Salon Online Sales Policy and Guidelines

Salon E-Commerce Sales Policy

Salons with current L’Oreal Professional Products Division Distributor-Salon Contracts may sell genuine L'Oreal Professionnel, Redken, Matrix, Pureology, Kerastase, Shu Uemura Art of Hair, Essie and Mizani brand ("L’Oreal PPD Products") retail products over the internet to individual customers located and residing in the U.S. for their personal use if such sales comply with the Salon Online Sales Guidelines ("Qualifying E-Commerce Sales").

Salon Online Sales Guidelines

1. Salon online sales are permitted only by salons with a physical salon location that offers salon services and if the ecommerce site is branded under the same name as the salon. The site must include a reference to the street address of the salon, salon ownership, and salon phone number.

2. Sales directly or indirectly through third party websites/ecommerce sites are prohibited. Salon may not fulfill orders for any other salons, nor link to other websites selling L'Oreal PPD Products. Salon shall fulfill all orders received to its branded website directly. Transactions may not be shipped to unknown accounts, guest accounts, or PO Boxes. Salon shall include the salon’s name and the address the order was shipped from on the return address label of all orders processed online.

3. Salon shall sell only products intended and labeled for retail sale to consumers. Salon shall not sell any L’Oreal PPD Products that are designed for professional in-salon use only such as hair color products, texture products, professional treatment products, and back bar sizes.

4.Sales must be limited to individual customers residing in the U.S., for delivery in the U.S., and in quantities reasonable for personal use and not resale, generally not to exceed 6 units per month/ per customer. Salons are advised that sales outside the U.S. violate third parties’ intellectual property rights.

5. Salon shall sell only L’Oreal PPD Products that are genuine, unopened, in first quality condition and shall not remove, obliterate or tamper with any codes applied to the products by the manufacturer or distributor. Salon shall only sell L'Oreal PPD products acquired from an authorized distribution source in the United States. Salon shall not alter the physical components or design of promotional kits and prepacks.

6. Salon shall maintain records demonstrating its inventory and sales of all L'Oreal PPD Products for three (3) years and make such records available to L'Oreal immediately upon request in writing. At a minimum, transaction records shall include customer name, ship-to address, invoice number, invoice date, product control number, product description, product quantity, and extended cost. Additional information may be required, including actual invoice copies, upon request in writing.

7. Use L'Oreal PPD Products image access service for all creative elements and comply with restrictions with usage rights.

8. Salons will be responsible for all customer service inquiries from customers who have purchased products through the salon’s website.

9. Salon website URLs shall not violate Brand trademark rights. For example, salons cannot buy, run or operate "shopkerastase.com".

10. IP/Trademark use and restrictions: Salon acknowledges that it does not have any proprietary rights to the Brands, trademarks or other L’Oreal PPD Products intellectual property (collectively, "Company Intellectual Property") and that it is only authorized to use the Company Intellectual Property for the purpose of reselling the Products and operating the website in accordance with these Guidelines. Salon will only use the Company Intellectual Property in the manner in which it is made available to Salon by Company on the L’Oreal PPD website. Salon shall not use URLs that incorporate any L’Oreal PPD trademark. Salon shall not alter any images of the Company Intellectual Property except as may be directed by Company in writing. If Salon uses its own images of Company IP, Company has the right to request changes, modifications, discontinuation or replacement with approved images at Company’s discretion. Salon agrees to promptly change the manner of such use if requested to do so. Salon shall retain no rights, title, or interest in the Company Intellectual Property and will return any image or sample provided, or destroys such materials at Company’s request. Company Intellectual Property may only be used in a manner that shall maintain and enhance the goodwill associated with the Company Intellectual Property. Company Intellectual Property shall not be used in a manner that disparages, degrades, diminishes or detracts from the goodwill of the business associated with the Company Intellectual Property, nor shall Distributor use the Company Intellectual Property in a manner that is scandalous, immoral or satirical. Salon agrees to promptly change the manner of such use if requested to do so. Any and all rights or purported rights in the Company Intellectual Property, including without limitation all rights of trademark and trade dress, and associated goodwill that may arise or accrue belong solely to Company. Salon will not contest or dispute, directly or indirectly, Company’s proprietary interest in or ownership of the Company Intellectual Property. Use of the Company Intellectual Property under these Guidelines shall immediately cease upon the expiration or termination of the Guidelines.

11. Search Engine Marketing: Salon will not interfere with L'Oreal PPD Products and shall not competitively outbid PPD Brands holding the number one ranking in search engine's results page. This includes, but is not limited to, Google. Yahoo, Bing and other search platforms.

12. Salons operating their own e-commerce sites are responsible for data and security associated with their site to protect the customer, consumer information including payment card data and to prevent diversion. Sites must be compliant with PCI standards if credit card processing is enabled.

13. Compliance with Laws: Salon e-commerce sales must comply with all applicable laws and regulations relating to internet marketing and sales transactions.

14. Salons operating their own e-commerce sites shall notify Company via online submission form. Once Company has been notified salons are free to operate their own e-commerce sites in compliance with these guidelines.

Any salon that engages in e-commerce sales of L'Oreal PPD products without complying with these Guidelines will be in breach of salon's Distributor Salon Agreement.