: You shall not change the electronic serial number or equipment identifier of the Phone adaptor or perform a factory reset of the Phone adaptor without our prior written consent. We reserve the right to disconnect your Service if we believe, in our sole and absolute discretion, that you have tampered with the Phone adaptor. In the event of such disconnection, you will remain responsible for all charges through the end of the current Service Term, including unbilled charges, plus a disconnection fee, if applicable, all of which will immediately be due and payable. You shall not attempt to hack or otherwise disrupt the Service or make any use of the Service that is inconsistent with its intended purpose. 2.8 Theft of Service: You shall not use or obtain the Service in any manner that avoids FGL Telecom policies and procedures including in an illegal or improper manner. You shall notify us immediately, in writing or by calling our customer support line, if the Phone adaptor is stolen or if you become aware at any time that your Service is being stolen, fraudulently used or otherwise being used in an unauthorized manner. When you call or write, you must provide your account number and a detailed description of the circumstances of the Phone adaptor theft, fraudulent use or unauthorized use of Service. Failure to do so in a timely manner may result in the disconnection of your Service and additional charges to you. Until such time as we receive notice of the theft, fraudulent use or unauthorized use, you will be liable for all use of the Service using a Phone adaptor stolen from you and any and all stolen, fraudulent or unauthorized use of the Service whether or not it involves a stolen Phone adaptor. FGL Telecom reserves all of its rights at law and equity to proceed against anyone who uses the Services or Phone adaptor illegally or improperly. 2.9 Return of Phone adaptor: A Residential and Business Customer may return the Phone adaptor within fourteen (14) days of the date you disconnect the Service in accordance with instructions provided by an agent in our customer care department.

FGL Telecom devices shall be returned to the address below:

FGL Telecom Inc. 5600 – 100 King Street West Toronto, Ontario M5X 1C9 Canada 2.10 Service Limitation and Outage Collect Call and Operators Services: FGL Telecom does not currently offer collect calls or operator assistance. Broadband Service Outage: The Customer acknowledges and understands that service outages by his or her broadband Internet service provider will prevent FGL Telecom services. Loss of Service Due to Power Failure: The Customer acknowledges and understands that the service does not work in the event of power failure and will resume when power is restored. A power failure or disruption may require a re-set or reconfiguration of the equipment prior to restoration of the service. Service Outage Due to Suspension of a Customer’s Account: The Customer acknowledges and understands that service outages due to suspension of the account as a result of billing issues will prevent all service elements from operating. Other Service Outages: The Customer acknowledges and understands that if there is a service outage for any reason, such outage will prevent all service, INCLUDING 9-1-1 SERVICE. 2.11 Port-out: Number Transfer on Service Termination: FGL Telecom will agree to transfer the number to another carrier of the Customer’s choice upon termination of FGL Telecom’s services, provided that both: (i) The account has been properly and lawfully terminated, and; (ii) the Customer’s FGL Telecom account is completely current, given either of the following two cases: One Line with FGL Telecom. There is a $20 port-out fee per number when a customer wishes to terminate his or her services within thirty (30) days of signing up with FGL Telecom, $15 port-out fee per number when a customer wishes to terminate his or her services after thirty (30) days of signing up with FGL Telecom. If we receive a request from your new service provider to terminate our service for a number, we will release the number shortly after notification to FGL Telecom by the relevant carrier(s), given that there are no reasons to reject. Once your service is terminated and the port is completed, you will remain responsible for all charges and fees through the end of that billing cycle, including any disconnection fees (for non­‐returned equipment, special number porting out, promotions etc.). If a port is unsuccessful for any reason (stranded services, suspended or inactive account, etc.), your service and your agreement with us will not terminate you will remain an FGL Telecom customer, and you will continue to be responsible for all charges and fees associated with your FGL Telecom service. More than One Line with FGL Telecom. There is a $20 port-out fee per number when a customer wishes to terminate his or her services within thirty (30) days of signing up with FGL Telecom, $15 port-out fee per number when a customer wishes to terminate his or her services after thirty (30) days of signing up with FGL Telecom. If we receive a request from your new service provider to terminate our service for a number and you have multiple numbers assigned to your account and/or additional devices such as Softphone on your account, you are required to inform us of your intent to terminate all the services on your account, prior to the successful completion of the requested port or we will select the most appropriate billing plan for any remaining numbers and/or devices on your FGL Telecom account, and you will continue to be responsible for all the charges and fees associated with the remaining services on your FGL Telecom account. Once the port of the requested number is completed, you will remain responsible for all charges and fees through the end of that billing cycle, including any disconnection fees applicable to the ported number. It is the Customer’s sole responsibility to verify and review their monthly invoices and periodically check- ‐in on the status of their account. If the Customer notices any discrepancies, the Customer is responsible to immediately notify FGL Telecom of any required changes. 2.12 Port-in If you prefer to keep your current number and bring it (port-in) to FGL Telecom, there is a $10 Port-in fee per number. To port-in wireless (mobile) and wireline (landline) number it would take one (1) to tow (2) business days and five (5) to ten (10) business days, respectively.

3. Changes to this Agreement

As technologies and services progress, FGL Telecom may change the terms of the Agreement after providing [14] days advance notice to the Customer. FGL Telecom provides notice by: a. Posting to the “Service Announcements” section of our website b. Electronic mail directed to the email address provided upon sign-‐up for FGL Telecom’s services, or to the current email address if FGL Telecom has received notification that it has changed. The Customer is responsible for notifying us of any changes in his or her email address by contacting customercare@fglelecom.ca. Otherwise, we will continue to use the Customer’s previous e-‐mail address until we have received notice of the address change.

4. Billing

4.1 Payment terms: The balance due must be paid in full by the due date stated on the front of this invoice. Please allow sufficient time for payment to reach us by the due date. If your payment is not received in full by this date, you will be charged interest of 2$ per month, or 26.82% per annum, when and where permitted by law. A service of charge of $25.00 will be applied to all insufficient fund payments. 4.2 Payment options: Pre-Authorized Payment - Please contact our Billing Department at 1.844.434.5835 to inquire about how your invoice can be paid automatically each month through your chequing account or credit card. At your financial Institution - Payment is accepted at most financial institutions and bank machines across Canada. Inquire with your bank or credit union regarding Internet or telephone banking services By Mail - If you are mailing your payment, please attach the first page of your invoice along with your cheque in the enclosed envelope. Please make cheques payable to FGL TELECOM INC. For timely processing, include your account number on the cheque or money order. If mailing payment without the enclosed envelope, please remit to: FGL TELECOM INC. 100 King St. W., Suite 5600, Toronto, ON M5X 1C9 4.3 Invoice inquires: We reserve the right to bill at more frequent intervals if the amount owing at any time exceeds $50. The Customer is responsible for payment to FGL Telecom of charges for all service(s) and equipment supplied to them. FGL Telecom’s Services are available in Canadian Dollar, US Dollar and EURO. If you have any billing or transactions inquiries, please contact our Billing Department, by phone at 1.844.434.5835 or by email billing@fgltelecom.ca. Any disputes or requests for investigation must be received within 60 days of the invoice date. 4.4 Reconnection charges: In the event it becomes necessary to suspend service, payment of the total amount due plus a reconnection charge may be required before service is restored Reconnection charge of $25 will apply. 4.5 Consent to Credit Verification: By Agreeing to FGL Telecom's Terms of Service I hereby declare that all the information provided by me is true, complete and correct to the best of my knowledge. I understand that this information may be used to determine my credit worthiness and in order to assess my ability to meet my financial obligations. I authorize FGL Telecom Inc. and its agents or assigns to: Request and obtain personal information on an ongoing basis from credit bureaus from previously collected credit history information; Exchange personal information on an ongoing basis with credit bureaus in order to protect me, to ensure the completeness of the information and to maintain the integrity of the credit granting system; Co-operate with local, provincial and national authorities in the investigation of unlawful or improper activities in order to protect myself and FGL Telecom from fraudulent transactions; Disclose my personal information where necessary to protect FGL Telecom's and my interests. I agree that FGL Telecom may conduct a preauthorization on my credit card, in order to determine my credit worthiness, which will imply blocking an amount at least equal to the first invoice. The amount will be released in 48 hours (Note: certain banks release the amount upon customer's request). I acknowledge that based on the result of the credit verification, FGL Telecom may request a security deposit which stands as a primary condition for providing the service. The deposit is calculated as 150% out of the monthly charges, and might be returned upon request after 12 months of positive payment history. If the service requires equipment, the customer agrees to choose one of the following options: to pay a security deposit equal to the purchase price of the equipment, and be charged for the monthly rental price; this deposit will be returned once the equipment is returned to FGL Telecom undamaged; or to purchase the equipment If the chosen payment method is Pre-authorized Monthly Chequing Account Withdrawals, the Customer is required to send FGL Telecom a copy of a void cheque. The Customer may send a scanned copy by e-mail to sales@fgltelecom.ca to the Attention of FGL Telecom Customer Care. This is required: As a means to verify the account details; and To meet auditor requirements to maintain a copy of the banking details (void cheque) in our client files. 4.6 Termination/Discontinuance of Service: FGL Telecom reserves the right to discontinue providing services generally, or to terminate the Customer's service, at any time at its sole discretion. If FGL Telecom discontinues providing services generally, or terminates the Customer's service at its discretion without a stated reason, the Customer will only be responsible for charges accrued through the date of termination, including a pro-rated portion of the final month's charges. If service is terminated for any stated reason, including without limitation violation of this Agreement, or because of any improper use of FGL Telecom's services (such as, but not limited to, attempts to hack, disrupt, or misuse FGL Telecom's services), the Customer will be responsible for the full month's charges to the end of the current term, including without limitation unbilled charges, plus a Disconnection fee, all of which become immediately due and payable. In addition to FGL Telecom's right to terminate the Customer's Services, FGL Telecom may restrict, block, suspend or terminate any or all of the Customer' Services or accounts, without notice to the Customer, if: Customer is in breach of the Agreement, including non-payment of charges or non-compliance with any Policies; Customer does not maintain Service usage within the prescribed credit limit; Customer exceeds reasonable usage limits, as determined by FGL Telecom; Customer has given FGL Telecom false, misleading or outdated information; FGL Telecom reasonably suspects or determines that any of the Customer's account, identifiers or Services are the subject of fraudulent, unlawful or improper usage or usage that adversely affects FGL Telecom's operations or the use of FGL Telecom's services, facilities or networks by others; Customer harasses, threaten or abuses FGL Telecom or its employees or agents; Customer fraudulently or improperly seeks to avoid payment to FGL Telecom; FGL Telecom needs to install, maintain, inspect, test, repair, remove, replace, investigate, protect, modify, upgrade or improve the operation of the Services, its facilities or networks; Any account or service on which the Customer's Services depend is terminated for any reason; • FGL Telecom reasonably believes that there is an emergency or extreme circumstance that would warrant such action. Customer acknowledges and agrees to provide FGL Telecom a thirty (30) day notice of Service / Account Cancellation by submitting an Account Termination Request. Customer may also benefit from the service during the 30 days period of cancellation. Upon the Service Agreement Termination, customer will remain responsible for payment of all outstanding balances accrued throughout the effective date of cancellation as well as applicable disconnection fees or purchase fees. FGL Telecom's equipment may be returned within the 30 days of cancellation, or 14 days after the account has been closed; failing to do so, the Customer will be charged the full purchase price of any and all equipment not returned. Returned equipment must include original packaging, accessory materials and must not have any physical damage. If any of FGL Telecom's equipment is returned in an unsatisfactory condition, damaged or broken, FGL Telecom will charge the Customer the full purchase price of this equipment. If the Customer cancels the Service prior to ninety (90) days from the Activation Date, FGL Telecom may charge the customer an administrative fee of $100. For cancellation of service prior to the completion of the service commitment period, if any, FGL Telecom may charge the Customer a penalty fee equal to the remaining recurring fees starting with the cancellation date until the completion of the service commitment period, up to a maximum fee of $400. Taxes: Any applicable sales, use, excise, public utility or other taxes, fees or charges imposed on FGL Telecom as a result of providing FGL Telecom's services or a device will be billed to the Customer's account. If a Customer is exempt from payment of such taxes, then that Customer will provide FGL Telecom with an original government-issued certificate attesting to tax-exempt status. Tax exemption will only apply from and after the date FGL Telecom receives the Tax Exempt Document. 4.8 Disconnection Fee: The Customer will be charged a disconnection fee of $39.99 per account with telephone lines closure, with the following exceptions: When termination results from FGL Telecom discontinuing services generally When FGL Telecom terminates service at its discretion without a stated reason When the customer returns FGL Telecom devices within 45 days of the line activation. When the customer has been an active FGL Telecom member for over 2 years (applicable per account). The disconnect fee of $39.99 will be applied against the Customer's final invoice, should the Customer decide to cancel the service within 2 years from the activation date.

5. Fair Usage, Acceptable Use Policy, Restrictions and Exclusion

FGL Telecom Customers must note that the service and device provided are solely for regular residential or commercial use. The Customer shall not resell or transfer the service or the device to another party without prior written consent from FGL Telecom. The Customer is also prohibited from using the service or the device for auto-dialing, continuous or extensive call forwarding, telemarketing, fax or voicemail broadcasting or fax or voicemail blasting. We reserve the right to immediately terminate or modify a Customer's service if we determine that his or her use of the service or the device is, or at any time was, inconsistent with normal residential usage patterns. In addition, the Customer will be required to pay our rates for wholesale service for all periods in which his or her use of the service or the device was inconsistent with normal residential or commercial use. Unlimited calls on residential plans: Unlimited Premium Canada Wide is subject to fair usage of two thousand (2,000) minutes, Unlimited North America subject to fair usage of two thousand (2,000) minutes, Europe unlimited subject to fair usage of one thousand (1,000) minutes, Africa Freedom subject to fair usage of one hundred (100) minutes, Asia Freedom subject to fair usage of one hundred (100) minutes, and South America and Caribbean Freedom subject to fair usage of one hundred (100) minutes. World unlimited is subject to fair usage of one thousand (1,000) minutes to North America and Europe and one hundred (100) minutes for the rest of the world. Unlimited calls on Business plans: Gold is subject to fair usage of ten (10,000) minutes, Platinum has no limit. Unlimited Premium Canada Wide excludes: Yukon, North West Territory and Newfoundland, Unlimited North America excludes: Hawaii, Alaska, High cost areas, Yukon, North West Territory and Newfoundland. Europe 15 - Select 1 (one) country from the list to call unlimited: Bulgaria, Cyprus, Denmark, France, Germany, Hungary, Ireland, Italy, Malta, Portugal, Romania, Slovak Republic, Spain, Sweden and UK. Europe Select - Select 6 (six) countries to call unlimited: Italy, Malta, Portugal, Romania, Sweden and UK. Europe mix - Select 3 (three) countries from Europe Select to call unlimited. Africa 7 - Select 1 (one) country from the list to call unlimited: Angola, Morocco, Namibia, Nigeria, Reunion, South Africa and Swaziland. Africa mix - Select 3 (three) countries from Africa Select to call unlimited. Asia 23 - Select 1 (one) country from the list to call unlimited: Afghanistan, Bahrain, Bangladesh, Bhutan, Brunei, China, India, Indonesia, Israel, Japan, Kazakhstan, Kuwait, Malaysia, Mongolia, Pakistan, Russia, Singapore, South Korea, Taiwan, Thailand, Turkey, Uzbekistan and Vietnam. Asia Select - Select 6 (six) countries from Asia 23 to call unlimited. Asia mix - Select 3 (three) countries from Asia 23 Select to call unlimited. South America and Caribbean 13 - Select 1 (one) country from the list to call unlimited: Argentina, Brazil, Peru, Venezuela, Mexica, Chile, Colombia, Paraguay, Costa Rica, Guadeloupe, Martinique, Panama and Aruba. South America and Caribbean Select - Select 6 (six) countries from South America and Caribbean 13 to call unlimited. South America and Caribbean mix - Select 3 (three) countries from South America and Caribbean 13 to call unlimited.

6. DISCLAIMER

6.1 Disclaimer of Liability for Damages: IN NO EVENT WILL FGL TELECOM, ITS OFFICERS, DIRECTORS, EMPLOYEES, AFFILIATES OR AGENTS OR ANY OTHER SERVICE PROVIDER WHO FURNISHES SERVICES TO YOU IN CONNECTION WITH THIS AGREEMENT OR THE SERVICE BE LIABLE FOR ANY DIRECT, INCIDENTAL, INDIRECT, SPECIAL, PUNITIVE, EXEMPLARY, COMPENSATORY OR CONSEQUENTIAL DAMAGES, OR FOR ANY OTHER DAMAGES, INCLUDING BUT NOT LIMITED TO PERSONAL INJURY, WRONGFUL DEATH, PROPERTY DAMAGE, LOSS OF DATA, LOSS OF REVENUE OR PROFITS, OR DAMAGES ARISING OUT OF OR IN CONNECTION WITH THE USE OR INABILITY TO USE THE SERVICE, INCLUDING INABILITY TO ACCESS EMERGENCY SERVICE PERSONNEL THROUGH THE 9-1-1 DIALING SERVICE OR TO OBTAIN EMERGENCY HELP. THE LIMITATIONS SET FORTH HEREIN APPLY TO CLAIMS FOUNDED IN BREACH OF CONTRACT, BREACH OF WARRANTY OR CONDITION, PRODUCT LIABILITY, TORT (INCLUDING NEGLIGENCE), INTELLECTUAL PROPERTY INFRINGEMENT, STRICT LIABILITY, FUNDAMENTAL BREACH, BREACH OF A FUNDAMENTAL TERM AND ANY AND ALL OTHER THEORIES OF LIABILITY AND APPLY WHETHER OR NOT WE WERE INFORMED OF THE LIKELIHOOD OF ANY PARTICULAR TYPE OF DAMAGES. 6.2 Indemnification: You shall defend, indemnify, and hold harmless FGL Telecom, its officers, directors, employees, affiliates and agents and any other service provider who furnishes services to you in connection with this Agreement or the Service, from any and all claims, losses, damages, fines, penalties, costs and expenses (including, without limitation, legal fees and expenses) by, or on behalf of, you or any third party or user of the Service, relating to this Agreement or the Services, including, without limitation, 9-1-1 emergency calling, or the Phone adaptor. 6.3 Survival: The provisions of this Agreement that by their sense and context are intended to survive the termination or expiration of this Agreement shall survive. 6.4 No Warranties on Service: To the extent permitted by applicable law, WE MAKE NO WARRANTIES OR CONDITIONS, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO, ANY IMPLIED WARRANTIES OR CONDITIONS OF MERCHANTABLE QUALITY, REASONABLY ACCEPTABLE QUALITY, FITNESS OF THE SERVICE OR PHONE ADAPTOR FOR A PARTICULAR PURPOSE, TITLE OR NON-INFRINGEMENT OR ANY WARRANTY OR CONDITION ARISING BY USAGE OF TRADE, COURSE OF DEALING OR COURSE OF PERFORMANCE OR ANY WARRANTY OR CONDITION THAT THE SERVICE WILL MEET CUSTOMER'S REQUIREMENTS. WITHOUT LIMITING THE FOREGOING, WE PROVIDE NO WARRANTY OR CONDITION THAT THE SERVICE OR PHONE ADAPTOR WILL BE WITHOUT FAILURE, DELAY, INTERRUPTION, ERROR, AND DEGRADATION OF VOICE QUALITY OR LOSS OF CONTENT, DATA OR INFORMATION. NEITHER FGL TELECOM NOR ITS OFFICERS, DIRECTORS, EMPLOYEES, AFFILIATES OR AGENTS, OR ANY OTHER SERVICE PROVIDER OR VENDOR WHO FURNISHES SERVICES DEVICES, OR PRODUCTS TO CUSTOMER IN CONNECTION WITH THIS AGREEMENT OR THE SERVICE, WILL BE LIABLE FOR UNAUTHORIZED ACCESS TO OUR OR YOUR TRANSMISSION FACILITIES OR PREMISES EQUIPMENT OR FOR UNAUTHORIZED ACCESS TO, OR ALTERATION, THEFT OR DESTRUCTION OF, CUSTOMER'S DATA FILES, PROGRAMS, PROCEDURES OR INFORMATION THROUGH ACCIDENT, FRAUDULENT MEANS OR DEVICES OR ANY OTHER METHOD, REGARDLESS OF WHETHER SUCH DAMAGE OCCURS AS A RESULT OF FGL TELECOM'S OR ITS SERVICE PROVIDER'S OR VENDORS' NEGLIGENCE. STATEMENTS AND DESCRIPTIONS CONCERNING THE SERVICE OR DEVICE, IF ANY, BY FGL TELECOM OR FGL TELECOM'S AGENTS ARE INFORMATIONAL AND ARE NOT GIVEN AS A WARRANTY OR CONDITION OF ANY KIND. 6.5 Phone adaptor Warranties Limited Warranty: Except as set forth herein, if you received the Phone adaptor from us and the Phone adaptor included a limited warranty at the time of receipt, you must refer to the separate limited warranty document provided with the Phone adaptor for information on the limitation and disclaimer of certain warranties and conditions. Remedies for breach of any such warranties will be limited to those expressly set forth in such documentation. No Warranty: IF A LIMITED WARRANTY DID NOT COME WITH YOUR PHONE ADAPTOR, TO THE EXTENT PERMITTED BY APPLICABLE LAW, YOU ARE ACCEPTING THE PHONE ADAPTOR "AS IS". YOUR PHONE ADAPTOR IS NOT ELIGIBLE FOR REPLACEMENT, REPAIR OR REFUND AFTER THE MONEY BACK GUARANTEE PERIOD. Retail Customer Limited Warranty: For Retail Customers only, we will provide a limited warranty on the Phone adaptor as to manufacturing defects only for a period of one (1) year from the date of purchase. This Retail Customer limited warranty does not apply to any defect or failure other than a manufacturing defect, and, without limiting the generality of the foregoing, does not apply to any defect caused by damage in transit, retailer handling or Retail Customer handling. A Retail Customer's sole remedy for any breach of this Retail Customer limited warranty is to obtain a repaired or replacement Phone adaptor, by following the return procedures set forth in Section 2.9. Retail Customer must include with the returned Phone adaptor a letter stating that the Retail Customer is returning the Phone adaptor for warranty repair or replacement and stating the nature of the defect. The Retail Customer limited warranty will also apply in lieu of the limited warranty included with the Phone adaptor if such included limited warranty is less favorable to Retail Customer than that contained herein. Disclaimer: To the extent permitted by applicable law, OTHER THAN WARRANTIES AS TO THE PHONE ADAPTOR EXPRESSLY SET FORTH IN THE DOCUMENTATION PROVIDED WITH THE PHONE ADAPTOR AND THE RETAIL CUSTOMER LIMITED WARRANTY EXPRESSLY SET FORTH HEREIN, WE MAKE NO WARRANTIES OR CONDITIONS OF ANY KIND, EXPRESS OR IMPLIED, AND SPECIFICALLY DISCLAIM ANY WARRANTY OR CONDITION OF MERCHANTABLE QUALITY, REASONABLY ACCEPTABLE QUALITY, FITNESS OF THE PHONE ADAPTOR FOR A PARTICULAR PURPOSE, TITLE OR NON-INFRINGEMENT OR ANY WARRANTY OR CONDITION ARISING BY USAGE OF TRADE, COURSE OF DEALING OR COURSE OF PERFORMANCE OR ANY WARRANTY OR CONDITION THAT THE PHONE ADAPTOR OR ANY FIRMWARE OR SOFTWARE IS "ERROR FREE" OR WILL MEET CUSTOMER'S REQUIREMENTS. THE FOREGOING WILL NOT BE DEEMED TO LIMIT ANY DISCLAIMER OR LIMITATION OF WARRANTY OR CONDITION SET FORTH IN THE DOCUMENTATION PROVIDED WITH THE PHONE ADAPTOR. 6.6 No Third Party Beneficiaries: No provision of this Agreement provides any person or entity not a party to this Agreement with any remedy, claim, liability, reimbursement, or cause of action or creates any other third party beneficiary rights. 6.7 Content: You will be liable for any and all liability that may arise out of the content transmitted by or to you or any person, whether authorized or unauthorized, using your Service or Phone adaptor (each such person, a "User"). You shall ensure that your and your User's use of the Service and content comply at all times with all applicable laws, regulations and written and electronic instructions for use. We reserve the right to disconnect or suspend your Services and remove your or your Users' content from the Service, if we determine, in our sole and absolute discretion, that such use or content does not conform with the requirements set forth in this Agreement or interferes with our ability to provide Services to you or others. Our action or inaction under this Section will not constitute any review or approval of your or Users' use or content.

7. Confidential Information:

Confidential Information shall include all data, materials, products, technology, computer programs, specifications, manuals, business plans, software, marketing plans, financial information, and other information disclosed or submitted, orally, in writing, or by any other media, by one FGL Telecom representative to the Customer. Except as otherwise specified herein, the Customer and FGL Telecom each expressly undertake to retain in confidence all information transmitted to them by the other party pursuant to this Agreement that the disclosing party identifies as being proprietary and/or confidential or that, by the nature of the circumstances surrounding the disclosure, ought in good faith to be treated as proprietary and/or confidential ("Confidential Information"), and will make no use of such Confidential Information except under the terms and during the existence of this Agreement. The Customer and FGL Telecom shall treat the terms and conditions of this Agreement as confidential; however, either party may disclose such information in confidence to its immediate legal and financial consultants as required in the ordinary course of that party's business. The receiving party's obligation hereunder shall extend for two (2) years following the disclosure of the Confidential Information.

8. Governing Law:

This Agreement shall be governed by and construed in accordance with the laws of the Province of Ontario and the applicable laws of Canada, without regard to its conflict of law provisions. The Customer and FGL Telecom agree to submit to the personal and exclusive jurisdiction of the courts located within the Province of Ontario. The failure of FGL Telecom to exercise or enforce any right or provision of the Agreement shall not constitute a waiver of such right or provision. The Customer agrees that regardless of any statute or law to the contrary, any claim or cause of action arising out of or related to use of FGL Telecom's services or the Agreement must be filed within one (1) year after such claim or cause of action arose or be forever barred.

9. Entire Agreement:

This Agreement and the rates for services found on FGL Telecom's website constitute the entire agreement between the Customer and FGL Telecom and govern the Customer's use of FGL Telecom's services. This Agreement supersedes any prior agreements between the Customer and FGL Telecom and any and all prior or contemporaneous statements, understandings, writings, commitments, or representations concerning its subject matter between the Customer and FGL Telecom as regularly updated. No amendment to this Agreement shall be binding upon FGL Telecom unless and until posted in accordance with Section 1 hereof.

10. Privacy and Notices:

a. Privacy: IP telephony utilizes, in whole or in part, the public Internet and third party networks to transmit voice and other communications. FGL Telecom is not liable for any lack of privacy which may be experienced by any FGL Telecom Customer with regard to its services. Please refer to FGL Telecom's Privacy Policy for additional information. b. Notices: Notices to Customers shall be sent to the email address on file for the Customer at FGL Telecom's offices and will be considered given on the date sent out by FGL Telecom to the party concerned. Please refer to Section 3 of this Agreement regarding a change of e-mail address. c. FGL Telecom Inc. Privacy Policy: FGL Telecom regards its Customer's privacy as one of its most important values and believes that its Privacy Policy will give the Customer confidence whenever they use FGL Telecom services. The following is a summary that outlines how FGL Telecom collects, uses and discloses personal information: 1. Purposes. FGL Telecom collects personal information to: Help provide the Customer with better service delivery Understand each Customer's needs in order to recommend appropriate products or services Better manage its own operations Comply with legislative requirements Prevent fraud and protect FGL Telecom and its Customers from possible fraudulent actions FGL Telecom will advise the Customer of the reason it collects personal information when or before such information is collected. 2. Consent. The Customer's knowledge and consent to the collection, use or disclosure of personal information is required, except where inappropriate to do so. 3. Limits. FGL Telecom will limit its collection of personal information to that which is necessary for the abovementioned purposes. This collection shall only be done by fair and lawful means. FGL Telecom will not use or disclose personal information for any purposes other than those for which it was collected, except with the consent of the individual or as required by law. When we provide information to third parties, such parties are required to adhere to confidentiality agreements to ensure that the Customer's information remains safe and secure. Third parties include FGL Telecom agents, other communication service providers (to enable service delivery outside Canada), collection agencies, emergency services and law enforcement agencies. Personal information shall be retained only as long as necessary for the fulfillment of those purposes. 4. Accuracy. Personal information shall be as accurate, complete, and up-to-date as is necessary for the purposes for which it is to be used. 5. Security. Personal information shall be protected by security safeguards appropriate to the sensitivity of the information. Each and every FGL Telecom employee must abide by FGL Telecom's Privacy Policy. Only authorized FGL Telecom employees are permitted to have access to a Customer's personal information and such access is limited by need. If a customer calls FGL Telecom's Customer Care department with a concern or complaint for example, the representative is allowed to access only the personal information that he or she needs to address that concern. 6 . Customer Access. Upon request, the Customer shall be informed of the existence, use, and disclosure of his or her personal information and shall be given access to that information. The Customer may challenge the accuracy and completeness of the information and have it amended as appropriate. 7. Definition: "Personal Information". Means information about an identifiable individual and includes information about the Customer's FGL Telecom VoIP service selections. Information that is publicly available (such as a public directory listing of a name or information that is printed on a business card - including the Customer's address, telephone number and email address) is not considered personal information.

Severability:

If any part of this Agreement is legally declared invalid or unenforceable, all other parts of this Agreement are still valid and enforceable. Such invalidity or non-enforceability will not invalidate or render unenforceable any other portion of this Agreement. If any provision of the Agreement is found by a court of competent jurisdiction to be invalid, the parties nevertheless agree that the court should endeavor to give effect to the parties' intentions as reflected in the provision, and the other provisions of the Agreement remain in full force and effect.