Endemic defects Sample Clauses

The 'Endemic defects' clause defines how defects that are widespread or inherent in a particular product, technology, or process are addressed within an agreement. Typically, this clause clarifies that the supplier is not liable for defects that are common to all items of a certain type, rather than unique faults in the specific goods or services provided. For example, if a software library has a known bug affecting all users, this would be considered an endemic defect. The core function of this clause is to allocate risk by distinguishing between general, industry-wide issues and specific, supplier-caused problems, thereby limiting the supplier's liability for defects beyond their control.
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Endemic defects. An endemic defect refers to the same defect affecting at least five percent (5%) of a type of product delivered by the Supplier, meas- ured on a continuous period of twelve (12) consecutive months from delivery of the first product, up to three (3) years after the date of delivery of the final product. Notwithstanding the other provisions of Article 8 of the present Terms and Conditions of Purchase, the Supplier expressly undertakes to present an anal- ysis and an action plan, in the format defined by us, to correct any endemic defect that is notified by us within seven (7) working days of our notification. The action plan shall be implemented under a deadline that will be mutually defined by the Parties, depending on the nature of the endemic defect. Fail- ing an agreement between the Parties, implementation of the action plan shall be carried out by the Supplier within seven (7) working days of the pres- entation of the action plan. If an endemic defect affects the same product under one or more orders, the Supplier shall replace all identical products mentioned in the order(s). In all cases, the Supplier shall solely bear the costs including, but not limited to, cost of logistics and cost of possible dismantle / removal and mounting of the products. In case of repair of an endemic defect on a product, the remaining warranty period for said product will be extended for a period of twelve (12) months from the reception by us of the product repaired.