12. MERL and ally Connectors and Cables are warranted to be free from defects in
<br />materials and workmanship, under normal use and service, for ten (10) years from the
<br />date of Sensus shipment. Nicor or ltron connectors included with a Sensus product are
<br />warranted according to the terms for Third -Party Devices in Section 13.
<br />13. Third -Party Devices are warranted to be free from defects in materials and
<br />workmanship, under normal use and service, for one (1) year from the date of Sensus
<br />shipment. As used in this Sensus Limited Warranty, "Third Party Devices" means any
<br />product, device, or component part used with a Sensus product that is manufactured or
<br />sold by any party that is not Sensus Failure of a Third Party Device which subsequently
<br />causes failure to a Sensus device shall be the responsibility of the manufacturer of the
<br />Third Party Device.
<br />14 Software. Software supplied and/or licensed by Sensus is supported according to
<br />the terms of the applicable software license or usage agreement Sensus warrants that
<br />any network and monitoring services shall be performed in a professional and
<br />workmanlike manner.
<br />15. Return. Sensus' obligation, and Customer's exclusive remedy, under this Sensus
<br />Limited Warranty is, at Sensus' option, to either (i) repair or replace the product,
<br />provided the Customer (a) returns the product to the location designated by Sensus
<br />within the warranty period; and (b) prepays the freight costs both to and from such
<br />lccaticn; or (ii) deliver replacement components to the Customer, provided the Customer
<br />installs, at its cost, such components in or on the product (as instructed by Sensus),
<br />provided, that if Sensus requests, the Customer (a) returns the product to the location
<br />designated by Sensus within the warranty perlcd; and (b) prepays the freight costs both
<br />to and from such location. in all cases, if Customer does not return the product within the
<br />time period designated by Sensus, Sensus will invoice, and Customer will pay within
<br />thirty days of the invoice date, for the cost of the replacement product and/or
<br />components
<br />The return of products for warranty claims must follow Sensus' Returned Materials
<br />Authorization (IRMA) procedures. Water meter returns must include documentation of
<br />the Customer's test results. Test results must be obtained according to AWWA
<br />standards and must specify the meter serial number. The test results will not be valid if
<br />the meter is found to contain foreign materials. If Customer chooses not to test a
<br />Sensus water meter prior to returning it to Sensus, Sensus will repair or replace the
<br />meter, at Sensus' option, after the meter has been tested by Sensus The Customer will
<br />be charged Sensus' then Current testing fee All product must be returned in accordance
<br />with the RMA process. For all returns, Sensus reserves the right to request meter read-
<br />ing records by serial number to validate warranty claims
<br />For products that have become discontinued or obsolete ("Obsolete Product"), Sensus
<br />may, at its discretion, replace such Obsolete Product with a different product model
<br />("New Prcclu "), provided that the New Product has substantially similar features as the
<br />Obsolete Product. The New Product shall be warranted as set forth in this Sensus
<br />Limited Warranty
<br />THIS SECTION 15 SETS FORTH CUSTOMER'S SOLE REMEDY FOR THE FAILURE
<br />OF THE PRODUCTS, SERVICES OR LICENSED SOFTWARE TO CONFORM TO
<br />THEIR RESPECTIVE WARRANTIES.
<br />16. Warranty Exceptions and No Implied Warranties This Sensus Limited Warranty
<br />does not include costs for removal or installation of products, or costs for replacement
<br />labor or materials, which are the responsibility of the Customer The warranties in this
<br />Sensus Limited Warranty do not apply to and Sensus has no liability for goods that have
<br />been, installed improperly or in non -recommended installations; installed to a socket that
<br />is not functional, or is not in safe operating condition, or is damaged, or is in need of
<br />repair; tampered with; modified or repaired with parts or assemblies not certified in
<br />writing by Sensus, including without limitation, communication parts and assemblies;
<br />improperly modified or repaired (including as a result of modifications required by
<br />Sensus); converted; altered; damaged; read by equipment not approved by Sensus; for
<br />water meters, used with substances other than water, used with non -potable water, or
<br />used with water that contains dirt, debris, deposits, or other impurities; subjected to
<br />misuse, improper storage, improper care, improper maintenance, or improper periodic
<br />testing (collectively, "Exceotions.') If Sensus identifies any Exceptions during
<br />examination, troubleshooting or performing any type of support on behalf of Customer,
<br />then Customer shall pay for and/or reimburse Sensus for all expenses incurred by
<br />Sensus in examining, troubleshooting, performing support activities, repairing or
<br />replacing any Equipment that satisfies any of the Exceptions defined above. The above
<br />warranties do not apply in the event of Force Majeure, as defined in the Terms of Sale.
<br />THE WARRANTIES SET FORTH IN THIS SENSUS LIMITED WARRANTY ARE THE
<br />ONLY WARRANTIES GIVEN WITH RESPECT TO THE GOODS, SOFTWARE,
<br />SOFTWARE LICENSES AND SERVICES SOLD OR OTHERWISE PROVIDED BY
<br />SENSUS. SENSUS EXPRESSLY DISCLAIMS ANY AND ALL OTHER
<br />REPRESENTATIONS, WARRANTIES, CONDITIONS, EXPRESSED, IMPLIED,
<br />STATUTORY OR OTHERWISE, REGARDING ANY MATTER IN CONNECTION WITH
<br />THIS SENSUS LIMITED WARRANTY OR WITH THE TERMS OF SALE, INCLUDING
<br />WITHOUT LIMITATION, WARRANTIES AS TO FITNESS FOR A PARTICULAR
<br />PURPOSE, MERCHANTABILITY, NOWINFRINGEMEN T AN D TITLE.
<br />SENSUS ASSUMES NO LIABILITY FOR COSTS OR EXPENSES ASSOCIATED
<br />WITH LOST REVENUE OR WITH 'THE REMOVAL OR INSTALLATION OF
<br />EQUIPMENT. THE FOREGOING REMEDIES ARE CUSTOMER'S SOLE AND
<br />EXCLUSIVE REMEDIES FOR THE FAILURE OF EQUIPMENT, LICENSED
<br />SOFTWARE OR SOFTWARE SERVICES, AND OTHER SERVICES TO CONFORM
<br />TO THEIR RESPECTIVE WARRANTIES.
<br />17. Limitation of Liability. SENSUS' AGGREGATE LIABILITY IN ANY AND ALL
<br />CAUSES OF ACTION ARISING UNDER, OUT OF OR IN RELATION TO THIS
<br />AGREEMENT, ITS NEGOTIATION, PERFORMANCE, BREACH OR TERMINATION
<br />(COLLECTIVELY "CAUSES OF ACTION.) SHALL NOT EXCEED THE TOTAL AMOUNT
<br />PAID BY CUSTOMER TO SENSUS UNDER THIS AGREEMENT. THIS IS SO WHETHER
<br />THE CAUSES OF ACTION ARE IN TORT, INCLUDING, WITHOUT LIMITATION,
<br />NEGLIGENCE OR STRICT LIABILITY, IN CONTRACT, UNDER STATUTE OR
<br />OTHERWISE
<br />AS A SEPARATE AND INDEPENDENT LIMITATION ON LIABILITY, SENSUS' LIABILITY
<br />SHALL BE LIMITED TO DIRECT DAMAGES. SENSUS SHALL NOT BE LIABLE FOR: (1)
<br />ANY INDIRECT, INCIDENTAL, SPECIAL OR CONSEQUENTIAL DAMAGES; NOR (11)
<br />ANY REVENUE OR PROFITS LOST BY CUSTOMER OR ITS AFFILIATES FROM ANY
<br />END USER(S), IRRESPECTIVE OF WHETHER SUCH LOST REVENUE OR PROFITS IS
<br />CATEGORIZED AS DIRECT DAMAGES OR OTHERWISE; NOR (111) ANY IN/OUT
<br />COSTS', NOR (IV) MANUAL METER READ COSTS AND EXPENSES', NOR (V)
<br />DAMAGES ARISING FROM MAINCASE OR BOTTOM PLATE BREAKAGE CAUSED BY
<br />FREEZING TERMPERATURES, WATER HAMMER CONDITIONS, OR EXCESSIVE
<br />WATER PRESSURE. "'IN/OUT COSTS" MEANS ANY COSTS AND EXPENSES
<br />INCURRED BY CUSTOMER IN TRANSPORTING GOODS BETWEEN ITS WAREHOUSE
<br />AND ITS END USER'S PREMISES AND ANY COSTS AND EXPENSES INCURRED BY
<br />CUSTOMER IN INSTALLING, UNINSTAILLING AND REMOVING GOODS. "END USER"
<br />MEANS ANY END USER OF ELECTRICITYANATER/GAS THAT PAYS CUSTOMER FOR
<br />THE CONSUMPTION OF ELECTRICITY/WATER/GAS, AS APPLICABLE.
<br />The limitations on liability set forth in this Agreement are fundamental inducements to
<br />Sensus entering into this Agreement They apply unconditionally and in all respects They
<br />are to be interpreted broadly so as to give Sensus the maximum protection permitted under
<br />law.
<br />25H-144 Page 137
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