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12. iPERL 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 Itron connectors included with a Sensus product are <br />warranted awarding 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 Senses Limited Warranty, 'Third Party Devices' means any <br />product, device, or component part used with a Senses product that is man ufacturetl or <br />sold by any party that is not Sensus. Failure of a Third Party Device which subsequently <br />causes failure to a Senses 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 />location; or (ii) deliver replacement components to the Customer, provided the Customer <br />Installs, at its cast, 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 period; and (b) prepays the freight casts bath <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 fallow Sensus' Returned Materials <br />Authorization (RMA) 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. Far all returns, Sensus reserves the right to request meter read- <br />ing records by serial number to validate warrantyclaims. <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 Product-), 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); converteQ altered; damageq 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, 'Exceptions.-). If Sensus identifies any Exceptions during <br />examination, troubleshooting or performing any type of support on behalf of Customer, <br />then Customer shall pay far 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, NON -INFRINGEMENT AND 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, UNINSTALLING AND REMOVING GOODS. 'END USER" <br />MEANS ANY END USER OF ELECTRICITYNVATER/GAS THAT PAYS CUSTOMER FOR <br />THE CONSUMPTION OF ELECTRICITYIWATER/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 <br />