Apple 2003 Annual Report Download - page 129

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set forth in the RTM for the notice period of [**] from the date of shipment. Apple acknowledges that the functionality of ASIC
Products may be contingent on Apple’s designs and, therefore, Apple agrees that such warranty does not apply to the functionality of
ASIC Products designed by Apple and manufactured by IBM under this Agreement except to the extent the lack of functionality is
due to a defect in materials or workmanship.
10.1.3 Other Product Warranty. IBM warrants all other standard Products delivered to be free from defects in material and
workmanship and to conform to the Product Specifications for the notice period of [**] from the date of shipment unless otherwise
stated in an Attachment to the Agreement applicable to such standard Products, and all other custom Products delivered to be free
from defects in material and workmanship for the notice period of [**] from date of shipment unless otherwise stated in an
Attachment to the Agreement applicable to such custom Products. Such warranty does not apply to the functionality of custom
Products designed by Apple and manufactured by IBM under the Agreement except to the extent the lack of functionality is due to a
defect in materials or workmanship. IBM warrants Services will be performed using reasonable care and ordinary skill.
10.2 The Product warranty does not include defects in or failures of Products that result from (i) an Apple-supplied design; (ii) matters not
covered in the Product specification or use outside of the intended operating environment set forth in the applicable Product specifications; (iii)
accident, disaster, neglect, abuse, misuse, improper handling, testing, storage or installation after delivery to the carrier, including improper
handling in accordance with generally acceptable static sensitive electronic device handling requirements; (iv) alterations, modifications or
repairs by Apple or third parties not authorized by IBM in writing; (v) removal or alteration of labels by Apple or a third party; or (vi) failure
caused by a product which IBM did not provide or for which IBM is not responsible. IBM does not warrant uninterrupted or error free
operation of the Products or that IBM will correct all defects.
10.3 THE FOREGOING WARRANTIES ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING
THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS OR USAGE FOR PARTICULAR PURPOSE OR NON-
INFRINGEMENT.
10.4 This warranty is not transferable. No course of dealing, course of performance, usage of trade, or description of Product or Service
shall be deemed to establish a warranty, express or implied.
10.5 If a Designee claims that any Products or Services are nonconforming, the Designee shall, (i) promptly notify IBM, in writing, of the
basis for such claim of nonconformity; (ii) follow IBM’s instructions for the prompt return of the Products; and (iii) return such Products
freight collect to IBM’s designated facility. If IBM determines that the returned Products are
[**] = information redacted pursuant to a confidential treatment request. Such omitted information has been filed
separately with the Securities and Exchange Commission.