Bugs and Defects Clause Samples

Bugs and Defects. To the Knowledge of the Company, the Business Products perform substantially in accordance with the functional specifications and documentation provided to customers of the Company. The Company has not received notice of and does not have Knowledge of any material bugs, errors, non-conformities, or other problems or issues with respect to the Business Products, except as reported and resolved in the ordinary course of business without material liability to the Company. The Company has taken reasonable steps and implemented reasonable procedures (based on standard industry practices) to ensure that the Business Products are free from viruses and other disabling codes.

Bugs and Defects. Except to the extent that would not have a material adverse effect on the Company, (i) there are no material defects, malfunctions or nonconformities in any of the Company Products; (ii) there have been, and are, no claims asserted against the Company, any of its subsidiaries or any of its customers or distributors related to the Company Products; and (iii) none of the Company and its subsidiaries has been or is required to recall any Company Products.

Bugs and Defects. Seller is not aware of any material errors, bugs or defects with respect to any software, firmware, or hardware included in the Purchased Assets that will adversely affect the use or functionality of such owned software, firmware, or hardware.

Bugs and Defects. The Company has Made Available to Parent a list of all bugs in the Company Products currently outstanding (as of the date of this Agreement) that materially and adversely affects the security, privacy or performance of such Company Products. The Company Products do not contain any bug, vulnerability, defect, or error that would reasonably be expected to result in material liability to the Company or its Subsidiaries, or following the consummation of the Mergers, to Parent.

Bugs and Defects. There are no Critical Problems with any Company Product. For the purposes of the foregoing, “Critical Problem” means a bug, problem, defect, malfunction, nonconformity or error that materially and adversely affects the use, functionality, security or performance of such Company Product currently installed with customers for which the Company or any of its Subsidiaries is currently liable and which cannot be cured within a reasonable time. Except as set forth in Section 4.12(w) of the Disclosure Schedule, the Company and its Subsidiaries maintain a bug tracking database that contains records of all known Critical Problems, which is maintained by its development or quality control groups, with respect to the Company Products, and such database is current and complete. Section 4.12(w) of the Disclosure Schedule sets forth the name of such database and such database has been Made Available to Parent.