MAINTENANCE PLANS TERMS AND CONDITIONS

Any information collected under this Residential Maintenance Plan will be used in accordance with our Privacy Code. Visit www.directenergy.com or email privacy@directenergy.com for details.

1. PLAN TERM AND RENEWAL

Your coverage under this Residential Maintenance Plan (“Plan”) will commence on the Plan Start Date and continue for an initial term of one (1) year. On or before the date that is thirty (30) to forty-five (45) days before the end of the initial Plan term and any subsequent Plan term we will send you notice (the “Renewal Notice”) of the upcoming expiry of your current Plan terms and notify you that coverage will renew at the expiry of the term. You hereby expressly agree that Direct Energy shall renew your Plan for a further year at the expiry of each Plan term unless:

(i) you notify us in writing within ten (10) days of receipt of the Renewal Notice that you do not wish to renew.

(ii) we notify you that we will not be offering you renewed coverage under the Plan.

You expressly agree that we may change the price and Terms and Conditions of the Plan for any subsequent Plan term by giving you advance notice in writing. You hereby agree that any notices sent by Direct Energy to the Premises (or Billing Address, if different from the premises), are deemed to be received by you ten (10) days after mailing.

2. PAYMENT AND TRANSFER

The services and coverage included in your Plan will be provided at the Premises. If you move, you must provide us thirty (30) days’ notice. If the new location is within our service territory, i.e. the greater Calgary and greater Edmonton areas, we may transfer your Plan to that location. Equipment in the new residence must be eligible for coverage. If you move outside of our service territory, subject to Section 6 below, any payments for services already performed are due in full and your Plan will be cancelled without penalty. You hereby acknowledge and consent that we may transfer or assign our rights under this Agreement to another party without notice. Direct Energy will have no obligations under this Plan after is has been assigned by us.

Monthly Payments are due on the monthly anniversary of your enrollment as set forth in your welcome letter. Interest will be due and payable on any and all outstanding balances at the rate of 1.5% per month (18% per annum), calculated daily. Accounts in arrears may result in Plan coverage being withheld until the account is paid in full (including interest). We may cancel any Plan without further liability or obligation if the account remains unpaid for sixty (60) days. Your Plan coverage is non-refundable and non-transferable except as specifically noted herein. Subject to Section 6 below, if you cancel the Plan during a Plan term, all payments remaining during that term become due in full.

3. SERVICES AND EQUIPMENT COVERED BY THE PLAN

This plan is defined as one or more Tankless Water Heater Maintenance Plan, Furnace Maintenance Plan, Cooling Maintenance Plan, and/or Hot Water Tank Maintenance Plan. Each maintenance plan provides maintenance coverage for a single tankless water heater, hot water tank, heating unit or central air unit.

The Tankless Water Heater Maintenance Plan provides one “Tankless Water Heater Maintenance Visit” during each Plan term. The Tankless Water Heater Maintenance Visit is for your tankless water heater unit only, and includes a safety test for carbon monoxide and a flushing of the unit.

The Furnace Maintenance Plan provides one “Furnace Maintenance Visit” during each Plan term. The Furnace Maintenance Visit is for your heating unit only, and includes a safety test for carbon monoxide. Flushing of the heating unit’s heat exchanger is not covered by the Plan.

The Cooling Maintenance Plan provides one “Cooling Maintenance Visit” during each Plan term. The Cooling Maintenance Visit is for your central air conditioning unit only. The cost to diagnose and isolate any components for pressure testing on any defective or potentially defective parts which may have caused a refrigerant leak are not covered by the Plan. Costs of refrigerant recovery, vacuuming and refill of the unit are also excluded from coverage by the Plan.

A Hot Water Tank Plan provides one “Hot Water Tank Maintenance Visit” during each Plan term. The Hot Water Tank visit is for a conventional gas powered tank only and does not include the inspection and/or replacement of the dip tube and/or anode rod or the draining of the tank from the drain valve. A hot water tank does not require this to be done during regular maintenance.

The Tankless Water Heater Maintenance Plan covers one residential tankless water heater, a Furnace Maintenance Plan covers one residential furnace (operating using natural gas), a Cooling Maintenance Plan covers one residential central air conditioning unit and a Hot Water Tank Maintenance Plan covers one residential conventional gas powered hot water tank. The following are not eligible for coverage under the Plan: any equipment using conversion burners, any conversion burner itself, any thermostat, wall unit, space heater, heat pump or high velocity unit. A single heating or cooling unit covering more than three (3) dwelling units are not eligible for Plan coverage.

4. COSTS SPECIFICALLY EXCLUDED (ALL PLANS)

Additional cleaning of the equipment otherwise covered by the Plan that is required due to insufficient or improper maintenance of the equipment prior to enrollment in the Plan, or as a result of renovation, fire, or flood of the premises, is excluded from coverage under the Plan. If required, such services may be performed by Direct Energy and will be charged to you at our applicable labour rates. The cost to diagnose, and/or service any problems, or repair or replace any defective parts, are excluded from coverage under the Plan. Duct cleaning is not included in the Plan.

The Plan does not cover any system that has been damaged, affected, or altered—either directly or indirectly—as a result of a Force Majeure event, including but not limited to: acts of God, fire, flood, earthquake, snow storms, freezing, tornadoes, extreme weather conditions, and/or other natural disasters; war; acts or threats of terrorism; acts of any governmental authority; accidents; accidental and/or deliberate damage; theft; vandalism; strikes; labor troubles; shortages in supply; changes in laws, rules or regulations of any governmental authority; and any other cause beyond Direct Energy’s reasonable control.

Please review the above before you call for service to avoid unanticipated charges.

5. SCHEDULING YOUR MAINTENANCE VISIT

Tankless Water Heater Maintenance Visits may be booked throughout the year between the hours of 8am and 3pm, Monday to Friday, excluding holidays.

Furnace Maintenance Visits may be booked between February and August between the hours of 8am and 3pm, Monday to Friday, excluding holidays.

Cooling Maintenance Visits may be booked between May and August between the hours of 8am and 3pm, Monday to Friday, excluding holidays.

A Hot Water Tank Visit will not be completed as a stand alone visit. It must be completed at the same time as the Furnace Visit or Air Conditioning Visit.

You hereby agree that it is your responsibility to contact Direct Energy to arrange for the Maintenance Visit(s) under your Plan. If we do not hear from you, we will attempt to contact you by telephone or email to set up the Maintenance Visit(s). If you fail to arrange your Maintenance Visit(s) before the end of your coverage Plan term to refund will be provided and the Maintenance Visit(s) cannot be carried over to the following year’s Plan term.

6. “Out of Town” refers to any City or Town that is not Calgary or Edmonton but is within the Direct

Energy Home Services foot print (Greater Calgary and Greater Edmonton area).

7. BUYER’S RIGHT TO CANCEL

You may cancel this contract from the day you enter into the contract until ten (10) days after you receive a copy of the contract. You do not need a reason to cancel. If you do not receive the goods or services within thirty (30) days of the date stated in the contract, you may cancel this contract within one (1) year of the contract date. You may cancel this contract within one (1) year of the contract date. You lose that right if you accept delivery after the thirty (30) days. There are other grounds for extended cancellation. For more information, you may contact your provincial/territorial consumer affairs office. If you cancel this contract, the seller has fifteen (15) days to refund your money and any trade-in, or the cash value of the trade-in. You must then return the goods. To cancel, you must give notice of cancellation by a method that will allow you to prove that you gave notice, including registered mail, fax or by personal delivery.

The foregoing statement of cancellation rights applies only to customers whose Plan is a direct sales contract, defined by the Fair Trading Act (Alberta).

8. LIMITED LIABILITY

We are not liable for damages that may result during or as a consequence of any Maintenance Visit unless such damages result from the gross negligence or willful misconduct of Direct Energy to those for whom it is in law responsible. We will not under any circumstance be liable for indirect, consequential, economic or punitive damages.

9. MISCELLANEOUS

Direct Energy may, in its sole discretion, assign or delegate all or any part of this Agreement, or its rights, duties or obligations under this Agreement, to any other person or entity (whether or not an Affiliate of Direct Energy) without your consent. No waiver of any breach of any term or condition of this Agreement will constitute a waiver of any subsequent breach. This Agreement will be governed by and construed and enforced in accordance with and subject to the internal substantive laws of the Province of Alberta and the federal laws of Canada applicable therein, without giving effect to any choice of law, rules or principles which may direct the application of the laws of any other jurisdiction. Each Party irrevocably submits to the exclusive jurisdiction of the Alberta Court of Queen’s Bench in Calgary for the purpose of an suit, action or other proceeding arising out of the Agreement or the interpretation, performance or enforcement hereof, and the parties agree that venue for any such suit, action or proceeding will lie exclusively in such courts.

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