Common use of REMEDY OF DEFECTS Clause in Contracts

REMEDY OF DEFECTS. (a) If the BUILDER is liable for a defect as aforesaid, the liability is limited to remedy the defect free of charge at its own yard. The BUILDER shall under any and all circumstances not be liable for any damage caused by the defect. (b) From the performance of the repair, a new warranty period of six (6) months from the date of such repair or until the end of the said twelve months period shall attain for the repair work, whichever is the longest, provided that the Guarantee Period shall not in any case exceed eighteen (18) months. (c) If it is impractical to bring the VESSEL to the BUILDER’s yard, the BUYER may, after having notified the BUILDER in writing, cause the necessary repairs or replacements to be made elsewhere. In such a case, the BUILDER shall be entitled to forward the necessary replacement parts or materials. The BUILDER’s liability shall in such a case be limited to pay the cost of the repairs, but limited to the price of the work at arm’s length basis at the BUILDER’s yard. The BUILDER shall immediately be discharged from any further guarantee obligation in respect of any such repairs performed by any other yard or supplier. (d) The VESSEL shall in any case be taken at the BUYER’s cost and expense to the place elected for repair, ready in all respects for repair or replacements. (e) The BUILDER shall have ownership to all replaced parts, and the BUYER shall return any such parts to the BUILDER at the BUILDER’s request and for the BUILDER’s account. Ulstein Verft AS ▇.▇. ▇▇▇ ▇▇▇, ▇-▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇, ▇▇▇▇▇▇ Tel. +▇▇ ▇▇▇▇ ▇▇▇▇. Fax +▇▇ ▇▇▇▇ ▇▇▇▇ Ent. No: 912 447 561 ▇▇▇.▇▇▇▇▇▇▇.▇▇▇

REMEDY OF DEFECTS. (a) If the BUILDER is liable for a defect as aforesaid, the liability is limited to The ▇▇▇▇▇▇ shall remedy the defect at its expense free of charge at its own yardto the BUYER any defects, against which the VESSEL or any part of the equipment thereof is guaranteed under this Article by making all necessary repairs and/or replacement. Such repairs and/or replacement will be made by the SELLER. The BUILDER shall under any and all circumstances Seller will provide another 12 months guarantee for the replaced parts, however the maximum guarantee period will not be liable for any damage caused by exceed 18 months after the defect. (b) From the performance delivery of the repairvessel. However, a new warranty period of six (6) months from the date of such repair or until the end of the said twelve months period shall attain for the repair work, whichever is the longest, provided that the Guarantee Period shall not in any case exceed eighteen (18) months. (c) If if it is impractical to bring make the VESSEL to repair by the BUILDER’s yardSELLER, and if forwarding by the SELLER of replacement parts, and materials cannot be accomplished without impairing or delaying the operation or working of the VESSEL, then, in any such event, the BUYER may, after having notified may subject to the BUILDER SELLER’s consent in writing, not to be unreasonably withheld, cause the necessary repairs or replacements to be made elsewhere. In such a case, elsewhere at the BUILDER shall be entitled to forward the necessary replacement parts or materials. The BUILDER’s liability shall in such a case be limited to pay the cost discretion of the repairsBUYER, but limited to the price of the work at arm’s length basis at the BUILDER’s yard. The BUILDER shall immediately be discharged from any further guarantee obligation in respect of any such repairs performed by any other yard or supplier. (d) The VESSEL shall in any case be taken at the BUYER’s cost and expense to the place elected for repair, ready in all respects for repair or replacements. (e) The BUILDER shall have ownership to all replaced parts, and provided that the BUYER shall return any first give the SELLER notice in writing by letter, telefax, or telex of the time and place such parts repairs will be made and, if the VESSEL or her operation or working is not thereby delayed or impaired, the SELLER shall have the right to verify by its own representative(s) or that of Classification Society the nature and extent of the defects complained of. The SELLER shall, in such cases, promptly advise the BUYER, by telex, after such examination has been completed, of its acceptance or rejection of the defects as ones that are subject to the BUILDER guarantee herein provided. In all minor cases, the Guarantee Engineer(s), as hereinafter provide for, will act for and on behalf of the SELLER. Upon the SELLER’s acceptance of the defects as justifying remedy under this Article, or upon award of the arbitration so determining, the SELLER shall pay to the BUYER in freely transferable United States Dollars, whatever actual costs for such repairs or replacements, including forwarding charges, as either agreed or awarded by the arbitration tribunal to the BUYER, same not to exceed the costs of effecting such repairs in a average shipyard in China. Any dispute under this Article shall be referred to arbitration in accordance with the provisions of Article 13 hereof. Any liabilities outstanding at the BUILDER’s request and for end of the BUILDER’s account. Ulstein Verft AS ▇guarantee period, shall be settled within thirty (30) days after the amounts have been agreed between the parties or in case of disagreement, upon publication of the Arbitration Award.▇. ▇▇▇ ▇▇▇, ▇-▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇, ▇▇▇▇▇▇ Tel. +▇▇ ▇▇▇▇ ▇▇▇▇. Fax +▇▇ ▇▇▇▇ ▇▇▇▇ Ent. No: 912 447 561 ▇▇▇.▇▇▇▇▇▇▇.▇▇▇

REMEDY OF DEFECTS. (a) If the BUILDER is liable for a defect as aforesaid, the liability is limited to remedy the defect free of charge at its own yard. The BUILDER shall under any and all circumstances not be liable for any damage caused by the defect. (b) From the performance of the repair, a new warranty period of six (6) months from the date of such repair or until the end of the said twelve months period shall attain for the repair work, whichever is the longest, provided that the Guarantee Period shall not in any case exceed eighteen (18) months. (c) If it is impractical to bring the VESSEL to the BUILDER’s yard, the BUYER may, after having notified the BUILDER in writing, cause the necessary repairs or replacements to be made elsewhere. In such a case, the BUILDER shall be entitled to forward the necessary replacement parts or materials. The BUILDER’s liability shall in such a case be limited to pay the cost of the repairs, but limited to the price of the work at arm’s length basis at the BUILDER’s yard. The BUILDER shall immediately be discharged from any further guarantee obligation in respect of any such repairs performed by any other yard or supplier. (d) The VESSEL shall in any case be taken at the BUYER’s cost and expense to the place elected for repair, ready in all respects for repair or replacements. (e) The BUILDER shall have ownership to all replaced parts, and the BUYER shall return any such parts to the BUILDER at the BUILDER’s request and for the BUILDER’s account. Ulstein Verft AS ▇.▇. ▇▇▇ ▇▇▇, ▇-▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇, ▇▇▇▇▇▇ Tel. +▇▇ ▇▇▇▇ ▇▇▇▇. Fax +▇▇ ▇▇▇▇ ▇▇▇▇ Ent. No: 912 447 561 ▇▇▇.▇▇▇▇▇▇▇.▇▇▇▇ Shipbuilding Contract