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1. liability for bodily injury (including death) or damage to real property and tangible
personal property will be limited to that caused by IBM's negligence; and
2.
as to any other actual damage arising in any situation involving nonperformance by
IBM pursuant to, or in any way related to the subject of this Statement of Limited
Warranty, the charge paid by you for the individual Machine that is the subject of
the claim. For purposes of this item, the term "Machine" includes Machine Code and
Licensed Internal Code ("LIC").
Arbitration: The following is added under this heading
Disputes arising out of or in connection with this Statement of Limited Warranty shall
be finally settled by arbitration which shall be held in Bangalore, India in accordance
with the laws of India then in effect. The arbitration award shall be final and binding
for the parties without appeal and shall be in writing and set forth the findings of fact
and the conclusions of law. The number of arbitrators shall be three, with each side to
the dispute being entitled to appoint one arbitrator. The two arbitrators appointed by the
parties shall appoint a third arbitrator who shall act as chairman of the proceedings.
Vacancies in the post of chairman shall be filled by the president of the Bar Council
of India. Other vacancies shall be filled by the respective nominating party. Proceedings
shall continue from the stage they were at when the vacancy occurred. If one of the parties
refuses or otherwise fails to appoint an arbitrator within 30 days of the date the other
party appoints its, the first appointed arbitrator shall be the sole arbitrator, provided that
the arbitrator was validly and properly appointed. All proceedings shall be conducted,
including all documents presented in such proceedings, in the English language. The English
language version of this Statement of Limited Warranty prevails over any other language
version.
JAPAN
Governing Law: The following sentence is added to this Section:
Any doubts concerning this Statement of Limited Warranty will be initially resolved between
us in good faith and in accordance with the principle of mutual trust.
MALAYSIA
Limitation of Liability: The word "SPECIAL" in item 3 of the fifth paragraph is deleted.
NEW ZEALAND
What this Warranty Covers: The following paragraph is added to this Section:
The warranties specified in this section are in addition to any rights you may have under
the Consumer Guarantees Act 1993 or other legislation which cannot be excluded or limited.
The Consumer Guarantees Act 1993 will not apply in respect of any goods which IBM
provides, if you require the goods for the purposes of a business as defined in that Act.
Limitation of Liability: The following is added to this Section:
Where Machines are not acquired for the purposes of a business as defined in the Consumer
Guarantees Act 1993, the limitations in this Section are subject to the limitations in that
Act.
PEOPLE'S REPUBLIC OF CHINA (PRC)
Governing Law: The following replaces "laws of the country in which you acquired
the Machine" in the first sentence:
laws of the State of New York, United States of America (except when local law requires
otherwise).
=< C. IBM Statement of Limited Warranty Z125-4753-08 04/2004
C-7
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