V3 Distribution, in reliance upon the statements and representations contained in this Credit Application and Agreement, may extend credit to the applicant company named in this agreement for the purchase of products and services. Credit may be extended on open account, by acceptance of company check, prepayment, C.O.D. terms, or by invoicing with terms requiring form of payment other than cash. V3 Distribution reserves the right in the absence of open-account credit terms to require prepayment, deposit, or any form of surety as needed. If credit is extended, the applicant company agrees as follows: (1) to pay all invoices when due, according to the terms of sale listed on each invoice or as stated in letter of approval for open-account term sale, (2) that all past due invoices are subject to a late charge equal to 18% per year 1 1/2% per month), (3) to pay all collection fees, reasonable attorney fees, court costs, and other expenses incurred by the Seller to effect recovery of sums due from the applicant company in the event of nonpayment, (4) that all disputes shall be governed by the laws of and filed only on the State of Michigan, (5) that all information provided on this application is true and that the undersigned is an authorized agent on behalf of applicant company.