square florida fine

7/27/2019 Square Florida Fine

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3imSTATEOFFLORIDA

OFFICEOFFINANCIALREGULATION

INRESQUARE INC AdministrativeProceedingNo0321MR03Applicant

FNALORDERThe State of Florida Office of Financia Regulation Oficeand Square Inc

Applicant having entered into the attached Stipulation and Consent AgreementAgreement last dated 2013 resolving and concluding thismatter itistherefore

ORDERED

1 T L h 1 e Agreement entered into by the Office and Applicant last dateda013 is adopted and incorporated by reference herein as ifset forth atlength2 Theparties shal comply withall provisions ofthe incorporated AgreementDONEANDORDERED this dayof 2013 in Tallahassee

LeonCounty Florida

Dre JBreakspear C mmssionerOfficeofFinancia Regulation


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NOTICEOFRIGHTS

APARTYWHOIS ADVERSELY AFFECTEDBYTHIS FINAL ORDER ISENTITLED TO JUDICIALREVEWPURSUANT TO SECTION12068LORDASTATUTES REVEWPROCEEDINGS AREGOVERNEDBYTHEFLORIDARULESOFAPPELLATE PROCEDURE SUCH PROCEEDINGS ARE COMMENCED BYFLNGTHEORIGINAL NOTICE OF APPEAL WTHTHE AGENCY CLERKOFFICE OF FINANCIAL REGULATION GENERAL COUNSELSFFICE POSTOFFICE BOX 8050 TALLAHASSEE FLORIDA 32314050AND A COPYACCOMPANIEDBYFLNGFEESPRESCRIBEDBYLAWWITH THE DISTRICTCOURT OF APPEAL FIRST DISTRICT 2000 DRAYTONDRIVE TALLAHASSEEFLORIDA32399950ORWITH THE DISTRICT COURTOFAPPEAL INTHEAPPELLATEDISTRICTWHERETHEPARTYRESIDES THENOTICEOFAPPEALMUST BE FILEDWTHN30 DAYS OF RENDITION OF THEORDER TO BEREVIEWED

CERTIFICATEOFSERVCEIHEREBYCERTIFY thatarue and correct copyofthe foregoing Final Order has been

famshedviaeectronicmail this day of Jul 2013toSeanRuffEsqMorrison Foerster LLPSRuffnmofoomShardaCaroEsqSquare IncShardanaguareuncom

CounseforSquare Inc

FloridaOfficeofFinancial RegulationFletcherBuilding200 East Gaines StreetTallahassee Florida32399379


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STATEOFFLORIDAOFFICEOFFINANCIALREGULATION

INRESQUARE INC

Applicant

AdministrativeProceedingNo0321MR073STIPULATIONANDCONSENTAGREEMENT

The State of Florida Officeof Financia Regulation theOficeand Square IncApplicant collectively theParties in considerationofthe mutual promises herein recitestipulate and agree as folows

1 Background Applicant is aDeaware corporation headquartered in SanFrancisco California On November 13 2012 Applicant applied for aFlorida moneytransmtter licensewith the Officeunder Chapter 560 PartIIFlorida Statutes and the partieshave since then engaged in discussions The Partiesnowagree that the issues raised can beexpeditiously resoved and that litigation canbe avoded by their execution of this Stipulationand ConsentAgreementAgreement

2 Jurisdiction TheOffice is the state agencychazged with the admnistration andenforcement ofChapter 560 Part II Florida Statutes and the rules promulgated thereunderApplicant stipulates that the Office has jurisdiction to bring admnistrative action againstApplicant

3 Findings Applicant neither admts nor denies but consents to the Oficesfinding that Applicant engaged in business as amoney transmtter as that term is defined in

Section5600323lorida Statutes in the State ofFloridawithout first obtaining alicense


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under Chapter 560 Part IIFlorida Statutes from February 2010 toNovember 13 2012 invioation ofSection56004loridaStatutes Specifically the Office finds that Applicantsexisting payment processing services including Square Register and storedvauerepadaccesscard services requiredaicenseunder Floridalaw

4 ConsiderationTheparties acknowledge that they have read this Agreement andfully understand the rights obligations terms duties and responsibilities with respect to itscontents Therefore in compromise and settlement of this matter the Parties agree to thefollowing termsand conditionsa Comniancewith Chanter 560 Part II Florida Statutes Upon executionof thisAgreement and granting of its money transmtter license Applicant agrees tomaintain suchmoney transmtter licensewith the Office as long as it engages in the business of moneytransmssion for compensation in Florida and shal henceforth strictly comply with all

provisions ofChapter 560 PartIIFloridaStatutes and the rulespromulgated thereto Applicantfurther agrees toamend itsApplication for Licensureas aMoney ServicesBusiness increase its

surety bond and update its record keeping and reporting framework to conform with thisAgreement and asrequired by the Officeand in accordance with Floridalaw

b Admnistrative Fine Applicant shal pay an ADMINISTRATIVE FINE of5070000ivehundred and seventhousand dollars with the submssion of this Stipulationand Consent Agreement This admnistrative fine shal be submtted in the formof bankwretransfer tothe Department ofFinancia

Services Applicant agrees that1n accordance withsection 21531lorida Statutes regarding the deposit of monies that the tendered fine orsettlement checkproceeds may be deposited in advance of full executionoracceptance of the

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proposed settlementagreement and2uchdeposit shal not be construed asainal acceptanceofthe Stipulation absent full execution thereofand entryofhe Fina Order adopting same

c ApUroval ofapnlication TheOfficeagrees toapproveApplicantspplication forlicenseupon receipt ofpayment ofthe fine satisfactory compliancewith paragraph4boveand entry of the Final Order In the event that prior to entry of the Final Order adopting thisAgreement the Officediscoversadditional informationnot set forth herein which is adverse to

the Applicantspplication for registration the Office shal not be bound by the termsof thisstipulation and may deny the applicationandoeek anyother remedy allowedby applicablelaw including any remedy based onthe allegations set forth inthisStipulation5 Final Oder Respondent consents to the issuance by the Office of theaccompanying Final Order attachedhereto as ExhibitAhich incorporates by reference theterms ofthisAgreement Respondent understands and agrees that thisAgreement is subject to

the final approval ofthe Commssionerofthe OfficeofFinancia Regulation and the entry oftheFina Orderadopting same In the event that the Fina Order isnot entered thisAgreement shal

be null and void

6 Waiver By Applicantsonsent to the entry of the Final Orderwith respect tothis proceeding Applicant knowingly and voluntarily waivesa any right toanadmnistrative hearingprovided by Chapter 120 FloridaStatutesb anyrequirement that theOfices inal order containseparately stated Findings of

Fact andConclusionsofLaworaNoticeofRightsc any right toissuanceofaecommendedorderbyanAdmnistrativeLawJudge

from the DepartmentofAdmnistrativeHearings oraHearing OfficerfromtheOffice and

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d anyand all rights toobject toorchallenge inanyjudicial proceeding includingbut not limtedtoanappeal pursuant tosection12068loridaStatutes anyteencondition obligationorduty expressly createdby the Final Order

7 Releases Upon fullexecution ofthisAgreement Applicant waives and releasestheOfices agents and representatives and employees from any and all causesof action thatApplicant mayhave arising fromorrelating to the subjectmatterhereof except with respect toenforcementof thisAgreement TheOffice agrees toaccept this release onbehalfof itself its

agents representatives and employees without acknowledging and expressly denying that anysuchcauseorcausesofactionmayexist

8 Failure to Comply Applicant acknowledges concursand stipulates that itsfailure to comply with anyof the terms obligations and conditions of thisAgreement and the

Fina Order adopting it is avioation of the written agreement and the Final Order enteredpwsuant toChapters 120 560 PartIIFloridaStatutes Suchnonompliancemay result inthe issuance ofanemergencycease and desistorder However nothing hereinshal be construed

to limtApplicantsight tocontest any findingordetermnationofcompliance9 Attorneys Fees Each party hereinshal be solely responsible for its attorneysfees and costs incurredup toandincluding entry ofthe FinalOrder inthismater10 Severability Applicant agrees that ifany provision of this Agreement orthe

application thereofto anypersonorcircumstance is invalid the invalidity shal not affect otherprovisions ofthe Agreement orthe Final Order adopting it which shal be given effectwithoutthe invalidprovisionsnd tothis end the provisions ofthisAgreementareseverable

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11 AreementCovered bytheLawoftheStateofForidaThis Agreement andperformance hereunder and all suits and special proceedings hereunder shal be construed in

accordance with the lawsofthe StateofFlorida

12 Venue In any action special proceeding orother proceedings that may bebrought arising outof in connectionwithorby reasonofthisAgreement the laws ofthe Stateof Floridashal be applicable and shal govern to the exclusionof the lawof anyother forumandvenueshal be in LeonCounty Florida

13 CorporateAuhority The undersigned representative of Applicant has full

authority toenter into and bindApplicant to the terms and conditions of this Stipulationand

ConsentAgreement14 EntireAgreement This Agreement represents the entire agreement by and

betweenApplicant and the Office Any alterations variations changes modificationsorwaiversoftheprovisions hereofshal be valid only when they have been reducedtowritingduly signed

by theOfficeand Respondent heretoand attachedto the original ofthisAgreementWHEREFORE the undersigned parties hereby acknowledge andagree to the terms and

conditionsofthe foregoing Applicant for the issuance ofthe attachedFinal Orderonthe lastdate

executed below

Thespace belowis intentionally leftblankwith signatures appearingonpage7

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BY SQUARE INCBy

SignatureIts FO

Titlecam flierPrintName

StateofenaCounty of un

3j3Date

Beforemehe undersigned notary public personally appeared alt tin asjF O ofSquare Inc whouponbeing dulyswornstates thatseas read

and understands the Foregoing Stipulation and voluntarily signed sameSworn toand subscribedbeforemehis day of 2013

MaryPublic ZDYPpZ

PersonallyKnown ORProduced Identification

Type ofIdentificationProduced ipEBY OFFICEOFFINANCIALREGULATIONYLCrGQ 1 SGREGORYC AKS Date

Director Dvisionof onsumerFinanceOfficeofFinancia Regulation

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EXHIBITA

STATEOFFLORIDAOFFICEOFFINANCIALREGULATION

INRESQUARE INC

Applicant

AdministrativeProceedingNo0321MR073FINALORDER

The State of Florida Office of Financia Regulation Oficeand Square IncApplicant having entered into the attached Stipulation and Consent AgreementAgreement last dated 2013 resolving and concluding thismatter it istherefore

ORDERED

1 The Agreemententered into by the Office and Applicant last dated

2013 is adopted and incorporated by reference herein as ifset forth atlength

2 The parties shal comply with all provisions ofthe incorporated AgreementDONEANDORDERED this day of 2013 inTallahassee

LeonCounty Florida

DrewJBreakspear CommssionerOfficeofFinancial Regulation

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NOTICEOFRIGHTS

APARTYWHO IS ADVERSELY AFFECTED BYTHSFNALORDER ISENTITLED TO JUDICIAL REVIEW PURSUANT TO SECTION12068LORIDASTATUTES REVIEWPROCEEDINGSAREGOVERNEDBYTHEFLORIDARULESOF APPELLATE PROCEDURE SUCH PROCEEDINGS ARECOMMENCED BYFILING THEORIGINAL NOTICE OF APPEAL WTHTHE AGENCY CLERKOFFICE OF FINANCIAL REGULATION GENERAL COUNSELSFFICE POSTOFFICE BOX 8050 TALLAHASSEE FLORIDA 32314050AND ACOPYACCOMPANIEDBYFLNGFEESPRESCRIBED BYLAWWTHTHE DISTRICTCOURT OF APPEAL FIRST DISTRICT 2000 DRAYTONDRIVETALLAHASSEEFLORIDA32399950ORWITH THEDISTRICT COURT OFAPPEAL IN THEAPPELLATEDISTRICTWHERETHEPARTYRESIDES THENOTICEOFAPPEALMUST BE FILEDWTHN30 DAYS OF RENDITION OF THEORDER TO BEREVIEWED

CERTIFICATEOF SERVICE

IEREBYCERTIFY that atrue and correct copyofthe foregoing Fina Order has beenfurnishedviaeectronicmail this day of 2013to

SeanRuffEsqMorrison FoersterLLPSRucoomShardaCaroEsqSquare IncShadacguaeuncomCounseforSquare Inc FloridaOfficeofFinancial Regulation

FletcherBuilding200East Gaines StreetTallahasseeFlorida32399379

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