GENERAL TERMS OF SALE

The present general terms of sale govern all relations between our Company:

LE PALAIS DES THES
joint stock company with capital of €174,240 ,
registered in the Paris Register of Companies as number 339 752 636,
with registered office at 64, rue Vieille du Temple 75003 PARIS, France

(hereafter designated as " LE PALAIS DES THES ") ;

And,

Any online customer (hereafter designated as " CUSTOMER ") making a purchase on the "palaisdesthes.com" website which can be accessed at the following address:

www.palaisdesthes.com (hereafter designated as the " Website ").

Sales made and orders placed via the Website with LE PALAIS DES THES are governed exclusively by the present general terms of sale, any document or correspondence from the CUSTOMER being excluded.

An essential and determining condition of placing an order with Company LE PALAIS DES THES is the implied acceptance, in full and without reservation, by the CUSTOMER of the present general terms of sale.

Should LE PALAIS DES THES choose not to exercise the right to apply any of the present general terms of sale at a given time this shall not, under any circumstances, be interpreted as a renunciation by LE PALAIS DES THES to exercise the right to any of said conditions at a later date.

ORDER
To place an order, the CUSTOMER should fill in the order form shown on the Website. Orders shall not be deemed to have been accepted definitively and the sales contract shall not be considered as established until confirmed by LE PALAIS DES THES.

All orders shall be invoiced in accordance with the tarifs valid on the date that the order is recorded LE PALAIS DES THES.

LE PALAIS DES THES cannot guarantee the availability of all articles offered in the Catalogue, despite every effort being made to supply said articles. In the event that an article ordered is out of stock, LE PALAIS DES THES shall substitute the missing product with a product of equal or higher quality (at no extra charge) to avoid delay in delivery, unless otherwise indicated expressly by the Customer when the order is placed.

LE PALAIS DES THES reserves the right to cancel any order placed by a CUSTOMER who has failed to pay for a previous order.

Information provided by the CUSTOMER when placing an order is binding: in the event of error, LE PALAIS DES THES shall not be held responsible where incorrect information renders delivering the product impossible.

Photographs, diagrams or drawings used to illustrate the products are provided strictly as an indication only and are not contractually binding.

PRICES - DISCOUNTS
Our prices are quoted in euros and include costs of handling, packaging and preserving products.

In France and other EU countries, the prices include VAT at the rate applicable on the order date. For other countries, prices are quoted excluding VAT.

Our tarifs are valid between 01/09/2007 and 31/08/2008 inclusive.

The following discounts have been agreed for the purchase of the following quantities:

• For a quantity of 100 g to 400 g, the sale unit is 100 g.
• For 500 g or more of one type of tea, only multiples of 500 g are available.
• 5% discount on 500 g of one type of tea in one single packet.
• 10% discount on 1 kg or more of one type of tea.

Théophiles with a personal numbered card are eligible for a 10% discount on all purchases of tea and accessories (excluding books which are subject to a maximum discount of 5% under French law). To qualify for Théophile status, customers must purchase a minimum of €80 of tea during the year by mail order and/or from stores.

PAYMENT
When ordered by telephone or fax, our products are payable upon order, by bank card only (VISA, EUROCARD, MASTERCARD).

Any unpaid sum due to insufficient funds in the CUSTOMER's account or due to wrongly communicated bank details on the part of the CUSTOMER is subject to a €20 fee per payment incident.

DELIVERIES
Delivery deadlines are provided as an indication only and are not guaranteed. Failure to deliver by the date specified shall not give rise to penalties for delay, damages or interest, withholding payment or cancellation by the CUSTOMER of the order, irrespective of the causes, length or consequences of the delay.

Furthermore, deadlines quoted shall be suspended ipso jure in the event of any occurrence independent of the will and/or control of LE PALAIS DES THES which results in delivery delay and notably in the event of shortage of raw materials essential to the manufacture, delayed delivery or non-delivery by any supplier to LE PALAIS DES THES, stockout of product(s) in question and any case of force majeure.

• Delivery to mainland France

Any order over €25 (after discounts) to a single address can be dispatched as follows:

• by ORDINARY SERVICE at no extra cost (average non-guaranteed delivery time of 8 days);
• or, by EXPRESS SERVICE at a cost to the customer of €4.42 (inc. VAT). All orders received before midday will be delivered within 72 hours.

Any order of less than €25 (after discounts) to a single address will be automatically sent by EXPRESS SERVICE at a cost to the customer of €4.42 (inc. VAT).

• Delivery abroad and to French departments and territories overseas

All deliveries abroad and to French departments and territories overseas are systematically delivered by " EXPRESS SERVICE ", in accordance with the postal tarifs applicable on the order date.

All postal expenses will be charged to the CUSTOMER.

SIGNATURE AND PROOF
For all online payments by bankcard, the acknowledgement supplied by the automatic payment system shall suffice as proof of the transaction amount and date, in accordance with the provisions of article 1316 and subsequent articles of the French Civil Code.

In any event, validating the order shall have the same legal force as signature and implies express acceptance of any operations carried out on the website.

PRODUCT RETURNS
Our products are dispatched at the risk of the CUSTOMER. It is the responsibility of the CUSTOMER to check the package, without fail, as soon as it is delivered by the transport company.

The CUSTOMER must send any claims with regard to damage or partial loss affecting the products delivered, by registered letter with acknowledgement of receipt to the transport company and LE PALAIS DES THES, within a period of three working days from the date on which products are received.

Moreover, any claim for visible product defects, for whatever reason, must be addressed to LE PALAIS DES THES, by registered letter with acknowledgement of receipt, within 8 (eight) days of receipt of products ordered, the CUSTOMER is deemed to have accepted the products without reservation on expiry of this period.

It is the responsibility of the CUSTOMER to supply LE PALAIS DES THES with any proof required for the claim.

In the event that the CUSTOMER's claim is accepted by LE PALAIS DES THES, the latter shall arrange for, at its discretion and in accordance with stocks available, the exchange or return of said products, credit notes being provided for returned products.

RIGHT OF RESCINDING
CUSTOMER shall dispose of a period of 7 clear days, counting from the receipt of products, to withdraw from the sale.

In the event of exchange or refund, the CUSTOMER shall inform LE PALAIS DES THES and return the product as-new, at its own cost with its original packaging intact, accompanied by any accessories, instructions and other documentation, to the following address:

LE PALAIS DES THES
3 rue de Nice
75011 Paris
FRANCE

In the event that the withdrawal right is exercised, LE PALAIS DES THES shall refund any order cancelled by the CUSTOMER, including delivery charges (excluding the cost of returning the product however), within fifteen days of receipt of the product.

In the event of partial cancellation of the order, LE PALAIS DES THES shall keep any profit from freight charges relating to the product(s) delivered(s).

PERSONAL DATA
In accordance with the French data protection law No. 78-17 of 6 January 1978 amended, the CUSTOMER is entitled to access, modify, rectify and remove personal data. Requests of this type should be addressed to LE PALAIS DES THES, by letter or by fax.

LIABILITY - GUARANTEE
LE PALAIS DES THES cannot be held responsible for damages of any kind, whether material damage, moral prejudice or physical injury, which may result from failure to use products sold correctly or improper use thereof.

LE PALAIS DES THES shall not be held responsible for any inconvenience or damage inherent to using the internet network which is totally beyond the due care and precautions taken by LE PALAIS DES THES.

In particular, LE PALAIS DES THES shall not be held responsible for any disturbance in the supply of service, external intrusion or presence of computer viruses.

The CUSTOMER benefits from warranty of title and hidden defects in accordance with the terms of articles 1625 (and subsequent articles) in the French Civil Code.

INTELLECTUAL PROPERTY
The Website and its entire content are the exclusive property of LE PALAIS DES THES.

The CUSTOMER undertakes not to copy or download the Website content or part thereof, without prior written authorisation from LE PALAIS DES THES.

APPLICABLE LAW
The present general terms of sale are governed by French law.