The Seller warrants that the Equipment and parts thereof as applicable of its manufacture, supplied hereunder, will be free from defects in material or workmanship for a period of one year from the date of shipment or deemed shipment in accordance with this Agreement, hereinafter called the "Warranty Period". All claims to be made hereunder shall be made in writing during the Warranty Period.

During the Warranty Period, the Seller's obligations under this Agreement shall be limited to repair or replacement, at the Seller's sole option, FOB Toronto or points of manufacture, exclusive of removal and installation labour, of any Equipment, or parts thereof of Seller's manufacture which if properly installed, operated and maintained, prove defective in materials or workmanship provided that written notice of any such defect and satisfactory proof thereof is promptly given by the Buyer to the Seller. The Buyer agrees to allow the Seller in each instance the opportunity to make repeated efforts to make necessary repairs or replacements in order to correct any above-mentioned defects of which Seller has received proper notice and satisfactory proof in accordance with this Agreement from the Buyer.

Machinery, parts and equipment supplied under this Agreement that are not manufactured by the Seller are not warranted by the Seller. The Seller agrees to use its reasonable best efforts to assign the benefit of any such manufacturer's warranties to the Buyer to the extent the same is assignable and to use its reasonable best effort to assist the Buyer in utilizing any such warranty, if required, against the manufacturer. The Buyer shall be responsible for providing the necessary written notice to such manufacture as may be required. The following items shall be deemed to be included in the items not manufactured by the Seller: All stock preparation and auxiliary equipment, electrical equipment, instruments, bearings, solenoid valves, hot presses and dies, printers, conveyors, diverters, pistons, chains, sprockets, electrical counters and photocells.

The Seller agrees that small items of warranty for which the Seller is responsible that in the Seller's sole judgment can be repaired locally will be so repaired on facsimile advice from the Seller and reimbursed by the Seller for such reasonable repair cost. For larger items subject to warranty, if the Seller determines in its sole judgment that the item may be repaired at Buyer's premises, the Seller will make available a service technician on reasonable notice from the Buyer to supervise the repair of the same. Should any service call prove to be the result of a non-warranty item, including without limitation, defects relating to operator inexperience, improper maintenance, the cost thereof, at the Seller's then current applicable rate, including without limitation, charges for the technician and travel costs of same, shall be paid by the Buyer to the Seller forthwith on demand.

The Buyer and Seller agree that any damage, decomposition or any other deterioration of the Equipment by corrosion or chemical action, improper storage, improper maintenance or wear and tear caused by the presence of abrasive material or otherwise shall not constitute defects repairable under warranty pursuant to this Agreement.

The Seller shall not be responsible for repairs, alterations or work done by anyone other than the Seller, unless the Seller specifically agrees to the same in writing or by facsimile.

The above-mentioned warranties shall constitute the Seller's sole liability and the Buyer's sole remedy in respect of the Equipment and any parts thereof, any products produced thereon, and any service documents or information provided hereunder, and is in lieu of all other warranties, guarantees and conditions, written or oral, statutory, express or implied, including but not limited to implied warranties, guarantees and conditions of merchantable quality and fitness. The operating results of the Equipment and production and quality are not warranted or guaranteed except as set out in this Section. The above-mentioned warranties of the Seller contained herein shall be available to the original Buyer only, and shall not be assignable.