Hosted Phone Service Terms and Conditions

Terms & Conditions - CloudNet Group VoIP Services

The Terms and Conditions described herein, hereafter “Terms and Conditions,” apply to all CloudNet Group services from CloudNet Group including all optional features and related services, hereafter referred to as “the Service,” as provided to a customer of CloudNet Group, hereafter referred to as “the Customer.”

Section 1: Payments and Charges

The Customer’s Initial Payment for the Service will be due upon the processing of the Customer’s order and will include one time fees, first months Service fees, the cost of the phones and hardware chosen, and the first month's rental for any hardware options selected or not already included in the Service.

At the time of placing an order for the Service, the Customer’s “Service Start Date” will also be established and agreed upon by the Customer and CloudNet Group, this date is not to exceed 45 days from the date the order was placed “Order Date”. The Service Start Date is when billing for the Service will begin. Prior to the original Service Start Date, a new Service Start Date can be selected as long as it does not exceed 60 days from the Order Date.

Any costs for new features, equipment, or services added to the Service between the receipt of the initial payment and the Customer’s Service Start Date will be due immediately.

On subsequent monthly intervals after the Service Start Date, the Customer will be charged the ongoing monthly charges, the cost of any overflow long distance used during the previous month, the monthly rental for any options selected not already included in the Service, and for any international calls not included in the calling plan. Included in the calling plans are calls to the Continental U.S., AK and HI.  Once the allotted long distance minutes are used, each long distance call will charged at $.06 per minute.  Minutes are pooled across all lines in the Service (number of lines x allotted minutes = total pool of long distance).  Each line has unlimited local calling, it is the Customer’s responsibility to know if all calls are considered local by the local carrier as calls with a metro area may be considered toll call.  Such local long distance calls would be charged against the available pool of long distance minutes.

Section 2: Additional Charges and Price Changes

Calls from payphones to any of the Customer’s toll-free numbers may carry a surcharge per call, mandated by the FCC, which is passed on to the Customer at cost.

All prices are subject to change based upon actual usage and profitability. Customers will be notified in writing of any price changes.  Continued use of the Service following notice of the price changes will constitute the Customer’s consent to such changes.

Section 3: Account Balance

Monthly rental/service fees are payable in advance of each month's Service; additional call charges and any other applicable charges are billed subsequent to the end of each month's Service.

If the Customer chooses to pay for the Service by credit card or ACH direct payment, all charges will be automatically deducted following the generation of any invoice. It is the Customer’s responsibility to maintain sufficient balance on the provided credit card or bank account to allow for charges for the Services.

If the Customer chooses to pay for the Service by check, the Customer is responsible for immediate payment of all invoices (Net 20). To pay by check, an initial deposit is required equal to the monthly rental/service fee on the account. Returned checks will result in a $35 fee applied to the Customer’s account balance.

Any Customer disputes of the amounts invoiced or charged must be submitted in writing to CloudNet Group within sixty (60) days of the date of the disputed charges and, if not so disputed, the Customer waives any objection and further recourse with respect to such charges.

The Customer understands and agrees that awaiting any pending credit(s) to the Customer’s account is not sufficient cause to withhold payment for invoices. A late fee of 1.5% per month will be applied to any unpaid account balance along with a processing fee of id="mce_marker"0 per month. Interruption of the Service may be experienced in the event that the account balance is not maintained in the manner described above.  In the event Customer is more than sixty (60) days in arrears, Customer grants CloudNet Group access to premises to acquire any equipment provided for the delivery of services provided under this agreement.

Section 4: Local Area Telephone Numbers

Local area telephone numbers are assigned according to the proximity of the address the Customer provides to CloudNet Group. However, it is the Customer’s responsibility to confirm whether the number(s) are in the local calling area of the Customer.  CloudNet Group does not assume responsibility for any of the Customer’s advertising cost or long distance fees due to a number not being within the local area of callers to the Service.

Section 5: 911 Softphones and Mobile Devices

As a provider of phone service accessible via softphones and mobile devices, CloudNet Group has a responsibility to inform its customers that by not providing CloudNet Group the Customer’s current address, all 911 calls made through CloudNet Group service from a softphone may not be transferred to an emergency center near the Customer. Instead, all 911 calls made through softphones will be transferred to an emergency center near the Customer’s last registered address. For this reason, it is important for the Customer to provide CloudNet Group with the Customer’s current address every time the softphone or mobile device is used from a fixed location.

Section 6: Service Issues – Scope of Responsibility

In the event of any service issues, CloudNet Group will assist the Customer with troubleshooting the problem’s source. However, some elements key to proper performance, including LAN, wiring, power, firewall, CPE, and ISP, are beyond the scope of CloudNet Group’s responsibility to effect repairs. The sole exception to the above is in the case where CloudNet Group is providing the Customer with managed WAN connectivity, whereupon the CPE and ISP do fall within the scope of CloudNet Group’s responsibility.

While CloudNet Group will offer telephone support to the Customer in diagnosing service issues outside the direct scope of its responsibility, such as those listed above, their ultimate repair will remain the responsibility of the Customer, their Installer, and/or the Customer’s 3rd-party IT vendor.  CloudNet Group can travel on site to resolve issues outside the scope of our responsibility; such support would be subject to standard CloudNet Group service call charges.

Some WAN issues, such as poor performance by Internet providers, are not the direct responsibility of CloudNet Group. However, in these cases, CloudNet Group will assist the Customer, their Installer, and/or the Customer’s 3rd-party IT vendor in working with any such providers to eliminate these issues.  CloudNet Group can travel on site to resolve issues outside the scope of our responsibility; such support would be subject to standard CloudNet Group service call charges.

Section 7: Lawful and Appropriate Use

It is specifically understood and agreed that the Customer shall be using the Service solely for lawful and appropriate purposes and the Customer hereby agrees to indemnify and hold CloudNet Group harmless from any and all claims, damages, losses or liabilities of any nature whatsoever arising out of or concerning the Customer's use in any manner of the Service provided herein. In the event that CloudNet Group is brought into or required to respond to any action arising from or concerning the Customer's activities, the Customer agrees to indemnify and hold CloudNet Group harmless from all arbitration, court and attorney's costs and fees.

CloudNet Group reserves the right to immediately discontinue, disconnect, limit, or revoke the Service without warning to the Customer should the Customer, at the sole discretion and determination of CloudNet Group, cause any type of activity or load which is incompatible with CloudNet Group’s network, causes quality of service issues, or otherwise impairs the ability of CloudNet Group to maintain or provide service to other customers. In the case that the Service is suspected of being misused by the Customer, including for fraudulent activity, CloudNet Group reserves the right at its sole discretion to immediately terminate the Service and inform the authorities that the Service is believed to have been used for inappropriate business. CloudNet Group shall not be liable for any direct or indirect damages resulting from a decision to discontinue, disconnect, limit, or revoke the Service with or without warning or for informing the authorities about the possibility of inappropriate business activities.

Section 8: Limited Warranty; Exclusions

For equipment purchased directly from CloudNet Group by the Customer, CloudNet Group will pass on to the Customer any applicable manufacturer’s warranty with respect to such equipment. For warranty repairs contact CloudNet Group customer service.

EXCEPT AS PROVIDED ABOVE, CloudNet Group MAKES NO WARRANTIES, EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, ANY IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS OF THE SERVICE OR EQUIPMENT FOR A PARTICULAR PURPOSE, OR NON-INFRINGEMENT, OR ANY WARRANTY ARISING BY USAGE OF TRADE, COURSE OF DEALING OR COURSE OF PERFORMANCE. IN ADDITION, CloudNet Group DOES NOT WARRANT THAT THE SERVICE OR EQUIPMENT WILL BE WITHOUT FAILURE, DELAY, INTERRUPTION, ERROR, OMISSION, DEGRADATION OF VOICE QUALITY, OR LOSS OF CONTENT, DATA, OR INFORMATION. ANY CLAIM AGAINST CloudNet Group MUST BE MADE WITHIN ONE YEAR OF THE EVENT GIVING RISE TO THE CLAIM OR 90 DAYS FROM THE TERMINATION OF SERVICE, WHICHEVER IS EARLIER, AND CloudNet Group SHALL HAVE NO LIABILITY THEREAFTER.

Section 9: Limitation of Liability

The Service is not guaranteed. Liability for interruption of the Service and/or a lack of quality of the Service, including but not limited to errors and omissions relating to a directory listing and CNAM, shall be limited to a maximum of the sum of two months charges for the Service. CloudNet Group reserves the right to interrupt the Service for maintenance and systems upgrades at its discretion.

CloudNet Group shall not be liable for any delay in the Service or performance directly or indirectly caused by or resulting from acts of God, fire, flood, accident, riot, war, government intervention, embargoes, strikes, labor difficulties, power failure, equipment failure, interruption of broadband or high-speed internet access, late delivery by suppliers, or other causes beyond the reasonable control of CloudNet Group.

IN NO EVENT SHALL CloudNet Group BE LIABLE FOR ANY SPECIAL, INCIDENTAL, INDIRECT OR CONSEQUENTIAL DAMAGES, INCLUDING BUT NOT LIMITED TO LOSS OF DATA, LOSS OF REVENUE OR LOSS OF PROFITS, ARISING OUT OF OR IN CONNECTION WITH THE USE OR INABILITY TO USE THE SERVICE OR EQUIPMENT PROVIDED HEREUNDER, WHETHER DUE TO A BREACH OF CONTRACT, BREACH OF WARRANTY, THE NEGLIGENCE OF CloudNet Group OR OTHERWISE, EVEN IF CloudNet Group IS ADVISED IN ADVANCE OF THE POSSIBILITY OF SUCH DAMAGES.

Section 10: Proprietary Rights; Restrictions

It is specifically understood and agreed that the Service and all programs and formats associated with the Service provided under these Terms and Conditions are CloudNet Group’s proprietary materials and information. It is also specifically understood and agreed that the Customer shall not, and shall not permit or encourage others to, without the prior written approval of CloudNet Group, copy, duplicate, communicate, disclose, modify, adapt, decompile, reverse engineer, disassemble, prepare derivative works of, or attempt to derive source code from the Service or any programs or formats associated with the Service covered by these Terms and Conditions.

Section 11: Changes to Service and Terms and Conditions

CloudNet Group reserves the right to make changes to these Terms and Conditions or the Service as a result of changes in applicable regulations or for other reasons in CloudNet Group’s reasonable discretion. In the event of such changes the Customer will be notified in writing and the Customer’s continued use of the Service following notice of the changes will constitute the Customer’s consent to such changes.

Section 12: Right to Identify Customer

It is specifically agreed that CloudNet Group may identify the Customer as a customer of CloudNet Group and include the Customer's name and any applicable logo in CloudNet Group’s marketing materials that identify CloudNet Group’s customers.  Customer may request at any time that CloudNet Group not use the Customer’s identity in marketing material at any time.

Section 13: Contract Term and Cancellation

You are entering into a “Term” agreement to maintain the Services for the period of time indicated on the “the Quote” that was signed to establish the Service.  If you cancel the Services without replacing or upgrading services of an equal or greater value, you will be charged an Early Termination Charge.  The Early Termination Charge will be 50% of the remaining number of months left in the Service Term multiplied by the Monthly Recurring Total of the Services.  The Term shall begin on the Service Start Date.

Customer may cancel this agreement within the first ninety (90) days of the Service Start Date without incurring Early Termination Charges.  If customer experiences service interruptions or service related problems that CloudNet Group is unable to correct within thirty (30) days of written notice by Customer, the Customer can cancel without incurring Early Termination Charges.  Hardware and other non recurring charges will not be refunded or credited if Services are canceled, once such hardware is delivered to Customer site.

Section 14: Hardware Upgrades

Phones and hardware purchased directly from CloudNet Group for the Services can be upgraded within the first (30) thirty days after Service Start Date.  CloudNet Group reserves the right to charge a restocking fee on hardware returned for upgrades beyond (30) days after the Service Start Date.

Section 15: Governing Law and Venue

These Terms and Conditions shall be governed by the laws of the State of Arizona and any disputes or controversy arising hereunder shall be arbitrated or adjudicated in Maricopa County, State of Arizona. The Customer hereby consents to personal jurisdiction for all claims of any nature concerning the Customer and CloudNet Group in Phoenix, Arizona and specifically consents to service of process being effectuated by certified mail at the Customer's address. In the event that any action is brought to enforce or construe any of these Terms and Conditions, or for the breach of these Terms and Conditions, or concerning the indemnification clause contained herein, the prevailing party shall be entitled to recover, in addition to all other damages, reasonable attorney's costs and fees.

Section 16: Customer Proprietary Network Information Notice

In providing services to you, CloudNet Group may collect certain information that is made available to us solely by virtue of our relationship with you, such as quantity, technical configuration, type, destination, location and amount of use of the telecommunications services you purchase. This information and related billing information is known as Customer Proprietary Network Information (CPNI). The Federal Communications Commission and other regulators require CloudNet Group to protect your CPNI.

In order to better serve your communications needs and to identify, offer and provide products and services to meet your requirements, we need your permission to share this information among our affiliates, agents and independent dealers who are responsible for supporting your account and as needed to provide such support. The protection of your information is important to us, and the CloudNet Group acknowledges that you have a right, and we have a duty, under federal and state law, to protect the confidentiality of your CPNI.

You have a right to keep your CPNI private by “opting out.” Unless you provide us with notice that you wish to opt out within 30 days of receiving this notice, we will assume that you give CloudNet Group the right to share your CPNI with the authorized affiliates, agents and independent dealers as described above. You may opt out by sending an email to  This e-mail address is being protected from spambots. You need JavaScript enabled to view it  with the subject " CPNI OPT OUT for ".

Furthermore, note that opting out will not affect the status of the services you currently have with CloudNet Group, but opting out may make it difficult for affiliates, agents and independent dealers to analyze and solve network and other issues related to your service and your user experience and call quality may be affected if these issues cannot be resolved.

Please be advised that if you do not opt out, your consent will remain valid until we receive your notice withdrawing it. If you wish to withdraw your consent at any time, you may do so by sending an email to  This e-mail address is being protected from spambots. You need JavaScript enabled to view it  with the subject "CPNI OPT OUT for ".

Section 17: Entire Agreement

These Terms and Conditions contain the entire understanding and agreement of the parties with respect to its subject matter and supersede all prior understandings or agreements regarding such subject matter. In the event of any conflict between these Terms and Conditions and the terms of any purchase order or acknowledgment, these Terms and Conditions shall control.