General Terms and Conditions HSM of America

valid as of 1st September 2025

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1.1 Terms of Acceptance

If HSM of America, LLC (“HSM”) accepts Buyer’s order or offer, it does so provided Buyer agrees only to the terms and conditions of this Agreement, Sales Terms and Conditions, all of which are accepted by Buyer; and this Agreement supersedes Buyer’s order form, if any; and supersedes and cancels all prior communications between the parties. This Agreement shall become a binding contract either when signed and delivered by Buyer to HSM and accepted in writing contemporaneously with the order by HSM, or at HSM’s option, when Buyer shall have given to HSM specifications, delivery dates, shipping instructions or instructions to bill and hold as to all or any part of the goods herein described, or when Buyer has received delivery of the whole or in any part thereof, or when Buyer has otherwise assented to this Agreement.

1.2 Subject Matter of This Agreement

The predominant subject matter of this Agreement is the sale of goods, notwithstanding certain attendant services provided pursuant to the sale and purchase of Products hereunder. 

2.1 Payment Terms

Following acceptance of each Product, Buyer shall pay HSM the price specified in Exhibit A (price file) within 30 days of Buyer’s receipt of an invoice. Our preferred payment method is through ACH but will accept payments by credit cards and checks. Payment must be made in advance for all orders for which payment terms have not been agreed to. There is a 2.5% processing fee for all credit card payments.

3.1 Shipping. HSM will ship product under the following terms:

Freight Policy - HSM, shredstar, Pure, SECURIO, Powerline, StoreEx and ProfiPack machines. 

Machine orders will be shipped free freight* “Dock to Dock” within the continental United States. This excludes Alaska, Hawaii, Puerto Rico, Canada, Mexico, Guam etc. All Industrial Shredders, Balers, Shredder-Baler Combinations are shipped “Freight Paid” by the customer. Freight, installation, turnkey and any additional service charges will be quoted at the time of order placement based on standard rates for the following: ProfiPack P425, HSM Powerline models 450, FA 400, FA 500 and HDS 150 and HDS 230.

*Freight will be paid by the customer in these circumstances:

  • Consumable and accessory orders under $200.00
  • Parts Orders
  • White glove delivery cost
  • Residential delivery charge for LTL shipments
  • ProfiPack P425, HSM Powerline models 450, FA 400, FA 500, V-Press balers, HDS 150 and HDS 230
  • All ET/industrial shredders, balers, shredder/baler combinations
  • Baler wire

- We cannot ship orders outside of our trading area of the USA & Canada unless the order is shipped or drop shipped to a validated USA Government entity operating abroad. A valid US government entity operating abroad would include US military bases, US Embassies and any other US government office operating within another country.

- Restrictions can be looked up here by zip code: APO/FPO/DPO Restrictions (usps.com) and more general information can be found here: GovX Help Center

 

Freight Damage

ALL shipments MUST be fully inspected for freight/concealed damage upon delivery. ANY AND ALL freight damage claims MUST be noted on the Bill of Lading/driver’s paperwork and reported to HSM immediately upon inspection following the following protocol:

  • Inspect shipments same day as the proof of delivery date POD.
  • List ALL freight/concealed damage on the driver’s paperwork/BOL.
  • Refuse the delivery.
  • Notify HSM customer service of refusal and damage claim.

It is at HSM’s discretion to repair the machine on site or return the machine to HSM. If it is returned, a return authorization (RMA) will be issued. Upon receipt of the damaged merchandise back into the HSM distribution center, the damaged unit will be repaired, or a new unit will be shipped out immediately to the customer.

 

Return Policy - Office Technology

HSM agrees to issue a call tag for product pick up if necessary, during the first 30 days from the date of original purchase regardless of the reason for the return. Upon receipt, an HSM Service Technician will inspect and verify the product is in “like new condition” before any credit will be issued. Products must be received back in like-new resalable condition. Customers are required to save and reuse packaging material for returns within 30 days from the original date of purchase. If the item is not returned in its original packaging and/or the unit is not packed properly, then no credit will be issued.  Products that are returned properly and have no damage, a 25% restocking fee will apply. After the 30-day period, standard warranty terms will apply. HSM will pay for return freight. Liftgate fees are non-refundable.

 

Return Policy - Environmental Technology & Industrial Equipment

This product is non-returnable other than freight damage or a warranty defect that is unrepairable.

 

Special Orders

Orders for non-stock items are considered “Special Orders” and are non-cancelable and non-returnable. HSM requires a 50% down payment at the time of order placement and credit approval for the balance.

 

Stocking Requirements and Eligibility

Please contact your HSM Sales Representative for details.

4.1 Warranty. HSM warrants its products as follows:

Standard Product Warranty - Warranty Service Phone number: 1-800-613-2110

All technical data and measurements are approximate values and based upon single shift (equivalent to 8 hours) operations. All products are subject to different limits and specifications due to operation length, paper size, grain, weight, misuse/abuse and power configurations.

Read the Manufacturer’s Operating Instructions, included with the product, prior to operation, to help ensure all precautions are taken to avoid canceling the manufacturer’s warranty.  Failure to comply with the Manufacturer’s Operating Instructions will void the warranty.

The capabilities of all products are in each specification flier.

OVERUSE, or processing incompatible material type as outlined in specification flier, of a model causing a product failure is not covered by this warranty. Modifications, alterations, and repairs must be performed by an authorized technician. Lubrication for cross-cut shredders is required every fifteen to thirty minutes of operation, to maintain top working condition and this warranty. More information can be found online at www.hsm.us.

To prevent the loss of warranty and guarantee service representation, all corrective work must be made by an HSM technician or authorized service company.

Please note that outside of the continental United States and Canada, our warranty is limited exclusively to free delivery of spare parts in return for the defective parts as needed.

Claims for defects are excluded if, in the case of obvious defects, they are not raised immediately in writing, at the latest however within 10 days following receipt of the goods, stating the delivery note and invoice number as well as a description of the defect reported. Concealed defects are to be reported immediately after they are discovered; the burden of proof regarding the concealment of the defects is carried by the purchaser.

Should a product from HSM, contrary to expectations, display defects, the customer can claim for defects according to the applicable law and these General Terms and Conditions. Defect claims by the purchaser are initially limited to the right of rectification. Until the rectification fails, the purchaser is not entitled to reduce the purchase price or withdraw from the contract, at its discretion. Possible claims for compensation by the purchaser within the framework of Section 7 remain unaffected.

HSM shall not bear the expenses necessary for the purposes of rectification, in particular transport, routes, labor and material costs insofar as they increase, because the goods were subsequently shipped to a site other than the purchaser’s branch, unless the shipment corresponds with their intended use.

Claims for defects lapse as follows:

HSM SECURIO C-series, B-Series and P-series document shredders: 5 years. Exceptions: document shredders in cutting sizes 0,78  x 11 mm, 1 x 5 mm, 1 x 2 mm

HSM SECURIO B-Series and P-series document shredders in cutting sizes 0,78 x 11 mm, 1 x 5 mm, 1 x 2 mm: 3 years

HSM SECURIO AF-Series document shredders: 3 years

HSM Pure document shredders: 5 years

HSM shredstar document shredders: 2 years. The warranty obligation for shredstar models is limited to the free delivery of replacement equipment against the return of the defective equipment.

HSM Classic document shredders: 3 years

HSM Powerline and ProfiPack: 2 years when used in single-shift operation; when used in multi shift operation, the warranty period is 6 months.

Other products: 1 year when used in single-shift operation or a maximum of 2000 operating hours; when-used in multi-shift operation, the warranty period is 6 months or a maximum of 2000 operating hours.

Used machines which are no older than twelve months: 6 months. No warranty is provided for older used machines.

HSM solid steel cutting shafts

HSM provides a separate warranty for HSM solid steel cutting shafts in alternating current document shredders in the product lines HSM SECURIO and HSM Pure for the entire lifetime of the equipment (HSM Lifetime Warranty). This does not include document shredders with cutting size 0.78 x 11 mm, 1 x 5 mm, 2.2 x 4 mm, 2 x 2 mm. All warranty statements going beyond this require the written form to be effective.

For damages which were caused by wear and tear, improper handling, natural deterioration or by interference of a third party, no compensation will be paid within the framework of the warranty period granted in Section. Service, adjustment and readjustment work caused by defects which did not arise as a result of repairs are not included in this warranty.

The authoritative time for the start of the statute of limitation on claims is the time at which risk is transferred.

No compensation will be paid during the warranty period for damages which were caused by wear and tear, improper handling, natural deterioration or as a result of the interference of a third party. Service, adjustment and readjustment work are not considered as work under warranty.

HSM products may only be operated in a weather protected area for the entire period of their operation. This weather-protection must already be on-site before delivery, installation and commissioning of the product

 

4.2 THE WARRANTIES SET FORTH ABOVE FOR THE PRODUCTS ARE THE SOLE WARRANTIES PROVIDED UNDER THIS AGREEMENT AND ARE IN LIEU OF, AND BUYER HEREBY WAIVES, ALL OTHER WARRANTIES, REPRESENTATIONS, OR PROMISES, EXPRESS OR IMPLIED BY LAW, USAGE, CUSTOM OR THE TRADE, OR OTHERWISE, INCLUDING WITHOUT LIMITATION, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR APARTICULAR PURPOSE.  NOTWITHSTANDING ANY OTHER OR PRIOR STATEMENT, WRITTEN OR ORAL, HSM MAKES NO OTHER WARRANTIES REGARDING THE QUALITY OF ITS PRODUCT(S) OR THE MATERIALS AND SERVICES CONTEMPLATED HEREUNDER.

5.1 Limitation of Liability

IN NO EVENT SHALL HSM BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, CONSEQUENTIAL, LOST PROFITS, LOST REVENUES, OR PUNITIIVE DAMAGES ARISING FROM, CONNECTED WITH, OR RELATING TO THIS AGREEMENT, WHETHER OR NOT SUCH DAMAGES ARE FORSEEABLE AND WHETHER OR NOT SELLER HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.

6.1 Indemnification

To the fullest extent permitted by law, buyer shall defend, indemnify, and hold HSM harmless from any and all claims, demands, subrogation claims by buyer’s insurers, causes of action, controversies, liabilities, fines, regulatory actions, seizures of equipment, losses, costs, expenses (including but not limited to attorneys’ fees, expert witness expenses and litigation expenses) (hereinafter collectively, “claims”), arising from or in connection with claims asserted against HSM for any damage, environmental liability, patent and/or intellectual property infringement resulting from:

a) injury, death, loss, property damage, delay, or failure in delivery of the goods or any   other claims, whether in negligence, tort, contract, or otherwise, relating to this

b) agreement.

c) the specifications provided by the buyer.

d) the business relationship between the parties.

e) the goods.

f)  buyer’s breach of this agreement; and/or,

g) buyer’s use, modification, or alteration of the goods.

h) failure to comply with any international, national, state, local laws, regulations and/or standards. 

7.1 Buyer agrees to comply with all pertinent federal, state, municipal, and local laws, regulations, ordinances, and codes of any governmental authority having jurisdiction
8.1 Assignment

Any attempt by Buyer to assign its rights or to delegate its obligations under this Agreement without the prior written consent of HSM shall be null and void.

8.2 Subject to the foregoing, this Agreement shall be binding and inure to the benefit of the parties hereto, their respective successors and assigns.
9.1 HSM’s Right to Reject, Rescind, or Cancel

HSM shall have the right to rescind all or part of any offer, order or this Agreement if (a) Buyer breaches or fails to perform any of its obligations under this Agreement; (b) Buyer becomes insolvent; (c) proceedings are instituted by or against Buyer under any federal or state bankruptcy of insolvency laws; (d) Buyer ceases operators; or (e) HSM determines in its full discretion that it elects to reject, cancel or rescind.

9.2 Choice of Law

Any and all matters of dispute between the parties to this Agreement or any agreement subsequently entered into, whether arising from the Agreement, or arising from any alleged extra contractual facts prior to, during, or subsequent to the Agreement, including without limitation, fraud, misrepresentation, negligence, or any other alleged tort or violation of the contract, shall be governed by, construed, and enforced in accordance with the laws of the Commonwealth of Pennsylvania, regardless of the legal theory upon which such matter is asserted.  The parties hereby agree that the United Nations Convention on Contracts for the International Sale of Goods will not apply to this Agreement.

10.1 The parties intend this Agreement to constitute

the complete, exclusive, and fully integrated statement of their agreement.  As such, it is the sole repository of their agreement and they are not bound by any other agreements, promises, representations, or writings of whatsoever kind or nature.  The parties also intend that this complete, exclusive, and fully integrated statement of their agreement may not be supplemented or explained (interpreted) by any evidence of trade usage or course of dealing.  

10.2 Any modification of this Agreement must be evidenced by a writing signed by the parties. For HSM, no representative has authority to sign a modification except the Management Board.
11.1 This Agreement does not confer any rights or remedies upon any person other than the parties.
12.1 All notices required under this Agreement shall be in writing.

Notices to HSM shall be given to the Director of Operations.  Notices to Buyer shall be given to the designated representative. Either party may from time to time by notice in writing pursuant to the terms hereof, change its address or its designated representative or for this purpose the notice shall be furnished by an authorized representative of the party.

13.1 Either party’s waiver of any condition or breach by the other party of any of the provisions of the Agreement shall not constitute a waive any other condition or breach of the same or any other provision.
14.1 In the event that any provision contained herein is held to be invalid or unlawful, such provision shall be severable from the remaining provisions of this Agreement, which shall remain in full force and effect.