Paper Money Guaranty, LLC (“PMG”), a US limited liability company with an address of 5501 Communications Pkwy, Sarasota, Florida, 34240, USA, provides the following guarantee for PMG-graded paper currency notes, subject to the limitations and other terms and conditions stated below. Notes must be encapsulated in PMG holders to be eligible for the PMG Guarantee.
In certain geographic locations, PMG accepts note grading submissions through affiliated legal entities (specifically, NGC International GmbH in Germany and NGC Hong Kong, Ltd., in Hong Kong) (each, a “PMG Local Affiliate”), with each such affiliate acting as submission handling agent for PMG. Each PMG Local Affiliate is a wholly owned subsidiary of PMG or its independent affiliate Numismatic Guaranty Corporation (“NGC”). All work and services performed on notes submitted to PMG or a PMG Local Affiliate, including grading and encapsulation, are contracted from and provided by PMG. NGC has no control over the services offered by PMG.
In the People’s Republic of China (“PRC”), PMG accepts note grading submissions through NGC Shanghai Business Information Consulting Co., Ltd. (“NGC Shanghai”). All work and services performed on notes submitted to NGC Shanghai, including grading and encapsulation, are provided by NGC Shanghai.
Except for PMG Guarantee claims by a resident of PRC, which must be made to NGC Shanghai, all claims under the PMG Guarantee must be made to PMG in the United States. NGC is not responsible for any claims under the PMG Guarantee. The applicable PMG Local Affiliate will provide reasonable communication and handling assistance with this process.
Subject to the terms and conditions of this Guarantee and the limitations specified below, PMG guarantees that:
- All paper currency notes graded by PMG and encapsulated in a PMG holder are guaranteed to be genuine.
- All notes are guaranteed not to be overgraded, meaning that they are not graded higher than PMG’s grading standards.
- Note: The grade guarantee does not apply to PMG “Net” graded notes, which have the word NET after the numerical grade on the PMG holder. Notes with the “Net” grade are guaranteed to be genuine only.
Guarantee Conditions and Limitations
In order to raise a claim under this Guarantee, the owner of any PMG-certified note believed to be not genuine or overgraded must submit it to PMG under its Appearance Review service. If PMG determines, in its sole reasonable opinion, that the note is not genuine or that the correct grade for the note is lower than the one originally assigned, PMG will provide one of the three remedies described below. The choice of remedy will be made by PMG in its sole discretion, and the remedies are subject to the further limitations set forth below. Current Fair Market Value is determined solely by PMG as described in each of the listed remedies and the “Fair Market Value” paragraph that follows.
- PMG shall (a) return the note to the submitter encapsulated with a label indicating the newly established correct (lower) grade and (b) pay to the submitter the difference between the current Fair Market Value of an accurately graded note at the original incorrect (higher) grade and the current Fair Market Value of the note at the newly established correct (lower) grade.
- Alternatively, PMG may purchase the note from the submitter. If the note was determined to be overgraded, the price PMG pays will be the current Fair Market Value of an accurately graded note at the original incorrect grade. If the note was determined to be not genuine, PMG will pay the lesser of the Fair Market Value of an accurately graded, genuine note or the amount actually paid for the note by the submitter in an actual arm's length transaction, plus any postage, shipping or other incidental expenses incurred by the submitter in submitting the note for Appearance Review service by PMG.
- Alternatively, PMG may retain the not genuine or overgraded note and provide to the submitter in its place an equivalent note that is genuine and has the same grade as PMG originally assigned to the note.
PMG is committed to proposing a fair and reasonable remedy to a submitter of a note that is determined to be not genuine or overgraded. If the submitter does not accept such remedy from PMG, the note will be removed from the PMG holder and returned to the submitter along with a payment of the grading fees originally paid to PMG to grade the note and any reasonable shipping expenses incurred in returning the note to PMG for correction. In no event will PMG return a note that has been determined to be not genuine in an PMG holder or a note that has been determined to be overgraded or incorrectly described encapsulated with an incorrect PMG label.
The remedies provided above are exclusive. By submitting a note for Appearance Review, the submitter agrees to the exclusive remedies provided above and waives its right to all other remedies including, without limitation, through litigation.
Fair Market Value. PMG will determine, if and as necessary, and in its sole reasonably exercised discretion, the current “Fair Market Value” of the note if it were to be sold. This determination will be made for an accurately graded note at the original incorrect (higher) grade and, if applicable, for the note at the newly established correct (lower) grade. PMG will determine the current Fair Market Value of a note based upon what PMG believes, in its sole reasonably exercised opinion, to be reliable current market information. PMG may use actual pricing and sales information available to it, including prices in the actual transaction history of the note in question. However, due to the volatile nature of the note market and Internet auctions/sales as well as the differences in buying habits of different individuals, such information may not necessarily represent the accurate current Fair Market Value of any particular note, which again, will be determined by PMG in its sole reasonably exercised discretion. In determining the Fair Market Value, PMG will not be bound by the values included within the PMG Price Guide.
WARNING: THIS GUARANTEE IS LIMITED. The following terms, limitations and restrictions apply with regard to the above guarantee and available remedies, and the submitter of a note using PMG’s Appearance Review service agrees to be bound by all of the terms, conditions and limitations set forth herein:
- Required Information. In fulfillment of the PMG Guarantee, PMG may require that the submitter provide information and available documentation regarding the transaction history of a particular note, including the date purchased, the purchase price, the seller and the transaction amount. PMG may also require that a submitter minimizes its damage and attempt to reverse a prior transaction. It may further require that a submitter provide proof to the effect that negotiations to reverse a prior transaction have failed. The submitter acknowledges that his or her inability to provide requested information and / or non-cooperation in providing requested information constitutes a failure of an essential condition to this Guarantee and will result in the note’s exclusion from this Guarantee.
- PMG Holders. The PMG Guarantee does not apply to notes that have been removed from their PMG holder, or if the PMG holder containing a note has been damaged, unsealed, tampered with or altered. The determination as to whether this has occurred shall be at the sole reasonable discretion of PMG. Further, the PMG Guarantee does not apply to counterfeit or tampered PMG holders.
- Improper Storage. The PMG Guarantee does not apply if PMG determines that a note submitted for Appearance Review has a lower grade than that originally assigned as a direct result of the PMG holder having been subject to abuse, alteration or improper storage conditions such as (but not limited to) extreme temperature, moisture, damaging environmental conditions, excessive light, excessive motion or vibration or any other extreme conditions and that such exposure of the holder is capable of affecting the condition of the graded note.
- Third Party Information and Attributions. Information listed on a label that originates from a third party (including, without limitation, any information from the U.S. Bureau of Engraving and Printing) and any attributions (including variety attributions, reference attributions and pedigree attributions) are NOT guaranteed. Certain paper money issues are commonly collected by varieties that distinguish paper type, ink color (i.e. red, blue ultraviolet, etc.), spelling variant or other printing difference. PMG will attribute those varieties that it deems, in its sole reasonably exercised opinion, to be major varieties that are widely collected and accepted as legitimate varieties by the paper money collecting community at the time the note is graded. New information may cause PMG to no longer recognize an attribution that it previously assigned, which, again, is not covered by the PMG Guarantee. PMG does not guarantee that a particular variety or designation will always be recognized, and attribution policies are subject to change without notice. Further, if a note submitted to PMG for Appearance Review is determined by PMG to be not genuine or overgraded, PMG's calculation of that note 's Fair Market Value will be based on a generic example of the note at the original grade without any variety, reference or pedigree attribution.
- Designations. The Exceptional Paper Quality (EPQ) designation is considered to be part of the assigned numeric grade for the purposes of the PMG Guarantee. Special designations (such as First Day of Issue, Early Releases and First Releases) or pedigrees are not guaranteed and if PMG incorrectly assigns a special designation or pedigree to a note it is the duty of the submitter to return that note for correction. In addition, since eye appeal is subjective, the PMG Star Designation () for exceptional eye appeal is not guaranteed. Further, if a note submitted to PMG for Appearance Review is determined by PMG to be not genuine or overgraded, PMG's calculation of that note's Fair Market Value will be based on a generic example of the note at the original grade without any special designation or pedigree, except for those designations explicitly listed above as being considered to be part of the assigned numeric grade.
- Autographed Notes. Courtesy autographs applied to a note after it was issued are NOT guaranteed. These notes are encapsulated by PMG with a label that states either “Courtesy Autograph” or “Ink Annotation.” Further, if a note submitted to PMG for Appearance Review is determined by PMG to be not genuine or overgraded, PMG's calculation of that note's Fair Market Value will be based on a generic example of the note at the original grade without curtesy autograph.
- Clerical or Mechanical Errors. A clerical or mechanical error occurs when a note is encapsulated with a label that bears a grade and/or description that clearly does not correspond with the note. It is the duty of the buyer and seller of a note to examine such note for a clerical or mechanical error to return such notes for correction when warranted. The PMG Guarantee does not apply when PMG determines, in its sole reasonable discretion, that a clerical or mechanical error has resulted in the note having an incorrect grade or description. If requested, PMG will remedy any clerical or mechanical error free of charge by updating the encapsulation to show an appropriate label.
PMG certification labels with incorrect dates, catalog numbers, denominations and note types (all of which should be obvious to someone who performs an inspection of the note and label) are considered clerical or mechanical errors. Examples of such errors include, but are not limited to, the following:
- A note label description references a catalog number of Pick 872, when the note actually has a catalog number of Pick 572.
- A note label description references a 1911 date when the note is actually dated 1910.
- A note denomination is identified as $500 when the note is actually a $50.
- A note is graded 68 Superb Gem Unc when it should have been graded 58 Choice About Unc, a clerical error with respect to grade that would be obvious to a collector.
- PMG Registry. The PMG Guarantee does not cover a note 's status in the PMG Registry, including eligibility or points assigned. Changes to the PMG Registry may be made without notice, and PMG does not guarantee that a note will always be eligible for inclusion in the PMG Registry nor does it guarantee that it will receive a certain point score.
- Inspection. The original submitter of a note to PMG must inspect such note immediately upon receipt from PMG. In the extremely rare event that a note is damaged while at PMG’s facility, PMG shall have no liability for any damage unless reported to PMG within fourteen (14) days of the submitter’s receipt of the note from PMG. Notwithstanding anything else contained in this PMG Guarantee, in the event of loss or damage of your note by PMG, PMG will only be responsible for the LESSER of the actual current Fair Market Value as reasonably determined solely by PMG or the submitter declared value.
- Knowledge of Error. If the owner of a note is informed by PMG that the note is not genuine or overgraded or that the PMG label has a clerical error, it is the duty of that owner to immediately return the note to PMG. If the owner does not immediately return the note to PMG after such notice, then (a) the PMG Guarantee will no longer apply to that note, (b) if the owner sells, trades or otherwise transfers ownership of the note instead of returning it, then the owner may be liable to the buyer for fraud or otherwise be subject to legal recourse, and (c) PMG will reserve all rights to pursue any available remedies against the original purchaser and the submitter of the note. PMG strongly encourages owners and prospective buyers of PMG -certified notes to enter the note’s PMG certification number in the Verify PMG Certification section of the PMG website for notification of possible errors.
EXCEPT FOR ANY EXPRESS WARRANTIES SET FORTH IN THIS GUARANTEE, PMG DISCLAIMS ANY AND ALL WARRANTIES, EXPRESS OR IMPLIED, REGARDING PMG AND / OR THE SERVICES, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. IN NO EVENT SHALL PMG OR ANY OF ITS AFFILIATES, OR ANY OF ITS OR THEIR RESPECTIVE EMPLOYEES, OFFICERS, DIRECTORS OR AGENTS, BE LIABLE TO CUSTOMER OR ANY OTHER PARTY FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL OR EXEMPLARY DAMAGES, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, AND EXCEPT AS OTHERWISE EXPRESSLY SET FORTH IN THIS GUARANTEE IN NO EVENT SHALL THE AGGREGATE LIABILITY OF PMG, ITS AFFILIATES, AND ANY OF ITS OR THEIR RESPECTIVE EMPLOYEES, OFFICERS, DIRECTORS OR AGENTS TO THE CUSTOMER OR ANY THIRD PARTY FOR WHOM THE CUSTOMER MAY BE ACTING, ARISING FROM ANY CAUSE, ACT, OMISSION OR OTHER CIRCUMSTANCE, EXCEED THE FEES PAID OR PAYABLE FOR THE SERVICES ORDERED BY THE SUBMITTER OF SUCH ITEM(S).
CLAIMANTS UNDER THIS GUARANTEE HEREBY WAIVE TRIAL BY JURY.
ALL CLAIMS UNDER THIS GUARANTEE BY A RESIDENT OF PRC MUST BE MADE TO NGC SHANGHAI. IN SUCH CASE, (A) THIS GUARANTEE SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH PRC LAW AS APPLIED TO TRANSACTIONS TAKING PLACE WHOLLY WITHIN PRC BETWEEN PRC RESIDENTS AND (B) SUBJECT TO CONTRARY COMPULSORY LOCAL LAW APPLICABLE TO A NON-US CLAIMANT, CLAIMANTS EXPRESSLY CONSENT TO THE PERSONAL AND SUBJECT-MATTER JURISDICTION OF THE APPROPRIATE PRC COURT WHERE NGC SHANGHAI IS LOCATED HAVING JURISDICTION IN PRC.
ALL OTHER CLAIMS UNDER THIS GUARANTEE MUST BE MADE TO PMG. IN SUCH CASE, (A) THIS GUARANTEE SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF FLORIDA AS APPLIED TO TRANSACTIONS TAKING PLACE WHOLLY WITHIN FLORIDA BETWEEN FLORIDA RESIDENTS AND (B) SUBJECT TO CONTRARY COMPULSORY LOCAL LAW APPLICABLE TO A NON-US CLAIMANT, CLAIMANTS EXPRESSLY CONSENT TO THE PERSONAL AND SUBJECT-MATTER JURISDICTION OF THE STATE COURTS LOCATED IN AND FOR THE CITY OF SARASOTA, STATE OF FLORIDA AND THE FEDERAL COURTS LOCATED IN AND FOR THE CITY OF TAMPA, STATE OF FLORIDA.
If any part of this Guarantee shall be declared invalid or unenforceable by a court of competent jurisdiction, it shall not affect the validity of the balance of this Guarantee. In such circumstance, the provision declared invalid/unenforceable shall be re-drafted as closely to the original provision as allowed by law, so as to give effect to PMG’s intent.
Should there be any discrepancy between the English language version of this Guarantee and the version of the Guarantee as translated into another language, the English language version shall prevail, govern and control in all respects.