General Terms and Conditions of the General Logistics Systems Croatia d.o.o. za usluge

pertaining to parcel forwarding and management

General Terms and Conditions for other postal services of General Logistics Systems Croatia d.o.o.

- with headquarters in HR-10360 Popovec, Varaždinska 116, OIB: 88360795357, registered at the Court registry of the Commercial Court in Zagreb under registration entry no. (MBS): 080852963 (hereinafter: GLS Croatia)

These General Business Conditions are based on the CMR (Convention on the Contract for the International Carriage of Goods by Road, Geneva, May 1987 and May 1956), the

Montreal Protocol and the Postal Services Act (cro. Zakon o poštanskim uslugama, Official Gazette no. 144/2012, 153/13, 78/15; hereinafter: ZPU).

1. Introduction

GLS Croatia provides domestic and international postal services that do not substitute for the universal postal service to businesses, institutes, public institutions and Clients endowed with legal personality who enter into long-term contracts with GLS Croatia in the respect of the use of such services, and pay the fee for the service periodically, in retrospect, based on performance, by bank transfer.

GLS Croatia is entitled to deny entering into a contract or providing a service in situations which constitute a case of forbidden content of postal parcel pursuant to ZPU or other applicable regulation as mentioned under Article 4 herein.

GLS Croatia only forwards carriage-paid parcels, that is, the Client in all cases pays the fee for the service.

These General Business Conditions define the services, the obligations undertaken by GLS Croatia as the service provider, and all the conditions that the Client needs to meet in order for GLS Croatia to be able to deliver the parcel at the appropriate standard of quality.

GLS Croatia in all cases provides door-to-door delivery and operates communication devices and an organizational apparatus that enables Clients to obtain answers to all inquiries they may have in relation to parcel delivery, either over phone or via the Internet.

The GLS Croatia service does involve intermediated services (provided by subcontractors) and the use of GLS technology which ensures the tracking of parcels throughout the entire procedure.

For ParcelShop and C2C portal (www.paket.hr) users:

GLS Croatia provides domestic and international other postal services to legal and natural entities, whereby the service fee is paid in advance by the client in the ParcelShop or by using the online portal www.paket.hr.

GLS Croatia performs the parcel-forwarding service strictly on the basis of a valid, effective and accepted prices and conditions which are mentioned and defined on the web site ww.paket.hr or a shop of a GLS partner (hereinafter: ParcelShop). A precondition of validity is always the Client, when giving over a parcel, having in his possession a parcel label issued by GLS Croatia, obtained either via e-mail in case of using www.paket.hr, or given in the ParcelShop based on advanced payment for parcel transport or brought by GLS courier when picking up the parcel if the Client does not own a printer and has ordered and paid the service by using www.paket.hr.

2. Customer service

GLS Croatia maintains a Customer service at its headquarters, which is open on working days (Monday – Friday) from 7 AM – 6 PM and provides information on parcels pursuant to the parcel reference number on delivery (IOD), and also sends proof on delivery (POD) upon the Client’s request, and handles any complaints regarding parcel delivery.

The Customer service can be reached:

by phone: 01 / 2042 672

by fax: 01 / 2369 620

by e-mail: cs@gls-croatia.com

Information related to the delivery status of parcels can be requested from the second day following parcel dispatch, on the www.gls-croatia.com website, using the Track & Trace menu point, based on the parcel reference number.

Addressees who call the number +385 1 204 2672 are provided with information about their parcels, based on the parcel number.

3. Enquiries, complaints management

The Client or its representative may make enquiries at Customer Service based on the parcel number, and may request the parcel information specified later herein (information on delivery, IOD), as well as a delivery certificate (proof of delivery, POD). The parcel information (IOD) service, in the case of parcels dispatched within the last 3 months, is provided immediately, and the delivery certificate (POD), in the case of parcels dispatched within the last 3 months, is sent within 4 hours.

After this, the parcel information is kept available for a further one year, but the deadline for providing the information lengthens to 3 working days.

Delivery certificate copies (POD) may be requested free of charge up to 5% of the monthly average parcel volume. The POD is available as of the next working day in the case of deliveries within Zagreb, and as of the second working day in the case of deliveries outside Zagreb.

The Client can submit a written complaint to provider of postal services in the events of loss of parcel, lateness in transfer and delivery of parcel or in case if the service was not provided entirely or partially, all within three months as from the day of handing over the parcel in domestic transport and six months in case of an international transfer.

In case of damage or decrease of parcel content, the addressee or other authorized person must submit the complaint right after the parcel was delivered, filling in the Minutes on Damage form, or afterwards, under the condition that the addressee can provide evidence that the damage has not occurred after the delivery. The Minutes are held by the person delivering the parcel.

In the case of delivery of parcel thru the ParcelLocker, recipient or other authorised person has to file complain immediately upon receipt of the parcel or subsequently with proof that the damage did not occur after delivery, on e-mail address primjedbe@gls-croatia.com.

In the case of complaints, Customer Service receives the complaints, ensures that they are investigated and that the relevant corrective measures are taken, and informs the complainant accordingly.

The complaints can be files in writing, using e-mail (primjedbe@gls-croatia.com) or in writing (addressed to the headquarters of GLS Croatia), as well as the local depots. Customer Service checks the complaints at least once weekly, and investigates and remedies any complaints and observations in accordance with the usual procedure and legal timeframes.

Customer Service receives any damage reports and forwards them to the GLS damage claims administrator.

The postal service provider is obligated to provide a written answer to the Client to inform him if the submitted claim is well grounded or not within 30 days as from the day of the receiving of the complaint in both domestic and international distribution.

The Client has the right to submit a complaint to the Postal Services Customer Protection Claims Committee against the written answer of the postal service provider within 30 days of receiving the written answer, which Committee is obliged to give a written answer within the next 30 days as from the receiving of the complaint.

The procedure of submitting and resolving of complaints must be organized pursuant to the provisions of ZPU, transparent, objective, free of discrimination, simple and publicly accessible to all clients to a reasonable price.

In the event of dispute between the client and the provider of postal services regarding the complaint solving, the client can file a request of dispute resolution to the Croatian regulatory agency for network activities within 30 days as from the day of receiving the written answer by the committee for consumer complaints.

The complaints are registered and the causes of the errors, if any, are eliminated in accordance with the stipulations of the ISO 9001-certified quality management system.

4. Purpose and geographical validity of the GLS Croatia General Business Conditions

GLS Croatia performs the parcel-forwarding service strictly on the basis of a valid and effective offers which have been made in writing and which were accepted, and which contain the conditions and other issues related to the providing of postal services. The contract may be concluded in the usual form, in writing, or after acceptance of the offer, in accordance with the content of the offer, although in all cases the precondition for validity is that the Client have the requisite number of parcel tickets, issued to it by GLS Croatia, for posting the parcels, or the Client produce the parcel tickets and posting information in accordance with the GLS system, and that it use these tickets whenever parcels are dispatched.

These General Business Conditions shall be valid for all the activities of GLS Croatia, including primarily the undertaking of integrated, parcel-forwarding tasks, the collection, loading, unloading, handling and reloading of parcels, the temporary storage of parcels in the case of failed delivery, as well as the administration of the shipping of export parcels within countries belonging to the network of GLS General Logistics Systems.

These General Business Conditions shall apply exclusively to transport-related tasks covered by contracts concluded with GLS Croatia, and therefore they shall not apply to import parcel forwarding in the case of which the Client enters into a contract with a partner of GLS General Logistics Systems in accordance with the General Contractual Conditions of the foreign partner.

GLS Croatia transports parcels via road based network to the territory of Republic of Croatia under the Neum corridor (e.g. Dubrovnik, Pelješac, Korčula etc.) over the territory of Bosnia and Herzegovina. The Client is obligated to declare the value and kind of sent items for parcels that are sent to that area. The Client is responsible for the accuracy and veracity of the declared data and that the content of the parcel is in accordance to all applicable regulations. Based on the declaration of the Client, GLS Croatia issues custom forms (T2L documents) which are necessary for the transfer of parcels over the territory of Bosnia and Herzegovina. The administration fee (DPV) for such parcels is charged by parcel for all parcels sent to this territory. The list of postal codes that apply for these fees can be found on the web pages of GLS Croatia.

Within domestic distribution, parcels outside of the delivery scope of GLS Croatia (islands that are not part of GLS Croatia’s islands scheduled transports) shall be sent by contractual partner. In such cases, weight and dimensions limits set by GLS Croatia, rules regarding damages, additional and time guaranteed services are not applicable. The manipulation fee for such parcels (Zone 2) is charged by parcel. The list of islands on the delivery scope of GLS Croatia and the transport schedule can be found on the web pages of GLS Croatia.

The restrictions regarding parcels outside the delivery territory are:

• maximum weight: 20 kg

• maximum length: 1,5 m

• maximum girth: 3 m

• transit time: 48 – 168 h

Activation of additional services is not possible for these parcels.

GLS Croatia shall handle parcels that carry a sign, inscription or label which indicates breakable or fragile content or instructs careful handling of the parcel (e.g. „Fragile“, „This side up“, „glass“, „don't turn“, glass sign indicating fragile content, arrow indicating parcel placement during transport etc.), with special care. The fee for the manipulation of such parcels shall be charged by parcel. GLS Croatia shall not be liable for the damage or the decrease of parcel content should the content within the parcel not be adequately protected or if GLS Croatia excluded the content of these parcels from the transport service according to the General Business Conditions. Furthermore, GLS Croatia shall not be liable for the damage or the decrease of parcel content should the damage occur during the road transport because of inadequate packaging.

This fee does not apply for parcels send thru ParcelShop and portal www.paket.hr.

Pursuant to the Croatian Red Cross Act, the Croatian Red Cross annually organizes humanitarian weeks for the purpose of promoting its activities. During that periods, GLS Croatia charges surcharge stamps for the benefit of the Croatian Red Cross in the domestic postal traffic regarding all parcels, with the exception of newspapers and magazines. The fee is charged for each parcel handed over within the said period.

The General rules relating to import parcels (consigned abroad for delivery in Croatia) accepted by GLS Croatia from its foreign partners are as follows:

• The carriage costs for import parcels are paid by the sender in all cases; GLS Croatia does not invoice the addressee for the delivery charge.

• The sender is in a contractual relationship with the foreign partner of GLS Croatia.

• When taking receipt of import parcels GLS Croatia does not check compliance with the requirements relating to the addressing of the parcels, and attempts delivery on the basis of the data displayed on the packaging. In the event of an unsuccessful delivery attempt GLS Croatia's foreign partner received written notification, and all further steps are taken on the basis of the instructions given by GLS Croatia's foreign partner. In the absence of such instructions, on the 10th working day following the unsuccessful delivery attempt, GLS Croatia redirects the parcel to the sender.

• In possession of the parcel number, the addressee may modify the delivery address indicated on the parcel and request delivery of the parcel to a different address.

• Damage claims shall be handled in accordance with the terms of the contract concluded between the sender and the foreign partner of GLS Croatia within 30 days from its submission, and the duration of the investigation procedure may be extended once by 30 days, at the same time notifying the complainant.

• The special rules relating to the customs clearing of parcels arriving from abroad are specified in the customs laws. GLS Croatia notifies the addressee of the parcels that require customs clearing, and the addressee makes a declaration in writing on the means of customs clearing and agrees to pay the costs related to the customs clearing.

Other postal services provided by GLS Croatia:

• domestic, 24-hour BusinessParcel, BusinessSmallParcel parcel delivery service (delivery on the day following collection, in the continental part of Croatia, provision of information regarding the transit time, information on delivery to the islands are available on the web pages of GLS Croatia or with the Customer Service of GLS Croatia),

• export parcel delivery to EU member states and some countries which are not EU members in cooperation with the GLS General Logistics Systems network. List of all countries is available on official web site of GLS Croatia,

• the import of parcels sent by the members of the GLS General Logistics Systems network to Croatia from the above countries, the customs clearance of the parcels in accordance with the Addressee’s instructions, and delivery of the parcels.

• For ParcelShop and C2C Portal (www.paket.hr ) users:

• domestic, 24-hour parcel delivery service (delivery on the day following collection, in the continental part of Croatia, provision of information regarding the transit time, information on delivery to the islands are available on the web pages of GLS Croatia or with the Customer Service of GLS Croatia),

• export parcel delivery to the EU member states (the list of all states is available on www.paket.hr and the price list in each ParcelShop)

In case of the parcel label being made by the GLS online program or via www.paket.hr, the parcel forwarding fee includes also FlexDeliveryService. For parcels in export delivery, recipients will get only e-mail note.

List of other domestic postal services

BusinessParcel

A rapid and efficient door-to-door parcel delivery service. Within the continental part of Croatia, we deliver the parcels, collected from any town or village, during working hours (between 8 a.m. and 5 p.m.) on the working day after the day of pick-up. The transit time for islands can be checked with the Customer Service of GLS Croatia or on its website. The second delivery attempt is free of charge.

ExpressParcel

Delivery of urgent parcels to deadline, by noon on the day after the day of pick-up at the latest. Only available in certain towns; a list of these towns is available on GLS Croatia's website.

This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

In the event of a delay for reasons attributable to the service provider, three times the premium charged for the service shall be credited as fixed-amount compensation.

BusinessSmallParcel and ExpressSmallParcel

Special handling for parcels under 2 kg: separate sorting, carriage in special GLS bags or boxes, simple procedure for designating consignments as small parcels using a GLS template.

This service Express-Small Parcel does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

Domestic parcel forwarding

In accordance with the request of the sender, GLS Croatia performs the pick-up of the parcels at the location specified by the Client and the delivery of the parcels, keeping them constantly under its surveillance from pick-up to final delivery. The Sender can also keep track of the consignment as well as the information related to the consignment, and the proof of delivery is retrievable at any time (within the limitation period). In the event of a change of address, GLS Croatia also undertakes to clarify the address and to deliver the consignment to the clarified address. The service also includes the second delivery attempt following a first unsuccessful delivery. At the Sender’s or the Addressee’s instruction, the parcel will be delivered to a new address, or to the original address at a different time.

Should it not be possible to leave the notification on failed attempt of delivery in the mail box, GLS Croatia shall leave the notification on a visible place within the location.

The locations of ParcelLocker and ParcelShops as well as the applicable working hours are available on the web site of GLS Croatia. The service can be ordered by the addressee by using FlexDeliveryService. In case of delivery to a ParcelLocker, the addressee will receive, along with the parcel number, a unique code necessary for the opening of the ParcelLocker. The delivery into the ParcelLocker is possible solely if an e-mail address or a mobile phone number of the recipient is available. Cash-on-delivery (COD) can be solely paid by bank POS terminal on the ParcelLocker. The doors of the ParcelLocker are opened as soon as COD is paid. The addressee shall receive an e-mail notification on the successful parcel takeover and the paid COD amount. GLS Croatia shall consider the parcel as delivered and its service rendered if the person authorized for parcel takeover (the person holding the unique code) takes the parcel over using the ParcelLocker

Should the Client decline to receive the returned parcel, GLS Croatia shall storage it for one year, register the fact in the appropriate list, and afterward decide on further action (Including but not limited to the forward sale or destruction of parcel).

Additional services available to domestic Clients for a special fee:

Guaranteed24Service:

Guaranteed next-day delivery – with this service GLS Croatia undertakes to ensure delivery on the working day (except on islands, information regarding delivery on islands are available in GLS Croatia's Customer Service) following pick-up, with a money-back guarantee! If this deadline is not met through the fault of GLS Croatia, then GLS Croatia will refund triple amount of the transit fee.

This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop. It shall not be classified as late delivery if delivery of the parcel within the deadline was unsuccessful because of force majeure or if at the time of the delivery attempt, the address or another authorized recipient was not available at the place indicated in the address.

Pick&ReturnService:

Pick-up and return – GLS Croatia, on the instructions of its contracted partner, collects the parcel from the specified location and delivers it to the Client anywhere in Croatia. The service can be ordered only by using GLS Connect or GLS Connect Online software. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

Pick&ShipService

Pick-up and ship – GLS Croatia, based on the instructions of its contracted partner, collects the parcel from the specified location and delivers it to any specified address in Croatia. The service can be ordered only by using GLS Connect or GLS Connect Online software. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

CashService

Cash-on-delivery – The settlement and bank-transfer, to the bank account number of the company, of the cash taken upon delivery takes place automatically at least twice a week; the additional fee for the service includes the cost of the bank transfer within the given country. The fee for the service is also charged in the event of an unsuccessful attempt to hand over the parcel. This service can be ordered also in Hungary, Slovakia, Czech Republic, Romania and Slovenia. In the case of an export consignment, the Client must have a HUF current account kept in Hungary, a EUR current account kept in Slovakia, a CZK account kept in the Czech Republic, a RON account kept in Romania or a EUR account kept in Slovenia, in order to use the service in these respective countries. In the case of export consignments, it is possible to order the service only through an installed GLS Connect or GLS Online software.

CashService for ParcelShop and www.paket.hr users

Cash-on-delivery – The settlement and bank-transfer takes place automatically at least twice a week, to the account of the Client indicated on the transport sheer on www.paket.hr or a separate sheet when handing over parcels in the ParcelShop. In case of the parcel handed over in a ParcelShop, the merchant is obligated to enter the mentioned account number into the GLS online system or forward it to GLS for further administration. The additional fee for the service includes the cost of the bank transfer within the given country. The fee for the service is also charged in the event of an unsuccessful attempt to hand over the parcel. This service can be ordered only within domestic transport.

ExchangeService

Parcel exchange – GLS picks up an exchange parcel upon the delivery of parcels in respect of which the service has been ordered. The service can be ordered only by using GLS Connect or GLS Connect Online software. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

AddresseeOnlyService

For confidential consignments – Through the ordering of this service, the Sender can specify the person who will be accepting the parcel. Delivery of the parcel takes place upon presentation of official photographic ID by the addressee. The number of the ID document is indicated on the delivery list (Rollkarte). The service can be ordered only by using GLS Connect or GLS Connect Online software. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

DocumentReturnService

Document management – A solution for situations where special shipping documents accompanying the parcel need to be certified with the addressee, and then returned to the sender. The service can be ordered by using the specific form or GLS Connect or GLS Connect Online software.

This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

DeclaredValueInsuranceService

GLS Croatia undertakes liability for compensation in the event of loss, destruction, partial or complete damage of the parcel up to the Declared-value of the parcel. In the case of domestic distribution parcels can be declared for a maximum value of HRK 12,500 (in words: twelve thousand five hundred), and in the case of export parcels, for a maximum of HRK 5,000 (in words: five thousand). The service can be used on ad-hoc basis, separately for each parcel, against payment of the fee for the service. The service may be ordered by completing a service request via form, GLS Connect or GLS Online. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

SMSService

Short text message notification. The Sender notifies the consignee on the day of dispatch of the parcel that the parcel will be delivered on the following working day. The text message is worded by the sender, and can include the parcel’s identification number and the amount that will be payable upon delivery. The telephone number of GLS Croatia’s Customer Service Office for addressees is automatically added to the end of the message. The service may only be ordered via GLS Connect or GLS Online, and messages may be no longer than 130 characters. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

PreadviceService

In the morning hours, GLS sends a short text message informing the addressee of the estimated time of delivery. The text message contains the identification number of the parcel, the estimated time of delivery (with 95% accuracy) specified as a three-hour window, and the telephone number of the GLS Croatia’s Customer Service Office. This service may only be requested via GLS Connect or GLS Online. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

FlexDeliveryService

After ordering the transportation of the parcel, we inform the recipient in domestic distribution via SMS and/or e-mail that the parcel is prepared for delivery on the next day, the delivery address and amount of cash on delivery (if applicable). The second e-mail message or SMS will be sent in the morning on the day of delivery, with 3-hour time interval for the expected time of delivery. This message includes the phone number of the courier and the contact number of the Customer Service. Already after 15 minutes as from the unsuccessful attempt of delivery the recipient receives a notification and can handle the further managing of the parcel via internet.

The link that is necessary for the application is sent to the addressee by SMS or e-mail, so the same can choose one of five options for the next delivery:

• delivery to another address

• delivery in another time

• personal pick up in the nearest GLS depot, ParcelShop or ParcelLocker (does not apply for parcels with COD)

• refusal of the parcel

• deposit permission without the signature of the addressee (not applicable for parcels with COD)

ContactService

Contacting the addressee pre-delivery – Obligatory phone call to the addressee one hour pre-delivery and notification on estimated time of delivery. The call is for information purposes only and does not enable changing of delivery time. The service can be ordered in GLS Online and in GLS Connect software combined with the services of BusinessParcel and BusinessSmallParcel. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

LateCollectionService

By ordering this service, GLS Croatia collects the parcel outside of usual working hours (i.e. from 5 PM to 8 PM) in the city of Zagreb. The services can be ordered for a period in advance and for no less than 10 parcels per day. The service fee is determined within each particular agreement. This service does not apply for www.paket.hr users and for parcels with label made in ParcelShop.

ShopDeliveryService

Delivery into the ParcelShop/ParcelLocker – In case of ordering of service, the first delivery can be ordered into the ParcelShop or the ParcelLocker. GLS Croatia shall inform the addressee by SMS message or by e-mail that the parcel was delivered in the ParcelShop or the ParcelLocker. In order to take the parcel over in the ParcelShop, the addressee will have to present an official document which proves his/her identity. When the service is ordered, it is recommended to name a few persons authorized for the parcel takeover. Parcel that are sent with the ShopDeliveryService shall be delivered in the selected ParcelShop or ParcelLocker, and not to the address of the addressee. Should more than one parcel be sent to the same addressee, the parcels shall be charged separately. The locations and working hours can be found on the web site of GLS Croatia. The service can be ordered also by the addressee by using the FlexDeliveryService. In case of delivery to a ParcelLocker, the addressee will receive, along with the parcel number, an unique code necessary for the opening of the ParcelLocker. The delivery to the ParcelLocker is possible only if there is an e-mail address or cell phone number of the recipient. Cash-on-delivery (COD) has to be paid solely by bank POS terminal on the ParcelLocker. The doors of the ParcelLocker are opened as soon as COD is paid. The addressee shall receive an e-mail notification on the successful parcel takeover and the paid COD amount. GLS Croatia shall consider the parcel as delivered and its service rendered if the person authorized for parcel takeover (the person holding the unique code) takes the parcel over using the ParcelLocker.

LabelPrintService for www.paket.hr users:

- based on the paid order by the Client of GLS Croatia for those clients who are not able to print labels themselves, the parcel label is printed. The parcel label contains the sender's address where the parcel is picked up and then delivered to the marked location within Croatia. This service can be ordered only by using www.paket.hr

List of other international postal services

EuroBusinessParcel and EuroBusinessSmallParcel:

Reliable, rapid and efficient road-based door-to-door parcel forwarding with advantageous transit times in more than 40 European countries.

Export parcel forwarding (international integrated parcel forwarding service): the consignments are delivered by the foreign contracted partners of GLS General Logistics Systems while ensuring that the consignment remains under the surveillance of GLS General Logistics Systems from collection to delivery, and that the information related to the consignments as well as the proof of delivery can be retrieved at any time (within the limitation period). With respect to export parcels, the transit time (excluding customs clearance, from the time of pick-up until the consignment arrives at the depot of the target country performing the customs clearance) varies by target country, from 1 to 7 working days following pick-up. The provisions, restrictions or prohibitions valid in the destination countries with respect to the content and addressing of export parcels may differ.

Additional international services (additionally charged) for the domestic Client:

CashService

Cash-on-delivery – The settlement and bank-transfer, to the bank account number of the company, of the cash taken upon delivery takes place automatically at least twice a week; the additional fee for the service includes the cost of the bank transfer within the given country. The fee for the service is also charged in the event of an unsuccessful attempt to hand over the parcel. This service can be ordered also in Hungary, Slovakia, Czech Republic, Romania and Slovenia. In the case of an export consignment, the Client must have a HUF current account kept in Hungary, a EUR current account kept in Slovakia, a CZK account kept in the Czech Republic, a RON account kept in Romania or a EUR account kept in Slovenia, in order to use the service in these respective countries. In the case of export consignments, it is possible to order the service only through an installed GLS Connect software.

FlexDeliveryService

After ordering the transportation of the parcel, we inform the recipient in domestic distribution via SMS and/or e-mail that the parcel is prepared for delivery on the next day, the delivery address and amount of cash on delivery (if applicable). The second e-mail message or SMS will be sent in the morning on the day of delivery, with 3-hour time interval for the expected time of delivery. This message includes the phone number of the courier and the contact number of the Customer Service. Generally, already after 15 minutes from the unsuccessful attempt of delivery the recipient receives a notification and can handle the further managing of the parcel via internet.

The service in international traffic can be rendered only in countries published on official GLS Croatia web site.

The link that is necessary for the application is sent to the addressee by SMS or e-mail, so the same can choose one of five options for the next delivery:

• delivery to another address

• delivery in another time

• personal pick up in the nearest GLS depot, ParcelShop or ParcelLocker

• refusal of the parcel

• deposit permission without the signature of the addressee

It is the sender's responsibility to ascertain whether there is any barrier to the carriage of the given product in the addressee country. Also, GLS Croatia will inform the Client on such restrictions. The time required for customs clearance varies according to the local regulations, and the related charges are borne by the Client or the Addressee. If the Addressee does not perform its payment obligation related to customs clearance in the case of an export parcel, GLS Croatia will charge these costs to the Client. In the event of a change of address, GLS Croatia undertakes to clarify the address and to perform delivery to the clarified address. The service includes the second delivery attempt following an unsuccessful delivery, free of charge. In certain countries, following the first delivery attempt, the parcel is stored at the GLS ParcePoint (ParcelShop, ParcelLocker) nearest to the addressee’s address (specified delivery address), from where it is to be collected by the addressee himself. If the addressee fails to collect the parcel by the deadline indicated in the relevant notice, the parcel will be returned to the sender without another delivery attempt.

The SMS notification in domestic and international transport is understood to be carried out after the text message has been successfully sent by GLS Croatia, i.e. its contractual SMS service provider, regardless of the possible lack of actual delivery of the SMS to the recipient due to malfunctions and/or irregularities in the network of his mobile service provider or his equipment (mobile phone etc.).

5. Parcels, parcel labels, packaging, addressing, sealing

The careful and proficient packaging of goods ensures that the dispatched parcel is suitable for mechanical parcel handling, loading, and efficient public-road transportation, and thus that the goods may be delivered to the respective address without damage.

GLS Croatia only assumes responsibility for properly packed and addressed consignments.

The Client is obliged to package the parcel in a manner which protects its content, other parcels and employees who handle the parcel.

The Client is also responsible for the inner packaging of the parcel and the protection of parcels as well as for any damage caused to other parcels, items and injuries caused by inadequately packaged parcels, or by sending of forbidden content/goods that are excluded from these general terms.

Since parcels are handled within the GLS system based on industrial-type technology, parcels that are not suitable for handling on a movable assembly line may not be dispatched. In all cases the packing must ensure protection for assuring the quality and integrity of the contents, and that no person may access the contents without damaging the packaging.

The following conditions must be met during packaging:

• Only fully sealed parcels may be dispatched.

• Parcels loaded on a pallet may not be dispatched.

• The appropriate packaging, in every case, means both the external and internal packaging together, where the external packaging is a 5-ply cardboard box or equivalent shape-retaining packaging material.

• Parcels with long, sharp protrusions are not suitable for parcel shipment.

• Boxes must be utilized optimally; assuring the appropriate size and quality of the packaging material, and filling out the entire package, should protect the goods from damage.

• Breakable goods should be adequately packaged in Styrofoam or another padding material; the “fragile” inscription only serves as a warning, and does assure protection of the goods.

• Electronic devices and other products recalled for repair should be dispatched in their original, complete packaging, with appropriate padding in the case of the Pick up or ExchangeService.

• Bottles and flasks placed in parcels should be protected by protective layers thick enough to prevent damage (e.g. five layered card board) placed between them as well as at the bottom and at the top of each item.

• Irregularly-shaped goods that are difficult to package must also be protected within the shrink-wrapping itself, using another type of packaging.

• Cardboard boxes must be sealed on all sides with adhesive tape, which should sport the Sender’s company logo if possible.

• Boxes strapped together in a bundle may not be consigned, as the bundles may fall apart and thus only the parcel unit identified with a label will arrive at the destination point.

• The bag containing the address label, the parcel ticket and the delivery note, as well as the stickers used for identifying special services, must be attached to the largest side of the parcel.

• If several parcels are dispatched to the same address, the stickers indicating the use of any special services must be affixed to each of the parcels.

• If the CashService is ordered, the full amount to be collected must be indicated in a consistent manner either on the CashService list or by sending the data electronically, as well as on the consignment itself, using a standard GLS Croatia sticker. (If more than one parcel is dispatched, the CashService sticker must be attached to each parcel, indicating the amount to be collected, in accordance with the value of each parcel.)

• Hazardous goods may not be dispatched, even if marked as such.

• If a product that is not subject to the ADR (or other dangerous goods marking) is packaged in packaging material that bears markings relating to the ADR, the markings relating to the ADR must be removed. If the markings relating to the ADR are not removed, then based on the markings that remain on the packaging, GLS Croatia may decide whether or not to exclude the consignment from carriage.

• Tyres can be transported unpackaged. One unit may not consist of more than 2 tyres. Tyres must be strapped and secured together in a manner that ensures that the tyres remain together during transportation and loading, and that the parcel label can be appropriately attached.

• Sheets of particle board (as in furniture) must be packaged in 5-ply cardboard with edge and corner protections.

• GLS Croatia does not undertake the handling of products that require temperature control, and therefore the packaging must be such as to ensure the integrity of the contents between -25°C and +65°C.

Since GLS Croatia considers it essential to protect shipments from damage, packaging advice may be requested by GLS customers free of charge, through Customer Service.

A “Fragile” label in no way exempts the Sender from the obligation to package the goods appropriately in keeping with their nature, and nor does it actually protect the goods! GLS Croatia is not liable for parcels which are not adequately packaged, notwithstanding the „fragile“ mark. GLS Croatia will, after prior acceptance of the Client, charge the repacking of the parcels that are unsuitable for forwarding. This service is charged per parcel.

6. Collection of parcels

The parcels are usually collected from the Client’s premises. The Clients may – based on a separate agreement – also dispatch their parcels, provided with parcel labels and address labels, at the drop-off point (“I-punkt”) of the parcel sorting plant that operates at the GLS headquarters, at pre-arranged times, with deliveries scheduled for the next working day. In this case the parcels are placed on the conveyor line by the authorized person.

When picking up the parcels, the GLS Croatia driver does not check the adequacy and addressing of parcels, although he may refuse to accept parcels that are clearly inadequate (too heavy, too big, inadequately packaged). A fee is charged (NMC) for each such inadequately packaged parcels.

Parcels for dispatch are accepted by either the receiving driver or a GLS Croatia employee, with an Acknowledgement of Receipt (also stamped by the driver), which serves only to confirm the number of parcels accepted. With the consent of the sender it is recorded, on the acknowledgement of receipt, whether the itemized inspection takes place at the sender’s premises (number of items has been checked) or at GLS Croatia’s central parcel sorting plant (number of items has not been checked). The acceptance of the parcels may take place at the Client’s premises, in the GLS Depot and in GLS's central sorting plant, but the itemized registration and weighing of parcels may only take place, in accordance with the provisions of the contract, at the central GLS central parcel sorting plant.

The Client may use the following documents for the identification of dispatched parcels:

• second copy of the parcel label,

• parcel number mini sticker (self-adhesive, detachable from the parcel ticket in 2 copies),

• in the case of parcel labels generated in the Client’s own system, the computer data file in the format agreed with GLS Croatia.

The address marked on the parcel or on the parcel label must contain the following data in Arabic numerals (0-9) and Latin-script letters (A-Z):

• name of the addressee,

• destination of the parcel (name of town or village), postal code,

• name of street, house number, floor, door number,

• in the case of an export parcel, the destination country

• value and kind of goods for parcels with a destination for which a T2L document must be made (list of such destinations can be found on GLS Croatia's website)

In case of parcel that are being sent to a territory where T2L documents are required, and the necessary data are not provided, GLS Croatia may ask the sender for such data and hold the parcels until the data is given. If GLS Croatia not receive such data within 10 days, the parcel will be returned to the sender.

GLS Croatia does not check and is not liable for the data on the kind and value of the items marked by the sender. All possible sanctions (custom, sanitary etc.) caused by incorrect data shall be charged by GLS Croatia to the Sender.

GLS Croatia undertakes to settle accounts with the Client based on the number of dispatched parcels, although occasional, item-by-item reconciliations are carried out based on the Client's parcel number records. If so agreed between the parties, GLS Croatia may also provide parcel data via a computer system.

For ParcelLocker, ParcelShop and www.paket.hr users

The parcels are usually collected from the Client’s premises or by handing over in the selected ParcelLocker or ParcelSHOP.

Parcel with labels made by using the web site www.paket.hr can be handed over in the selected ParcelLocker or ParcelShop immediately after the payment of service and printing of label, depending on the working hours of the ParcelShop. Parcels with parcel labels made by www.paket.hr for which the clients choses the options of pick up by courier, and for which the fee as paid by bank transfer and the parcel label printed, shall be registered automatically in the system and the courier shall pick such parcels up on the next workinng day if the payment was registered on the account of GLS Croatia until 12 AM, and after that with a time distance of one working day.

Should the client not be able to print the label and choses the option “I do not have a printer, I want GLS to come with a label already printed“, the order must be paid and sent by 12 AM in order for the pick up to be executed on the marked location on the next working day. After 12 AM the printing of the label and the pick up will be executed with delay of one working day. In this case, GLS shall charge the additional fee for label printing

The client can hand over the parcel without a already printed out label in the closest ParcelShop, whereby the ParcelShop merchant shall provide him with a Form for parcel forwarding and parcel label, which the client is obliged to fill in. The ParcelShop merchant shall charge the parcel delivery service in cash.

7. Delivery

At the time of delivery, the closed and legibly addressed parcel is handed over to the address by the delivery driver. In the case of personal delivery the addressee is required to ensure easy and safe access to the place of delivery. When the driver arrives at the destination to deliver the parcel, he may not be kept waiting for longer than 10 minutes; if he is kept waiting any longer, the delivery process may be broken off.

Parcels are handed over upon signing of the receipt by the Addressee, or by an adult member of the household, a person who is permanently employed in the household or the business premises of the addressee, or by a persons who holds an appropriate letter of authorization for the taking over of the parcel. GLS Croatia does not investigate whether there is another natural person with the same name on the premises, who may have a claim to the parcel.

Delivery is confirmed by the Addressee, by signing the form completed by GLS Croatia, or on the image reader-scanner. The driver may request the receiver to also indicate his/her name, in addition to providing a signature, which will then be recorded among the data stored in the portable scanner, on the basis of which the recipient’s name will be retrievable from among the parcel information provided by telephone or electronically.

In order to ensure the quality of service and to prevent loss, when the parcel is being delivered, the courier may demand information on identity from the recipient (identification card number, personal identification number-cro. OIB, unique citizen identification number-cro. JMBG or other data that can be used for the identification of recipient). This information is used exclusively as a proof of service fulfilment in case of possible delivery disputes. The delivery evidence containing the above-mentioned data is archived in physical and electronic form, and GLS Croatia does not disclose this data to third parties and does not use it for other purposes. These data are used and kept in accordance with the provisions of the Personal Data Protection Act and other applicable regulations.

By the signature upon delivery, the Addressee confirms that the parcel(s) were delivered in an undamaged condition. After the Addressee takes over the parcel, GLS Croatia is not liable for possible reclamations, damages or the diminishing in size of the parcel, unless evidence is provided that the damage did not occur after the delivery.

GLS Croatia only delivers to persons who are illiterate or prevented from writing in the presence of an adult witness. The witness signs the delivery document with his/her own name.

AddresseeOnlyService. During the confidential delivery of an ‘AddresseeOnlyService‘ consignment, the recipient is the person designated by the Sender, who must prove his/her identity based on the documents specified by law. In this case, besides the recipient's signature, the number of the ID certificate or passport presented by the recipient must also be indicated.

Delivery shall only take place after the cash amount due in the case of the CashService (if such has been ordered) has been paid, and after the receipt has been signed, prior to which the Addressee may not examine the contents of the parcel. Cash-on-delivery (COD) can be solely paid by bank POS terminal on the ParcelLocker. GLS Croatia shall consider the parcel as delivered and its service rendered if the person authorized for parcel takeover (the person holding the unique code) takes the parcel over using the ParcelLocker

8. Weight and size restrictions

Parcels may be dispatched in a weight of up to 40 kg per parcel. The girth of the parcel (girth = 2x height + 2X width 1x length) may not exceed 3 meters, and the maximum permitted parcel sizes are: length 2 m, height 0.6 m, width 0.8 m. An additional fee (TM) shall be charged for each parcel larger than the defined circumference by GLS Croatia.

For BusinessSmalParcels the maximum weight of a parcel is 2 kg, and the maximum width is 40 cm.

Each parcel is weighed by GLS Croatia automatically, in accordance with the provisions of the contract, at the time when the parcel arrives at the regional collection depot or the central dispatch plant, using electronic scales and the measured weight is allocated to the parcel number and automatically registered. The measured weight data serves as the basic data for the automatic invoicing process.

Within the GLS system, parcels exceeding the weight of 40 kg for domestic and international distribution or the specified size limits or are not adequately packaged will not be forwarded in every case. GLS Croatia shall be entitled to send any consignments that cannot be forwarded due to the above reasons by means of another carrier that undertakes the shipment of such consignments, and to charge any related costs to the Client. Before such parcels are forwarded for delivery, GLS Croatia shall notify the Sender and ask for permission regarding the additional costs. With respect to these consignments, the rules of section 16 on damage incidents shall not apply, and the delivery time guarantee shall cease to be valid.

For ParcelLocker, ParcelShop and www.paket.hr users

Parcels may be dispatched in a weight of up to 40 kg per parcel. The girth of the parcel (girth = 2x height + 2X width 1x length) may not exceed 3 metres, and the maximum permitted parcel sizes are: length 2 m, height 0.6 m, width 0.8 m.

Parcels handed over into the ParcelLocker may not exceed dimensions 50x50x50 cm. The transport fee is charged according to 5 size categories – XS (up to 35 cm), S (do 50 cm), M (up to 65 cm), L (up to 80 cm) and XL up to 3 m girth. The measures XS, S, M and L are the result of addition of the longest and shortest parcel dimension. The ParcelShop merchant is obligated to put a label which contains dimensions on each parcel. The parcel dimension is the basis for the calculation of transport price.

If a parcel sent via www.paket.hr contains a label made pursuant to inaccurate given dimensions, GLS is entitled to return the parcel to the sender without trying to deliver and without any rights to compensations of monetary funds.

The parcel delivery fee is published on www.paket.hr and within each ParcelShop and includes VAT.

Within the GLS system, parcels exceeding the weight of 40 kg or the specified size limits or are not adequatly packaged will not be forwarded. GLS Croatia shall be entitled to send any consignments that cannot be forwarded due to the above reasons by means of another carrier that undertakes the shipment of such consignments, and to charge any related costs to the Client. Before such parcels are forwarded for delivery, GLS Croatia shall notify the Sender and ask for permission regarding the additional costs. With respect to these consignments, the rules of section 16 on damage incidents shall not apply, and the delivery time guarantee shall cease to be valid.

Exceptionally, in case of hand over of inadequately packaged parcels or parcels excluded from transport according to Article 9 hereof into the ParcelLocker, and which can not be re-packaged as described above, GLS Croatia shall notify the sender, who is obligated to take such parcel within 24 hours from the ParcelLocker, following instructions from Customer Service. In the contrary, GLS Croatia is entitled to handle such parcel, including but not limited to the destruction or sale of parcel.

9. Objects excluded from the scope of GLS Croatia’s services

The following items are excluded from carriage:

• goods packed inadequately and/or not in the standard forms of packaging customary in trade or in a manner which is not adequate for transport,

• consignments that are clearly overweight or oversized,

• bundled parcels, parcels dispatched in wooden crates,

• perishable, infectious or repugnant goods,

• human remains,

• livestock and plants,

• consignments in sacks, bags, or loose-packaged consignments,

• highly valuable goods, e.g. cash, precious metals, documents with monetary value, drawn lottery tickets and similar, true pearls, precious stones, jewellery,

• works of art, objects of sentimental value,

• temperature-controlled goods,

• nutritional products,

• munitions, firearms, explosives and similar items,

• narcotics, unless the Client and the addressee are authorized for such distribution by special regulations,

• radioactive materials,

• flammable or fire-hazardous materials,

• products labelled as biologically hazardous,

• products with a label on them warning of an asbestos hazard,

• parcels addressed to the Addressee’s post-office box or a property identified by its land registry title number,

• in the case of export consignments, also goods subject to excise duty, alcoholic drinks and tobacco, and

• commodities listed in the ADR Convention (Regarding the International Transport of Hazardous Goods on Public Roads) as hazardous goods,

• goods or parcels that are forbidden to be sent by applicable laws on sanctions, for instance because of their content, addressee or the country from which or which to the parcel is being sent. Laws on sanctions include all laws, regulation and decision (including commercial restrictions and economical restrictions) towards countries, departments or individuals, including but not limited to those set by the United Nations, EU and EU member states.

In the case of parcels of foreign destination - along with all items named above - personal belongings, goods in glass packaging, goods subject to excise and consumption duty, as well as goods accompanied by ATA Carnets are also refused for shipment.

It is forbidden to dispatch products and goods that are prohibited under the statutory provisions (including resolutions and measures brought by the United Nations Organization) of any member state of the European Union or of the originating, transit or destination country, or in respect of which any trade or economic restrictions or sanctions are in effect.

Information regarding the special provisions of individual countries may be obtained from the given country's embassy, the Croatian Chamber of Economy and other competent authorities, as well as the website of the Croatian Ministry of Foreign and European Affairs (http://www.mvep.hr/), entering the phrase „International restriction measures“ into the search bar.

The Client is obliged to notify GLS Croatia, prior to dispatch, about any parcels with a value that exceeds EUR 5,000 (in words: five thousand).

10. The service

GLS Croatia performs the service as a carrier agent, and for fulfilling freight-forwarding tasks it uses the services of individual carriers, whose activity it monitors throughout the entire process, and the quality of which activity it guarantees. The activities performed by the above-mentioned carriers appear in the invoice as mediated services, which, due to the nature of such services, are not stated separately.

GLS Croatia accepts parcels for transportation that are sealed and intact, without checking their contents (please see the exceptions to this rule in paragraph 6 hereof), and has them forwarded to the Addressees sealed and undamaged, and without their contents being checked.

In the event of any visible damage to the parcel or the packaging, GLS Croatia allows the recipient to check the content of the parcel upon delivery, and the result of such checking is recorded in a report prepared together with the recipient. One copy of the report is handed to the addressee.

GLS Croatia does not open parcels. However, GLS Croatia may open parcels and inspect their content with the approval of either the Client or the addressee. Furthermore, there are situation in which GLS Croatia is obliged to open and inspect parcels in the presence of at least two persons without the consent of the Client or the addressee:

• in the parcel cannot be delivered to the addressee not can it be returned to the Client,

• in cases of reasonable doubt that the parcel contains forbidden content according to ZPU or other applicable regulation,

• if the parcel is damaged in a way which endangers its content,

• if the parcel in international transport is subject to customs inspection.

The service is deemed to be activated by the taking over of the parcel from the sender, i.e. by the hand over of the parcel into the GLS Croatia system.

Regarding Items 2 and 3 above, the provider of postal services is obliged to issue minutes in two copies, of which one is given to the Client or the addressee, or the competent body according to special regulation.

Scope, characteristics and conditions of the service:

• Content of the service: acceptance of parcels handed over at the GLS Depot, in the central parcel sorting plant or at the site designated by the Client, collection and transportation of parcels to the Addressee, postage paid. GLS Croatia primarily executes the instructions of the Client, and undertakes parcel forwarding, the costs of which are borne by the Client.

• The release of the parcels takes place against the signature of the Addressee or of another person who, depending on the circumstances, could be considered or assumed to be entitled to receive the parcels. These include, primarily, the persons present in the premises of the Addressee, and those in possession of the appropriate letter of authorization.

• Parcels dispatched to GLS Croatia at the place of pick-up by 5 p.m. will be delivered within Croatia on the next working day (“24-hour” does not refer to the precise transit time, but only means the next working day). The Client may also dispatch Express-Parcels (morning deliveries) to the locations specified in the list provided by GLS (deliveries performed by 12 noon on the next working day), subject to the terms of the contract. In the case of export consignments, the transit time is between 1 and 7 working days (indicative data only), which may be extended by the time required for customs clearance.

• If the first delivery attempt is unsuccessful, the second delivery attempt is included in the basic service. If the first delivery attempt fails due to an incorrect address or some other circumstance that can be corrected by the Client, GLS Croatia will call upon the Client to make the correction. In the event of an unsuccessful first delivery attempt due to a refusal to accept the delivery, or if the second attempt is also unsuccessful, the parcel will be returned to the Client. If the Address refuses to accept the parcel a second attempt at delivery is not made, and the parcel is automatically returned to the Sender. Any undeliverable parcels are stored by GLS Croatia for up to 5 working days (or for up to 10 working days if the Addressee has indicated that he is on holiday), after which the parcels will be returned to the Client, without any separate indication. If receipt is refused, or if based on the Client’s instruction given in the course of the corrective procedure GLS Croatia will not attempt a second delivery, GLS Croatia returns the parcel to the Sender.

• Unlimited information on delivery (IOD) will be provided by GLS Croatia to the Client regarding the parcels dispatched by it, from the morning of the second working day following pick-up, either by phone or through the web-based Track&Trace system. The Client may request a written proof of delivery (POD) free of charge for up to 5% of the average daily number of parcels consigned by the Client.

GLS Croatia is entitled to charge a reasonable document-completion fee, if this is justified by the excessive demands for delivery-related certificates. The countersigned consignment note (“Rollkarte POD”) or the acknowledged and signed electronic (scanned) receipt replacing it shall qualify as appropriate proof of delivery.

In the event of delivery to a GLS ParcelLocker, only IOD may be requested.

• CashService, that is the collection of cash on delivery, is provided in the event of the Client’s properly completed written order, or order sent via an electronic channel, confirmed by GLS Croatia, or an order recorded in accordance with the provisions and sent by the specified deadline in the GLS Connect or the GLS Online system, with GLS Croatia assuming full responsibility for the cash collected on delivery (against an acknowledgement, or a COD receipt). However, by failing to collect the COD amount, GLS Croatia will not create a liability against the Client, because according to the original legal binding, the liability against the Client is still on the Addressee. The rules of section 16 on damage incidents do not cover the amount of uncollected cash. Once the courier performing the delivery has left, there is no opportunity to make complaints regarding the COD amount or the change given. In the case of any uncollected COD amounts, the liability of GLS Croatia shall extend to the limit of the collection service fee, in addition to which GLS Croatia shall be obliged to cooperate in the subsequent collection. If collection of the COD amount fails due to reasons demonstrably attributable to the wilful misconduct or negligent business conduct of GLS Croatia, and subsequent collection also fails, then a damage claim may be raised up to the amount of the COD. If the failure to collect the COD was caused by the inadequate instructions of the Client with regard to the additional service (failure to send all or some of the COD data or to send it on time, or a failure to complete or to fully complete the documentation serving this purpose) then GLS Croatia shall bear no liability for damage.

When handling a parcel associated with a CashService (COD), GLS participates only in the collection of the cash in accordance with the Client’s instructions; GLS is not entitled to make any statements on behalf of the Client or to conclude a contract with the Addressee. The Client is obliged to observe the provisions of the latest laws and regulations on the combating and prevention of money laundering and terrorist financing.

• The DocumentReturnService, is ordered by the submission of a filled form or by the activation of the service in the electronical form. This agreement is not covered by the rules of section 16 on damage incidents. Since during the provision of these services GLS Croatia employees will work in close cooperation with the employees of the Client and the Addressee, GLS Croatia will not be able to eliminate any obstacles that arise in relation to the work. If the duties within the range of these services cannot be fulfilled for whatever reason, GLS Croatia shall bear no financial liability for such failure or any consequential losses.

• Should the Client dispatch any parcels, without prior notification of GLS Croatia, for an addressee for whom the parcels may only be delivered subject to the performance of any or all of the above extra services (delivery note certificate, itemized delivery), GLS Croatia shall be entitled to perform the service and invoice the fee for such performance, even without a prior agreement.

For ParcelLocker, ParcelShop and www.paket.hr users

Content of the service: acceptance of handed over parcels in the GLS ParcelLocker, ParcelShop or the location of the Client, transport and delivery of parcel to the addressee. GLS Croatia primarily executes the instructions of the Client, and undertakes parcel forwarding, the costs of which are borne by the Client.

Parcels dispatched to GLS Croatia at the place of pick-up or in the ParcelLocker by 12 AM will be delivered within Croatia on the next working day (“24-hour” does not refer to the precise transit time, but only means the next working day). Parcels handed over in ParcelShop until 12 AM in places with GLS Croatia depot and until 9 AM in other places, shall be deliver the next working day. In the case of export consignments, the transit time is between 1 and 7 working days (indicative data only), which time may be extended.

11. Parcel forwarding fee, reimbursement of costs

GLS Croatia and the Client shall, under the parcel forwarding contract and any amendments thereto, agree with regard to the prices. The contract can be conclude in the usual manner, in writing, or by acceptance of offer (concludent action), according to the content of the offer. By either verbal or written acceptance of the offer, and the starting of the providing of service, the agreement is considered to be entered into. The prices are based on a volume weight of 1m3 = min. 300 kg.

Regarding returned goods, forwarded parcels and goods of unusual size, the settlement of accounts with the Client takes place in accordance with the currently valid price list.

With respect to parcels forwarded to non-EU countries, GLS Croatia only undertakes export parcel forwarding with DDU or DDP parity.

Special customs clearance orders are performed by GLS Croatia exclusively on the basis of a prior agreement!

With respect to export parcels outside the EU, the Client is obliged to conclude an agreement related to the bearing of costs with the Addressee, and the Client is obliged to submit the related order to GLS Croatia, in compliance with such agreement.

In the case of export orders, GLS Croatia starts out from the assumption that the Client is responsible for the correctness of the parities communicated to GLS Croatia. Thus, if according to the parity, the foreign recipient is to pay the customs charges, the taxes, fees, costs and expenses, or if such payments are incurred for reasons attributable to the foreign recipient, the domestic Client reimburses to GLS Croatia all such expenses that have not been settled by the foreign recipient.

For ParcelLocker, ParcelShop and www.paket.hr users

GLS Croatia undertakes to calculate the fee for parcel transfer pursuant to the published and currently valid price lists on www.paket.hr or in ParcelShops. The mentioned price includes VAT and is based on parcel dimensions, all pursuant to the defined and published manners of parcel measuring.

The client can settle the postal fee by internet portal www.paket.hr in two ways. If the client choses the option of paying by credit or debit card, as soon as such payment is successfully executed, a parcel label and invoice is sent to the client by e-mail. If the client choses the option of paying based on offer, such offer is sent to the client by e-mail. As soon as GLS Croatia registers the data on received payment and confirms such payment in its system, the client shall receive an e-mail with the invoice and parcel label. Exceptionally, the parcel label will not be sent to the client if he choses the option “I do not have a printer, I want GLS to come with an already printed label “.

If the client pays the fee in the ParcelShop, the ParcelShop employee shall give him the parcel label and a form for parcel forwarding which the client is obligated to fill in. The form is filled in in case of sending the parcel to the Neum corridor area and in case of a COD parcel. Just before the parcel is taken over by the ParcelShop employee, the client settles the fee in cash, and the employee of the ParcelShop provides him with an invoie according to the charged fee. Exceptionally, if the ParcelShop is not a subject to tax registration of invoices and issuing of invoices, the amount of charged fee must be marked on the confirmation on taking the parcel.

GLS Croatia performs its services solely on the basis of payment of fees made in advance.

The service user may unilaterally discontinue the agreement with overall refund of fee if the same was paid, but the parcel was not handed over into the GLS system.

12. Obligations of the Client

The Client is obliged to package each parcel in compliance with the industrial standards pertaining to parcel handling, providing the parcels with the adequately completed standard GLS parcel labels (filled in error-free: correctly, fully and in a way which is not misleading) and documents. GLS Croatia is not liable for any errors in the completion of labels. The addressing of the parcel – especially the Addressee’s details – must be complete. The Client must, during its cooperation with GLS Croatia, proceed in accordance with the guidelines of the GLS Croatia User Manual.

The Client is required to inform GLS Croatia of all material changes of data in writing, without delay. Such a reporting obligation applies in the following instances, among others:

• a change to the Client’s name or address,

• a change to the place of parcels collection,

• a change to the bank account number,

• a change in the person entitled to sign and act on behalf of the company,

• a change in the form of incorporation,

• any other material change that may influence both the business of the Client and the rights and the obligations of GLS Croatia, including but not limited to the initiation of bankruptcy, pre-bankruptcy procedure, liquidation and similar kinds of procedures regarding the Client.

13. Right of disposal

The Client may, in the absence of the Addressee, authorize GLS to deliver the parcel to a household mail box, to a neighbour or another appropriate person and may even accept a written remark of the driver instead of the affirmation of receipt. In the case of such – written or verbal – authorizations, the certificate of receipt (IOD, POD) will be prepared in a modified format.

The parcel is property of the Client until it is handed to the addressee or other authorized person.

14. Invoicing, prepayment

GLS Croatia performs the service exclusively subject to the payment of postage by the Client; it does not forward parcels in respect of which the postage is to be paid by the Addressee.

The invoice for the service is always prepared subsequently, in one or two invoicing cycles per month. GLS Croatia invoices the performance by service type, in a single amount. Invoices are always settled by bank transfer. The invoice addendum contains the details of the invoice, indicating the parcel number, weight and fee.

The Client is obliged to settle the invoice by bank transfer, within the specified deadline, notwithstanding possible damage claims or reclamations that are in the process of being solved.

In the event of late payment, GLS Croatia can charge default interest from the first day of default, and can demand reimbursement of its expenses incurred in relation to the collection of the overdue receivables.

15. Warranty

GLS Croatia undertakes a commitment to the effect that, if the Guaranteed24Service is purchased, then in the event of late delivery for reasons attributable to GLS Croatia (assuming a transit time exceeding one working day, except in cases of distribution to islands), the triple amount of the service fee will be refunded to the Client.

Within the territory of application of the CMR – in the case of export parcel forwarding – the warranty regulated in the CMR shall be applied.

16. Damage incidents

Regarding domestic distribution, GLS Croatia is liable in the following cases:

• loss or damage of parcel or decrease of its content,

• late delivery and handover of parcel,

• the service is not entirely or partially provided,

• damages related to unprofessional or careless handling.

GLS Croatia is not liable in following situations:

• when it proves that the cases described in the paragraph above could not be foreseen, evaded or prevented (vis major)

• the client did not file a complaint or did not file a damage request within 30 days,

• in cases of parcels with forbidden content,

• when the damage was caused by the client's failure to pack the parcel in a safe manner or did not use the appropriate offered service of the provider of postal services.

For the parcels taken over for forwarding GLS Croatia only undertakes a level of liability for damages included in the agreement until the first damage in each case, which covers the change or fixing, and the consequential damages are excluded.

Reimbursement

In case of parcels in domestic distribution, if damage occurs, the claim for reimbursement will be considered valid, if submitted in writing within 30 day after receiving the written replay to the submitted complaint, and if it is proven that the service provider is responsible for the caused damage. In case of breaching this timeframe the right of filing a claim is lost.

Regarding parcels in domestic distribution, GLS Croatia will compensate the sender or its authorized representative as follows:

• for loss or total damage:

o parcel – five times the amount paid for postal services,

o DeclaredValueInsuranceService – up to the amount of the noted value;

• for partial damage or diminution of content:

o parcel – in the amount of the real value of the damaged or diminished content, but maximum up to five times the amount paid for postal services,

o declared value parcels – in the amount of the real value of the damaged or diminished content, but maximum up to amount of the declared value;

• for breaching the deadline of delivery – triple amount of the paid postal services charge,

• for service which was not rendered – in the amount of charged service.

It will not qualify as a damage incident if GLS Croatia fulfils a guaranteed deadline order with delay for inevitable reasons beyond its control or due to the unavailability of the addressee, or fails to return the delivery note, provided that GLS Croatia credibly certifies the delivery of the parcel in its own system (IOD, POD). In such case the claim of the Client can only be enforced against the Addressee, and GLS Croatia shall only bear liability up to the limit of the service fee.

For late performance of non-guaranteed deadline services GLS Croatia shall not have damages liability.

For reimbursements in case of international shipments the acts of Universal Postal Union are to be applied.

GLS Croatia shall compensate the Sender or another authorized person for parcels in international traffic for damages as follows:

• for the loss, total damage or the diminishment of content:

o parcel – in the amount of the actual value of the damaged or diminished parcel content, but not more than the value of 40 DTS (SDR) increased by 4,50 DTS (SDR) per started kilogram of parcel mass and the postal service,

o declared value parcel (DeclaredValueInsuranceService) – up to the amount of the declared value

• for service which was not rendered – in the amount of charged service.

The amount of HRK (kuna) countervalue of DTS for a certain fiscal year (1 April – 31 March) is determined by the average exchange vaule of the International Monetary Fond's DTS towards Euro, and the average value of the middle course of HRK (kuna) and Euro of the Croatian National Bank of the previous fiscal year (1 April – 31 March). GLS Croatia keeps the rights to determine the new HRK (kuna) countervalue of DTS should the course Kuna/DTS change more than 2%. The current amount of kuna countervalue of DTS can be observed on the web site of GLS Croatia.

General responsibility for damage compensation value included in the base price of the domestic and international service, equals the amount of the purchasing price without VAT, or sales price with 30% deduction without VAT, or replacement or repair value, with addition of the service fee, but, unless otherwise agreed between client and GLS Croatia, may not exceed HRK 1250 (in words: one thousand two hundred fifty), and may not be less than the triple or five times the amount of the service fee in domestic traffic or the fee defined by the Universal Postal Union in international traffic.

Without the consent of GLS Croatia, the Client has no right to assign its claims to any third party.

GLS Croatia shall not provide any damage compensation coverage in respect of valuables that are already covered by other insurance policies.

The Client is entitled to take out a supplementary insurance policy.

The service provider shall arrange for the payment of the compensation that it considers justified within eight working days from the date of assessment.

The method of damage compensation:

In case of damages that can be repaired, damages are covered up to the costs of repair at the location that is the most cost-effective location in terms of transportation costs. In the event of a repair, the damage compensation does not extend to the amount of depreciation. Damage coverage does not apply to “lost profit”.

Replacement is reimbursed at purchase value. GLS Croatia may assert a claim for the damaged asset items in connection with the compensation payments performed by it, if the replacement or acquisition cost of these was paid.

In the event of partial damage of the parcel, only the cost of partial or full replacement may be reimbursed.

In the event of the damage or loss of used items the damage is compensated proportionately, in the ratio of the used value of the lost or damaged item to its new value.

For the purpose of determining the means of damage compensation (partial or full replacement, or repair), GLS Croatia is entitled to decide whether the damaged item can be economically repaired or whether its replacement is warranted.

No damages can be claimed in cases where packaging did not take the conditions of parcel forwarding into account, or in case the contents of the parcel are damaged due to the deficiencies of the inner packaging, despite the outer packaging being undamaged.

Certifying the damage:

In the event of damage, a report must be made at the time of delivering the parcel or at the time of occurrence of the damage incident. In the report the parcel number must be identified; and the documents certifying the contents of the parcel, and the claim form, must be submitted to GLS Croatia.

In the case of damaged parcels, GLS Croatia or its representative must be provided with the opportunity to inspect the parcels, and for this purpose they must be maintained in their condition at the time of the damage incident.

If, due to a breach of the above obligations, it becomes impossible to identify the material circumstances necessary for determining the extent of the damage, GLS Croatia shall be exempted from its damage compensation obligation.

GLS Croatia is obliged to perform the damage inspection within 3 (three) working days following the reporting of the damage, insofar as it is necessary for assessing the damage.

GLS Croatia reserves the right, if an inspection is required, to only pay compensation up to the value determined in the inspection.

Payment of the damage compensation:

GLS Croatia shall arrange for payment of the damage claim within 8 (eight) calendar days following submission of the last of the documents necessary for assessing the damage claim. Payment of the damage compensation may only take place after GLS Croatia has assessed the legitimacy of the claim and the amount, and has recognised the same on the basis of all documents and the damage inspection.

Exclusions:

Consignments are excluded from damage compensation if their packaging does not conform to the requirements set out in these business conditions. The costs of packaging suitable for the transport conditions are borne by the sender in every case.

• Parcels marked fragile will be handled with care and attention by GLS Croatia’s staff, but the displaying of such a marking shall not result in any liability for damage compensation other than that regulated herein.

• A fragile marking shall not exempt the sender from the obligation to use packaging that is suitable given the nature of the goods and the general conditions of transport, and that guarantees the integrity of the contents.

• In the case of fragile objects (glass, porcelain, bottles, medicine and injection ampoules, infusion bottles, etc.) no claims shall be accepted if the outer packaging is undamaged and, due to the deficiency of the inner packaging, the items inside the parcel are damaged and their contents have leaked, contaminating the other items.

• In the case of fragile objects, damage compensation is not payable if the damage resulted from a deficiency of the inner packaging while the outer packaging is intact.

• The leakage of liquids in the parcel must be prevented with a hermetically sealed cover. Compensation is not payable for damages caused inside the parcel due to leaking fluids.

• If one or more elements or parts of a collection or set of objects are damaged during parcel transportation, the repair or replacement cost must be calculated proportionately with the ratio of the damaged items to the collection or set. When calculating the damage compensation, no special requirements relating to the uniformity of the collection or set, or the need for it to be maintained together, may be taken into consideration.

• After the handover to GLS Croatia of the intact parcels, any losses due to deficient packaging, suspicion of pilfering and, if several packages are bundled in a single parcel, a decrease in the number of bundled items, shall not be the subject of a damage claim.

• Claims are excluded in case of chipping, scratching, wearing, scraping etc. damage to enamelled and varnished goods if the outer packaging is intact; and in the case of furniture and wooden parts the above types of damage and damage due to denting, damage to polished surfaces, and the ungluing of the glued parts or veneer are excluded.

• In the case of an unwrapped suitcase, handbag or travelling bag, no damage compensation is payable in the event of the soiling of the product or damage to the protruding parts (wheels, casters, handles).

• Cases in which parcel delivery was performed in the original, undamaged packaging, and the damage becomes known after delivery, are excluded from compensation.

• Damage to new goods sent in their original manufacturer’s packaging are excluded from compensation if the packaging was undamaged and unopened upon delivery.

• If the packaging of a properly packed parcel has not been damaged in the process of transportation and the vehicles or other tools taking part in the forwarding did not collide or topple or, and they were not shaken apart, no damage compensation is payable for the objects inside the packaging due to mechanical, electrical or electronic interference.

• The corrosion, oxidisation or discolouration of the contents of sent parcels are excluded from damage compensation.

17. Limitation clause

Claims of the service provider and the customer expires after 3 months in domestic and 6 months in international traffic. This limitation starts

• For claims regarding over or undercharged service fee - from the day of payment

• For claims regarding partial loss, damages or lateness in transfer and delivery – from the day of delivery

• For claims regarding loss – after 30 days from the day of delivery deadline.

18. Written form

GLS Croatia shall notify the Client in writing or by e-mail on changes of commercial terms, changes of the General Business Conditions or new services and their respective prices, no later than 15 days before the same are applied. By using the services after the applying of the new conditions, the Client is accepting the amended conditions.

GLS Croatia reserves the right, in respect of certain issues, to conclude an agreement with terms different from these General Business Conditions, although such agreement may not be in conflict with applicable legal regulations, and shall only be valid if in writing.

19. Severability / Jurisdiction

If any of the provisions of these General Business Conditions is or becomes invalid, this shall not affect the validity of the other provisions thereof. Such invalid provision shall be replaced with a provision that fulfils as closely as possible the business purposes of the original provision.

Any disputes shall be submitted by the parties to the competence of the Croatian Regulatory Agency for Network Activities. Local jurisdiction: the court of justice with jurisdiction according to the GLS headquarters.

20. General or local limitation and suspension of service

GLS Croatia may limit or suspend parcel forwarding service compared to the terms of these General Business Conditions, if this is required due to an event of force majeure or a regulatory action.

GLS Croatia may, due to traffic limitations or meteorological conditions, either suspend the service in certain areas or depart from the generally applied delivery rules.

GLS Croatia shall inform the Clients about any such limitation or suspension of the service, except in cases of rightful retention. In these cases, the Client shall not be entitled to raise any claims for damages.

21. Data protection, obligation of confidentiality

GLS Croatia complies with all provisions of ZPU and other applicable regulations regarding the confidentiality of postal parcels and personal data protection. It may only familiarize itself with the contents of the forwarded parcels to the extent necessary for performing the service.

GLS Croatia:

• may not open any sealed parcels – except for the cases mentioned in these General Business Conditions or contained in applicable legal regulations;

• may only examine any non-sealed parcels for the purpose of, and to the extent necessary for, ascertaining the data necessary for dispatch, sorting, forwarding and delivery;

• may not disclose to third parties any data obtained during the performance of the service – except for the Sender, the Addressee (or other authorized recipients) and the organizations mentioned in paragraph 6;

• may not hand over the consignment – for the purpose of examining its contents – to persons other than the Client, the Addressee (or other authorized recipients) and the organizations mentioned in paragraph 6;

• may not provide any information about the performance of the service to persons other than the Client, the Addressee (or other authorized recipients) and the organizations mentioned in paragraph 6.

For the purposes of point d) of the prior paragraph, persons possessing the same authorization as the Client are defined as any persons designated as such by the Client. With respect to points c) and e) of the prior paragraph, persons possessing the same authorization as the Client are also defined as persons who provide to GLS the unique identification data of the parcel, the password and the access code by electronic means of communication (telecommunication equipment, internet).

GLS Croatia may open a closed parcel if

• the wrapping of the parcel is damaged to such extent that the opening of the parcel is justified by the need to protect its contents, and the contents of the consignment cannot be protected without opening the parcel;

• this is necessary for the elimination of a hazard caused by the contents of the parcel;

• the parcel may be sold by GLS in order to recover the unpaid fee, respecting the restrictions arising from the Obligations Act regarding the right of retention.

GLS Croatia regulates the process of opening of parcels, and records the actions taken in a report. The fact that the parcel has been opened must be indicated on the consignment, and, if possible, the Sender must be notified accordingly, while also giving reasons.

GLS Croatia, as well as the person (organization) performing the postal agency activity, must ensure, through appropriate organizational and technical measures, the confidentiality of the consignments forwarded through the use of the parcel service. GLS Croatia, as well as the person (organization) performing the postal agency activity, is obliged – provided that the statutory conditions are met and there is a request to this effect – to hand over or present any postal consignment, textual message or communication to the organizations authorized by a separate statutory instrument to examine the contents thereof, and shall also make possible the monitoring and storing of these, as well as any other kind of intervention in respect of the consignment or textual message.

The Client assumes obligation and full responsibility for making available only such data to GLS Croatia for which he has proper authorization of usage, and for which – by using such data - there will be no violation of legal rights neither of the Client nor of any third persons (especially the Addressee) involved. This regulation is particularly related to the usage of telephone number (landline or mobile) and e-mail address of the Addressee in a way and manner it is necessary for fulfilling the service.

22. Definition of terms used in the General Business Conditions

IOD - Electronic or verbal information on parcel delivery

POD (Rollkarte) - The shipping document used by GLS and issued in respect of each parcel number, on which the recipient certifies the receipt of the parcel.

ParcelShop - a GLS branch – the address of the GLS partner where the sender and addressee can hand over or receive parcels

ParcelLocker - GLS electronical device/locker for hand over and take over of parcels

www.paket.hr - GLS portal – by using of which clients (legal or natural entities) can make a label, pay a service and order parcel pick up

Scanner - The device used for data recording during parcel forwarding

Countries belonging to the

GLS General Logistics Systems network - The members of the GLS system at a given time

Consumer of postal services - legal or natural entity using postal services, as sender or addressee

Working day - any day of the week except Saturday and Sunday and day which are state or religious holidays. The Clients will be informed by GLS Croatia regarding other non-working days.

These General Business Conditions are valid with effect from 1st of September 2017.

These General Business Conditions and the standard price list are published by GLS Croatia on the www.gls-croatia.com website. The Clients shall always receive, as an annex to the contract offer, a copy of the General Business Conditions, which will also constitute an inseparable part of any contracts they may conclude.

Further information regarding the use of the service – i.e. a detailed description of the services, printed matter, forms, completion guidelines – are provided by GLS Croatia to its Clients in printed form in the "User Manual", and are also available via the www.gls-croatia.com website.