Donating Car

Donating Car Biography

Source (google.com.pk)

This document sets forth the contractual terms ("Contract") by and between Cars Helping Charities, Inc. ("CHCI"), a Colorado Corporation, and __________________________________ ("Charity"), a_____________ Nonprofit Organization/Corporation, with which is attached a copy of Charity's Internal Revenue Code ("IRC") Section 501(c)(3) determination letter from the Internal Revenue Service ("IRS"). CHCI and the Charity may be referred to herein jointly as the "Parties." The purpose of this Contract is to comply with the requirements set forth in the governing State charitable solicitations laws and regulations and by the IRS, to generally describe CHCI's role as an agent of the Charity and more specifically, to describe the relationship between CHCI and the Charity for purposes of expediting vehicle donations on behalf of and for the benefit of the Charity.

1. Commencement Date/Termination. The initial term of this Contract shall be one year, commencing effective the ___day of__________, 20__. The Contract shall be automatically extended for additional successive terms of one year each, provided that either party may give the other party sixty days prior written notice of termination. The termination shall be effective sixty days after the other party's receipt of the written notice of termination.

2. Purpose. CHCI agrees to provide Charity with services to sell or otherwise dispose of vehicles that the Charity has been advised by potential donors are available for vehicle donation. These donations will be independently indentified by the Charity in communication directly between the donor and the Charity. CHCI will not and shall not engage in any charitable solicitations activity which would be impermissible under the governing State’s laws. CHCI's services shall solely facilitate charitable vehicle donations made to the Charity after the Charity has identified the donor(s) through their own independent solicitation methods.

3. Agency Relationship. The Parties wish to formalize the terms of the agency relationship between CHCI and the Charity through the terms of this Contract. Specifically, the Parties want to comply with all Colorado state law requirements as well as those set forth by the IRS as they pertain to a charity's ability to allow an agent to operate its vehicle donation program. The Parties hereby agree to the following terms: CHCI shall act as a limited agent on the Charity's behalf; all activities which CHCI shall undertake for the Charity are set forth in this Contract; all activities undertaken by CHCI shall be subject to the Charity's oversight; the Charity should actively monitor the program operations covered herein; the Charity shall have the right to review all contracts necessary to complete CHCI's duties as set forth in this Contract; the Charity shall establish rules of conduct; and the Charity may examine the books and records maintained by CHCI for the activities undertaken in accordance with this Contract.

4. Trademark License. CHCI hereby grants to Charity a non-exclusive, non-transferable right and license to use "CARS HELPING CHARITIES, INC." or the CHCI logo (collectively referred to as "the mark"), provided as necessary. Charity agrees to use the mark only for the purposes of describing the expediting function for those donated vehicles that Charity independently solicits. CHCI reserves the right to terminate Charity's use of the trademark at any time, and in the sole discretion of CHCI, without terminating any other part of this Contract. CHCI shall have the right to do all things necessary to ensure that the nature and quality of the goods (prints and publications) and services with which the mark is used, conform to the subjective standards approved by CHCI. Any supplemental advertising Charity chooses to provide, including but not limited to banners, flyers, community media, must be submitted to CHCI for approval before publishing. Approval (or disapproval) shall be in the sole and absolute discretion of CHCI. CHCI may not employ any name, trademark, or information concerning Charity for any purpose except as specifically allowed by section 6 hereof.

5. Definition of Vehicle. As used herein, "Vehicle" shall mean any and all cars, trucks, boats, motorcycles, snowmobiles, buses, trailers and recreational vehicles, whether operative or not, which have been donated to Charity.

6. Resale of Vehicles; Division of Gross Proceeds. CHCI will sell all eligible vehicles in a commercially reasonable manner. The gross proceeds ("Gross") received by CHCI from the sale of such Vehicle shall be defined as the sale price received by CHCI from the Purchaser of the vehicle. The adjusted gross ("Adjusted Gross") shall be defined as the Gross less any applicable sales or towing fees. CHCI will be responsible for all other operating expenses incurred by CHCI. CHCI shall provide Charity with a periodic accounting which shall provide information regarding each Vehicle received by CHCI for Charity during the period (which period shall not exceed three months); name and address of donor; and payment for the applicable percentage ("Percentage") of the Adjusted Gross amount. CHCI will send a donation acknowledgement from CHCI and Charity to each donor in the form of a Vehicle Donation Receipt. The Charity will receive a Percentage based on the number of vehicles donated each month as described in the table below.

Participation Level Vehicles Donated During the Month Percentage of Adjusted Gross

Level 1 1-5 50%

Level 2 6 or more 75%

7. Conditions of Donation. Charity will not be on motor vehicle title or chain of title. Other than the agency relationship set forth in Paragraph 3, above, Charity does not provide authority to CHCI for any other purpose in connection with the operations of Charity, and Charity does not assume any liability or responsibility for the conduct of CHCI's business, or its activities undertaken for the benefit of other charities. CHCI may employ the name or any information about Charity solely, only, and exclusively as required for the LIMITED purpose of this Contract, and Charity does not license any intellectual property, name or logo or allow CHCI any use of any information or trade secrets of Charity for any other purpose.

8. Donation Process. If possible, the donor of the Vehicle shall provide CHCI with a clear, marketable, and transferable (i.e., one free from liens or encumbrances) motor vehicle title to each Vehicle donated. If title to a Vehicle is not clear for any reason, then CHCI shall have the right to return the Vehicle to the donor or make other arrangements for the disposition of the Vehicle, at the sole discretion of CHCI. If the Vehicle is returned to the donor, no monies shall be paid by CHCI to Charity. The process of receiving the Vehicle, clearing the Title, selling the Vehicle, receiving the monies and sending the monies to Charity will take approximately ten to twelve weeks. However, all Vehicles must have a clear and transferable Title before they can be sold. An unclear title will change the date of payment for said Vehicle to an undetermined amount of time. During this process, CHCI will have custody and control of the vehicle and may have custody and control of the proceeds from the sale thereof.

9. Warranties. CHCI makes no warranties, express or implied as to the condition or value to be received for any Vehicle received by CHCI from Charity under this Contract. CHCI is under no obligation to sell any vehicle for any certain amount. Charity makes no warranty, express or implied, about the condition, value, or merchantability of any vehicle.

10. Integration Clause. This Contract represents and contains the entire understanding of the Parties. There are no representations, covenants, or undertakings other than those expressly set forth in this Contract. The Parties acknowledge that no Party, nor any agent or attorney of any Party, has made any promise, representation, or warranty whatever, express or implied, not contained in this Contract to induce any other Party to execute this Contract. The Parties acknowledge they have not executed this Contract in reliance on any promise, representation, or warranty not specifically contained in this Contract. The Parties, and each of them, further represent and declare they have carefully read this Contract and know its contents, and that they sign this Contract freely and voluntarily.

11. Indemnity and Hold Harmless. Charity agrees to defend, indemnify, and hold harmless CHCI, its agents, employees, officers and directors, from and against any and all actions, claims, demands, and suits asserted by third parties that are based upon negligent acts of Charity committed in the course of its performance of this Contract. CHCI agrees to defend, indemnify, and hold harmless Charity, its agents, employees, officers and directors, from and against any and all actions, claims, demands, and suits asserted by third parties that are based upon negligent acts of CHCI committed in the course of its performance of this Contract.

12. Resolution of Disputes. If a dispute arises out of or relates to this Contract the parties shall immediately make a good faith effort to meet and negotiate any differences between them in an attempt to resolve such dispute. If any such dispute cannot be settled by the parties by negotiation, the parties agree then to try to settle the dispute by mediation administered by the American Arbitration Association under its Commercial Mediation Rules, in the City and County of Denver, Colorado. If the parties are not able to resolve the dispute by mediation through such process, then any such dispute shall be resolved by binding arbitration administered by the American Arbitration Association under its Commercial Arbitration Rules. The arbitrator(s) may assess attorneys' fees and costs against a party in accordance with such Rules as the arbitrator(s) determine is just and reasonable under the circumstances. Judgment on the award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof.

If the terms and conditions of this Contract are acceptable, please sign and return to us the original, accompanied by a copy of Charity's 501(c)(3) IRS Determination Letter.