Donor Agreement

Cauze Charitable Fund is a 501(c)(3) public charity under the U.S. Internal Revenue Code (the “IRC”) who manages and maintains donor advised funds (“DAFs”). This Program is intended to assist donors (whether individuals or entities, who may be referred to in this Agreement as “account holders,” “members,” “you,” or “your”) in understanding both the benefits of participating in Cauze’s DAF program, and the important policies, procedures, rules and restrictions associated with establishing and maintaining a DAF account with Cauze. Donor participation in the Program is subject to the terms and conditions of this Agreement, and by establishing a DAF account with Cauze, you agree to accept and be bound by this Agreement. Subject to Internal Revenue Service (“IRS”) rules and guidelines governing the operation of DAFs, Cauze reserves the right to modify the Program and this Agreement at any time. In the event of any such modification, this Agreement will be updated and published on Cauze’s website at www.cauze.com or the Cauze app (the “Site”), specifically at https://www.cauze.com/terms-of-service .

Cauze is not limited to U.S. donors. All figures in this Agreement are in U.S. dollars.

01 - INTRODUCTION TO DONOR ADVISED FUNDS

The Site allows you to create your own charitable fund by opening a DAF account with Cauze. A DAF account is a charitable giving vehicle administered by a third party (Cauze) and created for the purpose of managing charitable donations on behalf of an organization, family, or individual. A DAF account offers you the opportunity to create an easy-to-establish, low cost, flexible vehicle to facilitate your charitable giving. While donors can enjoy administrative convenience, cost savings, and tax advantages by conducting their grant-making through a Cauze DAF account, the DAF account is not a “private foundation” as that term is defined by the IRC. Once funds are donated to Cauze through a contribution to a Cauze DAF account, the funds will be tracked on the books of Cauze as attributable to funds contributed by that particular donor, the funds will be owned and controlled by Cauze, and Cauze has the ultimate authority over how the assets in all Cauze DAF accounts are invested and distributed. Donors may not impose restrictions or conditions on the assets in their Cauze DAF account. However, the donor, or one or more persons appointed or designated by the donor (each a “donor advisor”), will have “advisory privileges” over the distribution of funds within the donor’s Cauze DAF account. This means that the donor (or his or her donor advisor(s)) will have the right to provide advisory recommendations and suggestions to Cauze as to the U.S.- based 501(c)(3) public charities to receive distributions (i.e., “grants”) from the donor’s Cauze DAF account. Cauze is not obligated to follow these recommendations, however, and will only do so if the recommended organization meets the criteria set forth in this Agreement.

Contributions to a Cauze DAF account can be made at any time, are irrevocable, are permanent gifts to Cauze , cannot be returned or withdrawn, and are immediately tax deductible to the fullest extent provided by U.S. law, subject to individual and corporate limitations.*

* Availability of certain U.S. federal income tax deductions is limited to U.S. donors and may depend on whether you itemize deductions or not. Rules and regulations regarding tax deductions for charitable giving vary at the state level. Please check with your tax advisor. Tax deductions discussed herein refer specifically to U.S. federal taxes.

02 - ATTRIBUTES OF A DONOR ADVISED FUND

Cauze DAF account holders have the opportunity to:

• Make direct, irrevocable charitable contributions to their Cauze DAF account via various online methods of payment.

• When this program is established, drive dollars to their Cauze DAF account through employer matching programs.

• Recommend grants to a broad selection of other qualified U.S.-based charities that are IRS approved, and in good standing, anywhere in the U.S., on the member’s own timetable.

• Depending on eligibility based on the member’s individual tax circumstances, receive a charitable deduction for direct contributions made to the member’s Cauze DAF account.

All donor funds established with Cauze are subject to Cauze’s “variance power.” 
The variance power gives Cauze the authority to modify any donor recommendation 
or condition on grants from an account for any specified charitable purpose or to any specified charitable organization if, in the sole judgment of Cauze, such recommendation or condition becomes unnecessary, incapable of fulfillment, or inconsistent with this Agreement. All contributions to Cauze and grant recommendations are subject to the review and approval of Cauze and its Board of Directors. Cauze Directors may delegate any of their powers and authority under this Program to employees, agents, or other representatives of Cauze .

03 - ESTABLISHING A CAUZE DAF ACCOUNT

Eligible Account Holders:

• Any individual or organization located anywhere in the world is eligible to become a Cauze DAF account holder.

Opening an Account:

• Unlike many other organizations that manage and maintain DAFs and that require an initial minimum contribution (often thousands of dollars) in order to establish an account, Cauze permits a Cauze DAF account to be opened with an initial contribution in any amount. The account can be established by creating an account on the Site.

Designating Donor Advisor(s):

• At any point after your account has been established, you will have the opportunity to designate other persons who you authorize to make grant recommendations on your behalf with respect to a specific amount of your account balance. For example, you may wish to donate $100.00 to your DAF account, designate 20 friends as your donor advisors, and give each of them the right to recommend a grant in the amount of $5.00. You will be required to provide an email address or cell phone number for each donor advisor you designate, and Cauze will send instructions to them about how to make grant recommendations. Once the donor advisor has made a recommendation, his or her advisory rights with respect to your DAF account will terminate. If you do not appoint any other persons to make grant recommendations on your behalf, you, as the named account holder, will be the only person or entity who can make grant recommendations with respect to the funds in your Cauze DAF account.

In the case of a donor organization, the donor advisor is the recipient of a gift, and they are able to search for charities or give to trending/curated cauzes via the site, or they can accept the gift into their cauze account and gift it at a later time.

04 - CONTRIBUTIONS TO CAUZE DAF ACCOUNTS

Contributions may be made to your Cauze DAF account by any means of electronic payment currently offered by Cauze (such as credit card, wire, PayPal, or direct debit from your bank account) via the Site, or in some cases via check. You may also have the opportunity to drive additional dollars to your Cauze DAF account by purchasing merchandise from retail or corporate partners or through employer matching grants, if your employer participates in the Cauze employer matching program. These dollars will appear in your Cauze DAF account balance at the Site and will be held by Cauze until you have recommended a qualified charity to receive the funds that is approved by Cauze or the account has been terminated in accordance with the terms and conditions set forth in this Agreement

05 - CONTRIBUTIONS ARE IRREVOCABLE

Once a contribution is accepted by Cauze, it is an irrevocable charitable contribution to Cauze. Accepted contributions are not refundable. However, to the extent dollars in your Cauze DAF account are attributable to donations made on your behalf by retail and corporate partners, returning the merchandise will cause your Cauze DAF account to be debited the amount that was previously contributed on your behalf.

06 - CHARITABLE INCOME TAX DEDUCTION

If you are a U.S. taxpayer, you may be eligible for an itemized U.S. income tax charitable deduction on the date that you make your direct contribution to Cauze if it is processed and accepted, subject to applicable limits under federal law. If you are not a U.S. taxpayer, you may not be eligible for such a deduction. Donations made to your Cauze DAF account by retail and corporate partners or employers may not be deducted from your taxable income. Notwithstanding anything in this Agreement to the contrary, you specifically acknowledge and agree that nothing in this Agreement constitutes or should be construed as legal or tax advice, and that you should consult your own legal or tax advisor about your personal situation.

07 - NON-INTEREST BEARING ACCOUNTS; NO ADVISORY PRIVILEGES REGARDING INVESTMENT OF FUNDS

All DAF accounts at Cauze are non-interest bearing. Donors have no advisory privileges over how funds in their Cauze DAF accounts are invested, nor do donors have any ability to select or recommend investment options or provide advice on distributions from types of investments. All assets contributed to Cauze DAF accounts will be managed by Cauze or a delegate of Cauze. Cauze funds may be pooled for investment purposes. Cauze’s Board of Directors or a delegate of Cauze’s Board of Directors makes investment decisions for all assets of the Cauze. IRS and Treasury regulations prevent fund donors (those who establish a fund) from making specific investment decisions.

08 - GRANT RESTRICTIONS

U.S. Public Charities:

Grants can be made only to U.S. charitable organizations recognized by the IRS as 501(c)(3) public charities described in IRC Section 509(a)(1) or 509(a)(2), and that are in good standing (i.e., whose exempt status has not been revoked). Grants cannot be made to private foundations, IRC Section 509(a)(3) supporting organizations, individuals, or employer-sponsored disaster relief funds.

Non-U.S. Charitable Organizations:

Cauze does not distribute grants to non-U.S. charitable organizations.

Pledge & Private Benefit, Etc.:

Grants may not be used for any pre-existing pledge or any private benefit (such as school tuition or scholarships sent directly to individuals), dues, membership fees, tickets, or goods bought at charitable auctions. Grants may not be used to directly or indirectly provide more than incidental benefit to any donor, donor advisor, related person (i.e., family), or 35% controlled entity. Grants may not provide an excess benefit to any donor, donor advisor, related person, or 35% controlled entity. Grants also may not be used for lobbying, political contributions, or to support political campaign activities.

Scholarships:

Grants may be made to an educational institution generally (so long as such institution meets the criteria set forth above under “U.S. Public Charities”) and then applied, by the institution, for scholarship purposes. The Cauze DAF account holder may not choose the individual who receives the scholarship, and scholarship grants cannot follow a particular student chosen by the account holder.

Compliance:

To the extent that Cauze is aware of an improper purpose, Cauze will reject any grant recommendation for improper purposes and will take remedial action if Cauze discovers that improper grants have been made. Action may include, but not be limited to, requiring that the grant be returned.

09 - RECOMMENDING A GRANT

As a Cauze DAF account holder, you have the right to recommend grants from your Cauze DAF account to qualified charitable organizations. Grant recommendations can be made online at any time via the Site. Subject to the restrictions stated in Section 8 above, you may request that a grant be made to any charity that is listed on the Site. Cauze retrieves the list of charities that appears on the Site from IRS data sources (such as IRS Publication 78 data and/or the IRS Exempt Organizations Business Master File). Charities featured on the Site are listed merely for informational purposes; the existence of the featured charities does not constitute a solicitation of donations. Cauze is not soliciting donations for featured charities. Cauze has not entered into a contract with a featured charity providing for solicitation and do not receive any compensation from any featured charity. Cauze will review your completed and submitted recommendation to ensure that the proposed grant is consistent with charitable purposes within the meaning of IRC Section 501(c)(3) and that the recommended charitable organization satisfies the criteria set forth in Section 8 above.

Recommendations for grants are advisory only and are not binding on Cauze. Cauze reserves the right to deny a grant recommendation and will generally notify you of the denial within 30 days with a request that you provide a recommendation for a grant to an alternative charitable organization. Grants are processed on a monthly basis. If other members have requested grants to the same eligible charity(s), these grants are aggregated and one payment is made to the charity(s). Due to the costs associated with processing small donations, Cauze reserves the right to reserve disbursement of funds until the aggregate sum is greater than $20.00.

10 - GRANT AMOUNT & NUMBER LIMITS

Amount:

Cauze will consider grant recommendations as low as $1.00 and as high as the full balance of your Cauze DAF account.

Number of Grants:

Cauze allows members to recommend an unlimited number of grants in any fiscal year (January 1 – December 31)

11 - MINIMUM GRANT ACTIVITY

Cauze encourages all members to make grant recommendations on a regular and continuous basis throughout the year – after all, this is the best way to ensure that the funds in your Cauze DAF account achieve immediate charitable impact – but, at a minimum, Cauze requires that at least 5% of each DAF account be distributed over the course of a consecutive 12 month period. Cauze monitors account activity on a regular basis to ensure that the minimum distribution requirement is met and flags accounts that are in danger of not meeting the requirement. If your account is flagged, Cauze will contact you via e-mail as your minimum distribution deadline approaches and encourage you to make grant recommendations.

If you fail to make grant recommendations by the deadline, but have otherwise had account activity over the course of the past 12 months (such as logging in, making a direct donation, or receiving amounts in your account through donations by retail and corporate partners or employer matching programs), Cauze will maintain your account in active status but will distribute 5% of the balance of your account in one of the following ways, as determined in Cauze’s sole discretion: (a) to one or more organization(s) that have previously received distributions from your Cauze DAF account, as long as such organization(s) still satisfy the criteria set forth in Section 8 above; or (b) to Cauze’s general charitable operating fund (a Cauze grant making program where funds will be distributed by the Cauze to meet charitable needs identified by Cauze), subject to administrative fees and transaction processing fees described below.

If you fail to make grant recommendations by the deadline, and your account has otherwise been inactive over the course of the past 12 months, your account will be terminated and 100% of the account balance will be distributed as set forth in Section 12 below.

12 - INACTIVE ACCOUNTS

An account will be deemed inactive if over a consecutive 12 month period there is no activity in the account such as logging in, making a direct donation, receiving amounts in the account through donations by retail and corporate partners or employer matching programs, or making a grant recommendation. Cauze will make reasonable efforts to contact the account holder via e-mail prior to the end of such 12 month period and encourage him/her to engage in some activity with the account. If the account holder(s) does not respond, Cauze will terminate the account and distribute the account balance to one or more organization(s) that satisfy the criteria set forth in Section 8 above, as determined by Cauze in its sole discretion.

13 - RECORD KEEPING & REPORTING

Cauze will provide confirmations of all account transactions, usually within two business days after the transaction. Contribution confirmations serve as your receipts, and should be kept with your tax records.

14 - APPLICABLE FEES

CONTRIBUTION PROCESSING FEE: For all contribution transactions, a transaction processing fee of approximately 2.2% of the amount of the contribution + $.30 per transaction is payable by the associated account holder to Cauze (these fees may vary, depending on the transaction processing fees charged by third-parties). Cauze’s policy requires the account holder to pay this transaction processing fee up-front at the time of the contribution to the DAF account. Cauze reserves the right to change the transaction processing fee and this policy at any time.

ADMINISTRATIVE FEES: Except for grants from an account holder’s Gift Balance account (as set forth below), in order to offset Cauze’s administrative cost of managing and maintaining its DAF accounts and use of the Cauze Platform, Cauze currently charges an administrative fee of 2.5% of the amount of each grant made by an account holder, except to the extent the account holder’s account has been designated and verified as affiliated with an Cauze organization member, in which case Cauze will waive the administrative fee associated with such account holder’s grants. Cauze reserves the right to change the amount of the applicable administrative fee at any time.

Gift Balance Account Transactions: To the extent an account holder elects to make a grant using a Gift Balance account associated with their DAF account, Cauze currently charges an administrative fee of between 5% and 10% of the grant amount. Cauze reserves the right to change the amount of the applicable administrative fee at any time.

The following example illustrates how Cauze’s current processing fee and administrative fee policies work for contributions and grant recommendations:

When a contribution of $20.00 is made, the account holder will be charged $20.74 (based on a processing fee of 2.2% of the $20.00 contribution + $.30). $20.00 will be credit to the account holder's Cauze DAF account, for distribution to qualified charities, and $0.74 would be credited to Cauze (or the relevant third-party processor). Subject to applicable limits under U.S. tax law, if the account holder is a U.S. taxpayer, the full amount of the charge (i.e., $20.74) would be eligible for an itemized U.S. income tax charitable deduction.

Subsequently, unless an account holder wishes to use a Gift Balance account for a grant, when a grant of $20.00 is made to a qualified charity by an account holder, $19.50 will be distributed to the qualified charity and $.50 will be credited to the Cauze’s general operating funds to account for the administrative fee. If the account holder has been designated and verified as affiliated with an Cauze organization member, the full $20.00 will be distributed to the qualified charity.

If the account holder wishes to make the $20.00 donation to a qualified charity from their Gift Balance account, then $18.30 would be distributed to the qualified charity and $1.70 would be credited to the Cauze’s general operating funds to account for the administrative fee.

15 - ONLINE ACCOUNT ACCESS

Cauze DAF account holders may access their account online via the Site or the Cauze mobile app at any time by logging in with the username and password created at signup.

Since members can access account information on their own at any time via the Site, Cauze’s current policy (which is subject to change at any time) is that Cauze will not separately e-mail or otherwise provide statements to members reporting account information about the member’s Cauze DAF account. However, as noted in Sections 11 and 12 above, Cauze will contact members via e-mail in the event an account is in danger of not meeting the minimum distribution requirement and/or of being deemed inactive. Each Cauze DAF account holder is responsible for making recommendations via the Site using their username and password and each Cauze DAF account holder is responsible for ensuring the security of their username and password. Each Cauze account holder is responsible for all activities occurring under their email address.

16 -ADDITIONAL INFORMATION

If you have any questions about this Agreement, please direct them to: information@cauzecharitable.org

Information concerning Cauze may also be obtained, without cost, by writing to its principal place of business at the following address:

Cauze Charitable Fund

1306 West Eastman Street, Boise, ID 83702