This agreement represents the complete agreement and understanding between Smoky Mountain Internet Services, Inc., its affiliates and owners, and the account holder (hereinafter called User) and supersedes any other written or oral agreement. Upon notice published on-line (http://www.smnet.net/aup.html) Smoky Mountain Internet Services, Inc. may modify these terms and conditions, amplify them, and/or modify the prices, as well as discontinue or change services offered.

If you do not agree to these terms and conditions, please notify our Customer Service Department at 1-828-349-9541 during normal office hours so we can terminate your account. Failure to notify Smoky Mountain Internet Services, Inc. shall constitute your approval.

1. All individuals accessing Smoky Mountain Internet Services, Inc. represent to Smoky Mountain Internet Services, Inc. that they are 18 years of age or older. Certain material available on the Internet through Smoky Mountain Internet Services, Inc. may not be suitable for individuals under the age of 18.

2. User understands further that the Internet contains unedited materials some of which are sexually explicit or may be offensive to you. You access such materials at your own risk. Smoky Mountain Internet Services, Inc. has no control over and accepts no responsibility whatsoever for such materials.

3. Information transmitted through Smoky Mountain Internet Services, Inc. and through the Internet in general is not confidential. Therefore, Smoky Mountain Internet Services, Inc. can not and will not guarantee privacy or guarantee protection of any user. We reserve the right to monitor any User's transmissions when deemed necessary for providing proper service and/or to protect the rights and property of the Company. We will not disclose any information about any User unless required by court order, subpoena or other legal request, or upon the advice of counsel.

4. Smoky Mountain Internet Services, Inc. exercises no control whatsoever over the content of the information passing through it. Use of any information obtained via Smoky Mountain Internet Services, Inc. is at your own risk. Neither Smoky Mountain Internet Services, Inc. nor any of its licensors, employees, or agents warrants that the service will be uninterrupted or error free; nor does Smoky Mountain Internet Services, Inc. or its licensors, employees, or agents make any warranty as to the results to be obtained from use of the service. The service is provided on an "AS IS" basis without warranties of any kind, either express or implied including but not limited to warranties of title or implied warranties of merchantability or fitness for a particular purpose or use. Neither Smoky Mountain Internet Services, Inc. nor anyone else involved in creating, producing, or delivering the service shall be liable for any indirect, incidental, special, or consequential damages arising out of the use of the service or inability to use the service or out of any breach of any warranty. This disclaimer of liability applies to any damages or injury caused by any failure of performance, error, omission, interruption, deletion, defect, delay in operation or transmission, computer virus, communication line failure, theft or destruction or unauthorized access to, alteration of, or use of Smoky Mountain Internet Services, Inc., whether for breach of contract, tortious behavior, negligence, or under any other cause of action.

5. User agrees to indemnify and hold without harm Smoky Mountain Internet Services, Inc., its officers, employees, agents, directors, shareholders and other Users from any and all claims, damages, expenses (including attorney's fees) and liabilities resultant from any and all use of the User's account whether authorized or not authorized.

6. Smoky Mountain Internet Services, Inc. Internet connections and all other services provided to the user by Smoky Mountain Internet Services, Inc. may only be used for lawful purposes. Transmission or storage of any information, data, or material in violation of any U.S. or state regulation or law is prohibited. This includes but is not limited to copyrighted material legally judged to be threatening or obscene, or material(s) protected by trade secret. User agrees to indemnify and hold harmless Smoky Mountain Internet Services, Inc. from any claims resulting from your use of the service which damages you or another party. Smoky Mountain Internet Services, Inc. reserves the right to refuse and delete at any time the content of any Web pages hosted on Smoky Mountain Internet Services, Inc. servers if the content of such Web pages contains threatning, racist, hateful, pornographic, obscene or offensive material.

7. The right to use Smoky Mountain Internet Services, Inc. is not transferable. Accounts are for your use only! User is responsible for the confidentiality of user's passwords. Loaning your account to others, connecting a system used by multiple persons, group use of user logins, and consuming more than one modem line are explicitly prohibited. If the user has multiple accounts, then the user is limited to one login session per system account at any time. Violation of this policy will be dealt with as theft of service and may be prosecuted under civil and criminal law.

8. Smoky Mountain Internet Services, Inc.'s services, or any of it's affiliates services, may not be used to send bulk, unsolicited advertising or promotional materials to other network users under any circumstances. Electronic mail and appropriate USENET newsgroups may be used in the conduct of legitimate businesses. Smoky Mountain Internet Services, Inc. DOES NOT ALLOW users to run Mail list, Listserver or any form of auto-responder from a user's account. Processes that run or are activated while the user is not logged in are also NOT ALLOWED. Continued harassment of other individuals on the Internet after being asked to stop by those individuals and Smoky Mountain Internet Services, Inc. will not be tolerated. When Smoky Mountain Internet Services, Inc. becomes aware of possible violations, we will initiate an investigation. At the same time, in order to prevent further possible unauthorized activity, Smoky Mountain Internet Services, Inc. may suspend access to services to the individual account in question. Confirmation of violations may result in cancellation of the individual account and/or criminal prosecution. The account suspension may be rescinded at the discretion of Smoky Mountain Internet Services, Inc. following payment of a reconnection charge.

9. Use of this account to violate the security of any computer network, crack passwords or security encryption codes, transfer or store illegal material including that deemed threatening or obscene, or engage in any kind of illegal activity is expressly prohibited. User will abide by all the rules, regulations and policies of those networks and computer systems accessed via this account. If the User is unsure of those policies, it is the User's responsibility to ascertain said policies.

10. Smoky Mountain Internet Services, Inc. will not be responsible for any telephone charges incurred by the customer, whatsoever, including long distance or toll charges the customer may incurr. Customer is soley responsible for determining which dial-up numbers are within the customer's local calling area, and for using the proper dial-up numbers when accessing Smoky Mountain Internet Services, Inc.

11. Terms of Service The following Terms of Service also apply to users accounts.

1. SMNET dial-up accounts are single user accounts. Only one computer may be logged into SMNET at any given time, under a given username. Multiple concurrent logins are strictly prohibited.
2. Dial-up accounts are for use with a computer modem only. If you require ISDN access, let us know and we will set up ISDN access for you. Using a standard dial-up account for ISDN access is prohibited.
3. Using a personal account for high volume or commercial use is prohibited. The service is intended for periodic, active use of email, newsgroups, file transfers, Internet chat, games, and browsing the World Wide Web. Users may stay connected so long as they are actively using that connection for the above purposes.
4. There is a 20 minute idle time disconnect built into our system. Using any automatic process to keep your connection to SMNET alive is prohibited. This includes but is not limited to automatic email checking, pinging software or any other process that prevents disconnection after the specified idle time.
5. Smoky Mountain Internet will not be responsible for any telephone charges you may incur while using our system. It is your responsibility to ensure that the phone number for our service is a local call to you.
6. Email SPAM is strictly prohibited. SPAM is the sending of any bulk, unsolicited email. Any violation of this rule will be grounds for immediate termination of your account.
7. Accounts that are paid by monthly invoice must be paid by your anniversary date each month or they will automatically be terminated the following day. A $25 reconnect fee and any past due charges will be required before re-connection.

Violation of any of the above may result in termination of your account without any further notice. You will also be responsible for any monetary charges that may be incurred because of the violation.

12. PAYMENT TERMS:

• The User is responsible for any and all fixed and accumulative charges for this account. The first month service fee (or other available billing methods selected) is due upon account setup. Each month (or other billing period selected), on the first of the month, the account will be charged the monthly access and any other fees for the new month plus any accumulated charges for the past month. Failure to use this account(s) does not relieve the user of payment obligations.

• Credit Card customers agree to allow Smoky Mountain Internet Services, Inc. to bill such card on each successive billing date without obtaining the user's permission after the initial charge. Credit Card customers shall notify Smoky Mountain Internet Services, Inc. of any changes in Credit Card Number or expiration date. If the card is not honored for any reason the User will be contacted to arrange payment. If payment is not received by the anniversary date of the current billed month, service will be terminated. Re-establishment of the account will be subject to a re-connection fee.

• If payment is by check, payment due dates are indicated on your invoice. Billed accounts (not credit card) are invoiced monthly. Dishonored checks are subject to a collection fee and your account may be suspended until the account is current. If payment is not received by the anniversary date of the current billed month, service will be terminated. A re-connection fee of $25.00 will be added to charges for further services.

• Cancellation. If you wish to cancel your account you must use our online form at http://www.smnet.net/cancel.html. This is so we will have a written record of your request. You must cancel your account at least 10 days before the end of your billing cycle to avoid charges for the following month.

• Smoky Mountain Internet Services, Inc. has the right to instantly terminate service for any unpaid or partial paid subscriptions. Accounts in default are subject to an interest charge of 1.5% per month on the outstanding balance. Termination of service shall not relieve the user from the obligation to satisfy outstanding invoices. In the event Smoky Mountain Internet Services, Inc. utilizes an attorney to collect such sums, the user shall be responsible for the payment of all of Smoky Mountain Internet Services, Inc. attorneys' fees and costs in pursuing the collection of these sums. Venue for any litigation concerning the user's relationship with Smoky Mountain Internet Services, Inc. shall be in Macon county, in the state of North Carolina.