Common use of Supplier’s Default Clause in Contracts

Supplier’s Default. 12.3.3.1 If, under a standard warranty, MTBUR guarantee or Service Life Insurance obtained by the Seller under the After-Sale Clauses of the General Conditions for the Procurement of Equipment, a Supplier fails to fulfil its obligations in respect of a material, workmanship or design defect in any accessory, equipment or part (other than the Engines, Cowlings, Accessories and Additional Engine Equipment) assembled on an Aircraft at the time of delivery, and provided that the Buyer furnishes the Seller with proof that such defect has appeared, the standard warranty and the MTBUR Guarantee or the Service Life Insurance, as applicable, set forth in Sections 12.1, 12.2 and 12.3.2 of the Agreement, will apply to the defect in question in the same way as if the accessory, equipment or part had been manufactured according to the detailed plans and/or the Specifications of the Seller, except with regard to the duration of the warranty, which will be the Supplier’s warranty period indicated in the Suppliers Product Support Agreement. At the Seller’s request, the Buyer will transfer all the rights to repair such defect arising from the above default to the Seller, which will then be subrogated towards the Supplier.