Common use of In Person Charges – Chip Cards Clause in Contracts

In Person Charges – Chip Cards. (i) When presented with a Chip Card, the Card must be inserted into the reader of the point of sale terminal (unless the Charge is processed through Contactless Technology, in which case you may follow the steps outlined in paragraph 1.e below). The terminal should advise the Cardmember to enter his or her personal identification number (PIN) (a chip and PIN transaction). Your Establishments must ensure that the Cardmember enters his or her PIN into the keypad of the terminal when prompted. Schedule A (ii) If the Establishment is unable to complete a chip and PIN transaction due to a technical problem, the terminal should show an error message and either decline the transaction or direct the Establishment to follow the procedure for non-Chip Card transactions as described in paragraph 1.d below. (iii) If an Establishment keys a Charge into the terminal manually, we will have Chargeback rights for fraudulent In Person Charges made with lost, stolen, counterfeit and non-received Chip Cards. (iv) You must ensure that your terminals accept Chip Cards. If the terminal has not been upgraded to accept Chip Cards or we have not certified the terminal for chip and PIN, you will be liable for any losses that we may suffer and we will have Chargeback rights for fraudulent In Person Charges made with lost, stolen, counterfeit, and non-received Chip Cards, if the upgrading and certification of your point of sale terminal would have prevented the fraud. In all cases, you will be liable for fraudulent Charges arising from a failure to comply with our Card acceptance procedures as set out in this Agreement.