TERMS AND CONDITIONS OF SALE

( effective 3-01-2000 )

I. GENERAL .

 These Terms and Conditions of Sale and any attachments govern the sales of products purchased hereunder prevail over any conflicting or inconsistent terms and conditions appearing on any purchase order submitted by the buyer. No change or modification of these Terms and Conditions shall be valid or binding on either party unless in writing and signed by an authorized representative of each party, as part of or modification to the quotation.

2. DELIVERY

CNC MASTERS will see to it that reasonable means will be exhausted to meet the delivery dates quoted, although we will not be liable for any special, incidental or consequential damages resulting from delivery delays or inability to deliver. Deliveries are F.O.B. CNC MASTERS shipping dock and the prices quoted do not include freight or insurance. Title and risk of loss shall pass to buyer upon tender of the products by CNC MASTERS to a common carrier. In the absence of specific written instruction from the buyer, CNC MASTERS will select the common carrier, but shall not assume any liability in connection with the shipment. Buyer shall be responsible for any freight charge and any insurance charge. If the products are shipped freight prepaid, the buyer shall pay CNC MASTERS the appropriate freight and insurance charges which will be shown as separate items on the invoice. Allow 4-5 weeks from purchase date for delivery.

3. DAMAGE AND SHORT SHIPMENT

In the event products are received damaged, keep all packaging material and contact both the carrier and CNC MASTERS in writing within three working days.

4. PRICES, TAXES, AND PAYMENT

All prices are per unit (except where indicated) are in U.S. dollars, F.O.B. Irvine, California. U.S.A:  all prices are subject to change without notice. Taxes, such as Federal, State, or local, which is the obligation of CNC MASTERS to collect in connection with the sale or delivery of products described on any attachment shall be paid by buyer and will appear as separate items on the invoice unless your tax exemption certificate is on file with CNC MASTERS (please send certificate with first order.) All orders are pre-paid, F.O.B. Irvine, CA.; C.O.D. orders are accepted with a 500/0 deposit.

5. RETURNS

A "Return Authorization " number must be issued by CNC MASTERS prior to the return of any goods. Goods returned are to be referenced by this number, or they will not be accepted. All returns are to be sent to CNC MASTERS, freight prepaid. Orders with custom modifications are not returnable. No returns are allowed after 30 days.

6. SOFTWARE LICENSE

All software furnished hereunder is licensed by CNC MASTERS to the buyer on a non-exclusive basis for use by the buyer. The usage by the software is restricted to equipment for which or with which was acquired. Title to the software shall remain with CNC MASTERS. Acquisition of CNC MASTERS software requires the execution of a separate license agreement.

7 .WARRANTY

All CNC Jr. goods are guaranteed on a One Year-Limited Warranty for defects due to faulty material and bad workmanship. All ESCALA goods

are guaranteed on a One Year-Limited Warranty for defects due to faulty material and bad workmanship. CNC MASTERS will repair or replace faulty goods and is not responsible for any consequential loss incurred due to faulty goods. Warranty does not cover normal wear, misuse or consumable items. CNC MASTERS warrants that the software will perform in accordance to the written materials for this product. Also under this warranty CNC MASTERS will see to it to provide the support services intended to make the software conform to its description and to correct operational defects. The obligation of CNC MASTERS under this warranty are limited to replacing or repairing at its option, at its factory, and of said products which shall, within one yew: after delivery to the customer, be returned to the Seller's factory of origin, transportation charges prepaid and which are, after examination determined to be defective. This Warranty shall not apply to any of such products which has been repaired or altered, except by the Seller or its authorized centers or which have been subjected to misuse, negligence, or accident. The original warranty period of any product which has been either repaired or replaced will not be extended. It is this warranty which is expressed instead of all other warranties: statutory, expressed, and implied including the implied warranties of merchantability, any particular : purpose, and all other obligations or liabilities on the Seller's part. In addition, it will never assume or authorize any other person to assume for the seller any other liabilities in connection with the sale of said products.

8. LIMITATIONS

In no effect will CNC MASTERS be liable for any direct, indirect, incidental, special, consequential damages, loss or profits, whether based on contract, tort, or any other legal Authority.

9. THE LAW

The laws of the State of California will govern any disputes regarding the interpretation and or validity of these Terms and Conditions hereof. Any dispute relating to the products sold from CNC MASTERS hereunder shall be subjected to the jurisdiction of the courts within the State of California.