IMPORTANT - READ CAREFULLY BEFORE ACCEPTING THIS AGREEMENT, THEN PRINT AND STORE ALONG WITH ALL CONFIRMATION EMAILS REFLECTING YOUR TRACKERS, FEES AND PAYMENTS

This Standard Affiliate Agreement ("Agreement") contains the complete terms and conditions that apply to an individual's or entity's participation in the Purple Lounge affiliate program ("Affiliate Program"). As used in this Agreement, "we" and "Purple Lounge" means the website purple-lounge.com and its marketers and "you" and "Affiliate" means the individual or entity which applied as the "BENEFICIARY" for payment purposes on our sign up form ("Affiliate Sign Up Form") as submitted at the Website, or as printed and faxed in.

I. GENERAL

1.1 This Agreement is Version 2, as released and posted on July 2008

1.2 By marketing to and referring new Players to Purple Lounge through a Tracker, YOU AGREE TO BE BOUND BY ALL THE TERMS AND CONDITIONS SET OUT IN THIS AGREEMENT. We will automatically become counter-party to this Agreement. This Version 2, modifies, replaces and supersedes all prior versions of this Agreement.

1.3 We may modify any of the terms of this Agreement at any time, in our sole discretion, by either (i) emailing you a change notice or (ii) by posting the new version of the Agreement on our Website. Any such modification will only take effect 30 days after the date of posting or sending of any such notice (whichever is the earlier). It is your responsibility to visit the Website frequently to make sure you are up to date with the latest version of the Agreement and its provisions. IF ANY MODIFICATION IS UNACCEPTABLE TO YOU, YOUR ONLY RECOURSE IS TO TERMINATE THIS AGREEMENT. YOUR CONTINUED PARTICIPATION IN THE AFFLIATE PROGRAM FOLLOWING SUCH 30 DAY PERIOD WILL BE DEEMED BINDING ACCEPTANCE OF THE MODIFICATION.

II. DEFINITIONS

2.1 "Account" is the uniquely assigned account that is created for a Player when he/she opens an account at the Website.

2.2 "Affiliate ID" means the code you are assigned when you sign up as an Affiliate at the Website.

2.3 "Affiliate Fee" is the amount due and payable to you, based solely on our system's data.

2.4 "Affiliate Section" means the area of the Website that is accessible to you by way of Affiliate ID and password and is the area where you may check your statistics, update profile, select Banners and other functions.

2.5 "Banners and Text Links" means the graphical artwork or text that you use to hyperlink Players from your site to the Website.

2.6 "Net Revenue" is calculated as the sum total of all Players' contribution to all "rakes" the Players were involved while playing poker at the Website less the match deposit bonus given to Players. Moreover, a Player's contribution to the "rakes" shall be determined as the quotient obtained when dividing the actual amount of each rake to which the Player had contributed divided by the total number of players at the table at the start of the hand. So, if the rake in a hand with ten players at the table is five dollars ($5.00), each player's contribution to the rake will be fifty cents ($0.50).

2.7 "Net Revenue Share" means we pay you based on a percentage of the Monthly Net Revenue generated by Players (i.e. gross revenue minus the match bonus).

2.8 "Fraud Traffic" means deposits, Net Revenue or traffic generated at the Website through illegal means or in bad faith to defraud us, regardless of whether or not it actually causes us harm. Fraud Traffic includes but is not limited to spam, false advertising, deposits generated on stolen credit cards, collusion, chip dumping, manipulation of the service, system, affiliates using their own affiliate ID’s to set up real playing accounts in their own name, bonuses or promotions, and any other unauthorized use of any third party accounts, copyrights or trademarks.

2.9 "Monthly Net Revenue" means Net Revenue as calculated at the end of each calendar month.

2.10 "First Deposit Bonus Incentives" are special offers to Poker Players that give them extra cash or giveaways when they enter open their Account or make a real money deposit.

2.11 "Website" means the Purple Lounge website located at http://www.purple-lounge.com (poker) or http://www.purple-loungecasino.com (casino) and its related pages as well as the downloadable application for playing multi-player poker/ casino.

2.12 "Spam" or "Unsolicited Promotions" means emails or any other messages that are circulated by you, directly or indirectly, which: 1), contain false or misleading statements; 2), do not truthfully identify the source or the originating IP Address; or 3), do not provide the recipient with an option to easily "Remove" them from receiving future mailings or promotions.

2.13 "Tracker(s)" means the unique Tracking URL that we provide exclusively to you, through which we track and calculate Affiliate Fees.

2.14 "Tracking URL" means a unique hyperlink to the Website (which contains your affiliate ID) through which you refer potential Players to the Website. When the Player opens his/her Account, the system automatically logs the Tracking URL and records you as the Affiliate.

2.15 "Player(s)" or "Player's Account" means the Account(s) opened at the Website by a person, via a Tracker assigned to you, during the term of this Agreement.

2.16 "Real Money Player(s)" means a Player that makes a real money deposit to his/her Account (at any time after opening the Account).

2.17 "Per Sign Up Plan" means we pay you based on the number of Real Money Players that signed up.

2.18 "Affiliate Program" means a program whereby Affiliates earn money by referring users to Purple Lounge through the use of placing advertisements on the Affiliate's website(s) or within the Affiliate's email correspondence.

2.19 "Purchases" means funds deposited by Players into their real money account.

2.20 "Sub-Affiliate" refers to the webmaster of a functional website which you referred to the Affiliate Program, and for which you will receive compensation based on the Affiliate Fees due to them.

III. TERMS & CONDITIONS

3.1 Identity and Disclosure. You must provide true and complete information to us at all times; including but not limited to, your identity, contact information, payment instructions, nationality, residency, location and nature of your marketing activities, and any other information that we may request from time to time.

3.2 Marketing Activities and Responsibilities. You will, at your own cost and expense, market to and refer Players to the Website. You will be solely responsible for the content and manner of your marketing activities. All marketing activities must be professional, proper and lawful under applicable rules or laws. You represent and warrant that you will not place Banners or Text Links to us on any website, or use any media or medium, which is libellous, discriminatory, unlawful or otherwise unsuitable. Under no circumstances may you market to or refer persons less than 18 years of age to the Website, regardless of the age of majority in the location you are marketing.

3.3 Approved Marketing Materials. You will only use marketing materials that have been provided by us and/or pre approved by us. You will not modify our marketing materials, copyrights, logos, etc., without our written consent. During the term of this Agreement, we grant you a terminable, non-exclusive, non-transferable right to use our logo, trademark and other copyrighted promotional materials for the sole purpose of marketing to and referring Players to the Website. Generally we will provide you, without charge, the guidelines, graphical artwork and permitted text to use in promotional materials. However, CDs and other customized promotional materials provided to you will be AT COST and deducted from Affiliate Fees payable to you.

3.4 Competitive Marketing. For the avoidance of doubt it is hereby clarified that you shall not be entitled to market to potential Players (i) on any Internet site on which we promote the Website;and (ii) in any other manner which results in your competing with us in relation to the promotion of the Website. In the event that you are in breach of the foregoing provisions, we reserve the right to render the Tracking URLs assigned to you void and you shall have no claims against us in respect of such action taken by us.

3.5 Non Assignment. Trackers are for your sole use and are not to be assigned to others without our written consent.

3.6 Commercial Use Only. This Marketing opportunity is for commercial use only, and you may not sign up or make deposits to any account, directly or indirectly, through your Tracker(s) (or any Sub-Affiliate tracker) for your own personal use, to fraudulently increase the Affiliate Fees payable to you or to otherwise defraud us. In no event are you to receive Affiliate Fees on Net Revenue generated on your own player account at the Website. Violation of this provision constitutes Fraud Traffic.

3.7 Good Faith Marketing. You will not knowingly or unknowingly benefit from any known, unknown, suspected or unsuspected Fraud Traffic. For clarity, we reserve the right to withhold or blackout amounts generated by Fraud Traffic from Affiliate Fees on the Trackers, regardless of whether you participated in or knew about the Fraud Traffic. In the event you knowingly participate in, or knowingly benefit from, Fraud Traffic with the intent to defraud the system, then we may terminate this Agreement effective immediately and forfeit any and all Affiliate Fees due to you.

3.8 Player Information. By opening an Account at the Website, Players will be subject to all of our rules, policies and operating procedures that govern their activity at the Website. We reserve the right to refuse service to any potential Player and to close the Account of any Player, at any time, in our sole discretion. All data relating to the Players will remain our sole and exclusive property and you acquire no right to such information, except as expressly stated herein.

3.9 Trademarks and Domain Names. As further clarification of your obligations under this Agreement, under Section 2.8 ("Fraud Traffic"), the reference to unauthorized use of trademarks includes your use any trademark, domain name or trade name which contains, is confusingly similar to or is comprised of the PURPLE LOUNGE name and mark or any other name or mark owned by us or our affiliates ("Our Marks") without our prior written permission. In addition, the restrictions under Section 3.4 ("Competitive Marketing") include the use of Our Marks in connection with a website that includes links to a competitive gaming, gambling or casino site without our prior written approval of such links and manner of use. By way of example, but without limitation, you may not register or use PURPLE LOUNGE in any position to the left of the top-level domain (e.g., .com, .net, .uk) and you may not make use of Our Marks on a website that includes links to a competitive website without our prior written permission. Your use of Our Marks is specifically limited to the use of pre-approved marketing materials for the sole purpose of directing Internet users to websites operated by us or our affiliates. You agree that all use by you of Our Marks inures to our sole benefit and that you will not obtain any rights in Our Marks as a result of such use. You also agree that you will not register any marks or names that contain, are confusingly similar to or are comprised of Our Marks, and that any such registration obtained by you shall be transferred to us upon demand.

IV. REPORTS & PAYMENTS

4.1 Reports. We will track and report Player activity for purposes of calculating your Affiliate Fees. The form, content and frequency of the reports may vary from time to time in our sole discretion. At a minimum you will receive a monthly report with your payment indicating the number of new Players signed up that month, per Tracker, and/or the total amount of Monthly Net Revenue collected from Players that month, per Tracker. In addition, this information may be available to you online in real time, under password protection, to view the daily number of new Players, number of Real Money Players and/or Net Revenue for the current and prior calendar month.

4.2 Affiliate Fees. Unless otherwise agreed, Affiliate Fees will be paid to you on a calendar basis in accordance with the payment plan and rates you selected (and confirmed to you by emailing upon sign-up and/or activation of additional Trackers). Notwithstanding the foregoing, we may elect to not accept your selected payment plan, in which case we will notify you within seven (7) days of you signing-up or activating additional Trackers.

4.3 Time of Payment. Affiliate Fees will be paid and sent out to you within fifteen (15) days of the close of each calendar month. If the total amount due is less than the following amounts for the payment method you choose to use then the balance will be carried over and added to the next month's Affiliate Payment until the total amount is more than the specified amount stated below:

Cheque $100

Neteller $20

Player Account $20

Wire Transfer $1250

If you are participating in the Revenue Share option, and the Net Revenue of all your referred players in any given month is in a negative position, we will zero out such negative balance at the beginning of the new month, so that no Casino/Poker losses will be carried forward against your account. All fees will be based upon our good faith calculation of Player activity as per our player logs and database records. Our decision in all cases is final.

4.4 Holdover for Fraud Traffic. In the event we suspect Fraud Traffic, then we may delay payment of the Affiliate Fees to you for up to one hundred and eighty (180) days while we investigate and verify the relevant transactions. In the event that we determine the activity to constitute Fraud Traffic, or to otherwise be in contravention of this Agreement, then in our sole discretion we may recalculate and/or confiscate your Affiliate Fees accordingly. For the avoidance of doubt, we are not obligated to pay on Players who in our sole discretion are not verifiably who they say they are or are otherwise highly likely to be involved with Fraud Traffic.

4.5 Method of Payment. All payments will be due and payable in United States Dollars only. Payment will be made by check, wire, Neteller or deposited into your Purple Lounge account We will try to accommodate your preferred payment method. Charges for all payments are made by Purple Lounge limited.

4.6 Player Tracking. You understand and agree that potential Players must link through a Tracking URL or enter a Sign Up Bonus Codes when they sign up in order for you (and Sub-Affiliates) to receive Affiliate Fees in relation to such potential Players. In no event, are we liable for your failure to use the right Trackers or for potential Players' failure to properly enter Sign Up Bonus Codes. Further, you understand and agree that you will not receive credit for Sub-Affiliates unless you expressly register them under you. We may at any time change, in our sole discretion, our tracking system and reporting format. Please ensure that the tracking URL sent to you follows this format: http://www.purple-lounge.com/Home.mth?btag

4.7 Disputes. If you disagree with the monthly reports or amount payable, do NOT accept payment for such amount and immediately send us written notice of your dispute. Dispute notices must be received within thirty (30) days of the end of each month for which payment is made, or your right to dispute such report or payment will be deemed waived and you shall have no claims in such regard. Further, deposit of payment check, acceptance of payment transfer or acceptance of other payment by you will be deemed full and final settlement of Affiliate Fees due for the month indicated.

4.8  Negative Net Revenue: In the event that the Net Revenue quotient is a negative amount during any give period(s), such negative amount shall NOT be carried forward and deducted from the Net Revenue amount of the relevant subsequent period of time. However, in the event that the Net Revenue quotient is a negative amount for three (3) consecutive calendar months, we shall contact the affiliate with the purpose of helping to generate positive revenue and to determine the root cause of the negative earnings. If it is determined that the affiliate's method of promotion is the root cause of the negative earnings, we shall be entitled to terminate the agreement.

4.9 If an affiliate has brokered a special deal with Purple Lounge affiliates and has not sent to Purple Lounge any new player(s) for three consecutive months Purple Lounge shall have the right to change the affiliate deal back to Purple Lounge's standard deal as mentioned on the Affiliate Marketing Program Information page.

4.10 Money Laundering. You shall comply with all applicable laws and any policy notified by us through our Site or otherwise in relation to money laundering and/or the proceeds of crime.

V. TERM AND TERMINATION

5.1 Term and Termination. This Agreement will take effect when you start promoting the Website. This Agreement will be continuous until terminated pursuant to this Section 5. Notwithstanding the foregoing and during a period of seven (7) days following your receipt from us of your Trackers, we reserve the right to refuse your application to join the Affiliate Program. In the event that we elect to refuse your application subsequent to your receipt of the Trackers, we shall notify you of the same and we shall be entitled to render the Trackers inoperative.

5.2 Termination By You. You may terminate this Agreement, with or without cause, immediately upon written notice to us. In addition, you may cease marketing the Website any time you want.

5.3 Termination By Us. We may terminate this Agreement, with or without cause, upon thirty (30) days written notice to you. Further, we may terminate this Agreement immediately, without notice, in the following events: a. You materially breach this Agreement and do not cure within fifteen (15) days of notice to cure; b. We determine, in our reasonable discretion, that you knowingly benefited from Fraud Traffic as set forth in Section 2.8 herein.

5.4 Effect of Termination: The following will apply upon the effective date of termination: a. You will stop promoting the Website and all rights and licenses given to you under this Agreement will terminate immediately, except as expressly stated herein; b. You will return all confidential information and cease use of any of our trade names, trademarks, service marks, logos, banners and other designations; c. We may leave open, redirect or deactivate any Trackers in our sole discretion without any obligation to pay you on new Players who come in or would have come in on those Trackers; d. We will continue to pay you Affiliate Fees for all existing Players who signed up through the effective date of termination and on any Net Revenue generated by these Players subject to the terms of this Agreement and any other user agreements . e. Notwithstanding anything to the contrary conained herein, in the event we determine, in our reasonable discretion, that you materially violated the provisions of Section 3, we may in our sole discretion stop, cancel and confiscate all your Affiliate Fees; and in such case, we do not waive any other legal rights we have against you.

VI. LIABILITIES

6.1 No Warranties. WE DO NOT WARRANT THAT OUR SYSTEM, NETWORK, SOFTWARE OR HARDWARE (OR THAT PROVIDED TO US BY THIRD PARTIES) WILL BE ERROR-FREE OR UNINTERRUPTED. WE MAKE NO WARRANTIES, EXPRESS OR IMPLIED, WITH RESPECT TO THE QUALITY, MERCHANTABILITY, FITNESS FOR PARTICULAR PURPOSE OR SUITABILITY OF OUR SYSTEM, NETWORK, SOFTWARE OR HARDWARE (OR THAT PROVIDED TO US BY THIRD PARTIES). WE (OR OUR PROVIDERS OR UNDERLYING VENDORS) ARE NOT REQUIRED TO MAINTAIN REDUNDANT SYSTEM(S), NETWORK, AND SOFTWARE OR HARDWARE.

6.2 Billing and Collection Limitations. We may in our sole discretion, with or without notice, use any available means to block or restrict certain Players, sign ups, deposits or play patterns so as to reduce the number of fraudulent, unprofitable transactions or for any reason whatsoever, including but not limited to daily or monthly purchase limits, address verification or negative and positive credit card databases. We do not guarantee or warrant the success of such fraud prevention efforts.

6.3 Liability Limitations. Our obligations under this Agreement do not constitute personal obligations of the owners, directors, officers, agents, employees, vendors or suppliers of the Website. Any liability arising under this Agreement will be satisfied solely from the revenues generated hereunder. Our liability is limited to direct damages, and in no event will we be liable for any indirect, special, incidental, consequential or punitive loss, injury or damage of any kind (regardless of whether we have been advised of the possibility of such loss) including any loss of business, revenue, profits or data. Our liability arising under this Agreement, whether in contract, tort (including negligence) or for breach of statutory duty or in any other way shall only be for direct damages and shall not exceed the revenues generated and payable hereunder over the previous twelve months at the time that the event giving rise to the liability arises. However, nothing in this Agreement will operate to exclude or limit either party's liability for death or personal injury arising as a result of that party's negligence or for fraud.

6.4 Indemnification. You will defend, indemnify and hold us and our officers, directors, employees and representative harmless from and against any and all liabilities, losses, damages and costs, resulting from or arising from, your breach of this Agreement.

VII. INDEPENDENT INVESTIGATION

7.1 Independent Investigation. YOU ACKNOWLEDGE THAT YOU HAVE READ THIS AGREEMENT AND AGREE TO ALL ITS TERMS AND CONDITIONS. YOU HAVE INDEPENDENTLY EVALUATED THE DESIRABILITY OF MARKETING PURPLE LOUNGE AND ARE NOT RELYING ON ANY REPRESENTATION, GUARANTEE OR STATEMENT OTHER THAN AS SET FORTH IN THIS AGREEMENT.

7.2 Independent Research. You understand that gambling laws may vary from city to city, state to state and country to country. YOU HAVE INDEPENDENTLY EVALUATED THE LAWS IN YOUR LOCALE WHICH APPLY TO YOUR ACTIVITIES AND BELIEVE THAT YOU MAY PARTICIPATE IN OUR Affiliate Program WITHOUT VIOLATING ANY APPLICABLE RULES OR LAWS.

VIII. MISCELLANEOUS

8.1 Notices. All notices pertaining to this Agreement will be given by email as follows: to us at affiliates@purplelounge.com and, to you at the address provided on the Affiliate Sign up Form (or as subsequently updated by you to us in the event of change).

8.2 Relationship of Parties. There is no relationship of exclusivity, partnership, joint venture, employment, agency or franchise between you or us under this Agreement. Neither party has the authority to bind the other nor to incur any obligation on the other's behalf, except as expressly provided herein. Nothing in this Agreement will be construed to provide any rights, remedies or benefits to any person or entity not a party to this Agreement.

8.3 Non Exclusive. You understand that we may at any time (directly or indirectly), enter into marketing terms with other Affiliates on the same or different terms as those provided to you herein and that such Affiliates may be similar, and even competitive, to you. You understand that we may re direct traffic and users from our site to any other website that we deem appropriate in our sole discretion, without any additional compensation to you.

8.4 Confidentiality and Non Disclosure. As a marketer of the Website you will receive confidential information from us as to our marketing plans, marketing concepts, structure and payments. This information is confidential to us and constitutes our proprietary trade secrets. Therefore, you will not disclose this information to third parties without our express written consent.

8.5 Press. You may not issue any press release with respect to this Agreement or your participation in this Affiliate Program without our prior written consent.

8.6 Assignment. This Agreement and the rights and obligations hereunder may not be assigned by you without our express written consent.

8.7 Governing Law. The validity of this Agreement, its construction, interpretation, and enforcement, and the rights of the parties hereto will be determined under, governed by, and construed in accordance with the laws of Curacao without giving effect to conflicts of law principles. You irrevocably agree to submit, for the benefit of the Company, to the exclusive jurisdiction of the courts of Netherlands Antilles for the settlement of any disputes arising out of or concerning this Agreement. If any part of this Agreement is found void and unenforceable, it will not affect the validity of the balance of the Agreement, which shall remain valid and enforceable according to its terms.

8.8 Arbitration. Any controversy or claim arising out of or relating to this Agreement, or breach of this Agreement, will be settled by binding arbitration, and judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction. There will be one arbitrator, mutually agreeable to you and us, or if we/you cannot agree on an arbitrator, then one will be appointed by a court of competent jurisdiction. The losing party will pay all the expenses of the arbitration, including attorneys fees.

8.9 Force Majeure. The parties' obligations under this Agreement are subject to and neither party will be liable for, failure to perform, damage, or malfunction of any equipment, or any consequences thereof occasioned by or due to fire, flood, water, the elements, labor disputes, power failures, explosions, governmental actions, unavailability of transportation, acts or omission of third-parties, or any other causes beyond the party's reasonable control.

8.10 Severability/Waiver. Whenever possible, each provision of this Agreement will be interpreted in such a manner as to be effective and valid under applicable law but, if any provision of this Agreement is held to be invalid, illegal or unenforceable in any respect, such provision will be ineffective only to the extent of such invalidity, or unenforceability, without invalidating the remainder of this Agreement or any provision hereof. No waiver will be implied from conduct or failure to enforce any rights and must be in writing to be effective

8.11 Modification. We may modify any of the terms of this Agreement at any time, in our sole discretion, by E-mailing you a change notice or by posting the new Agreement on our Website. It is your responsibility to visit this page at least once a month to make sure you are up to date with the latest terms and conditions of our Affiliate Program. IF ANY MODIFICATION IS UNACCEPTABLE TO YOU, YOUR ONLY RECOURSE IS TO TERMINATE THIS AGREEMENT. YOUR CONTINUED PARTICIPATION IN THE PROGRAM FOLLOWING POSTING OR NOTICE OF CHANGE WILL BE DEEMED BINDING ACCEPTANCE OF THE MODIFICATION.

8.12 Entire Agreement. This Agreement embodies the complete agreement and understanding of the parties hereto with respect to the subject matter hereof and supersedes and preempts any prior understandings or agreements between the parties, written or oral, which may be related to the subject matter hereof. The headings in this Agreement are for convenience only and will have no effect on the construction of this Agreement.

8.13 Third Party Rights. Except insofar as this Agreement expressly provides that a third party may in their own right enforce a term of this Agreement, a person who is not a party to this Agreement has no right under local law or statute to rely upon or enforce any term of this Agreement but this does not affect any right or remedy of a third party which exists or is available apart from under that local law or statute.


IN WITNESS WHERE OF, you expressly agree to the terms and conditions of this Agreement by submitting the Affiliate Sign Up Form.

Purple Lounge
Purple Lounge Modified July 2008