2.Use, Ownership, Rights, and Restrictions

BusinessandServicesAgreement

Contents

1.Definitions.

2.Use, ownership, rights, and restrictions.

3.Confidentiality.

4.Warranties.

5.Defense of infringement, misappropriation, and third party claims.

6.Limitation of liability.

7.Verifying compliance.

8.Term and Termination.

9.Supportability of Products.

10.Insurance while performing Services on Customer’s premises.

11.Miscellaneous.

12.Country-specific provisions.

13.Country-specific Services terms.

ThisMicrosoftBusinessandServicesAgreementisenteredintobetweentheentitiesidentifiedonthesignatureform. IfCustomerlicensessoftwareorcontractsforOnlineServicesorServicesfromMicrosoftunderthisagreement,thespecifictermsofthosetransactionswillbecontainedinaseparateSupplementalAgreementorStatementofServicesthatwillincorporatethetermsofthisagreement. NothinginthisagreementobligateseitherpartytoenterintoanySupplementalAgreementorStatementofServices.

Effectivedate. IfthefirstSupplementalAgreementorStatementofServicesincorporatingthetermsofthisagreementisgivenaneffectivedatethatisearlierthanthedatethisagreementissignedbyMicrosoft,theeffectivedateofthisagreementwillbethatearlierdate. Otherwise,thisagreementiseffectiveonthedateitissignedbyMicrosoft.

TermsandConditions

ANoteonSectionSummaries. Somesectionsofthisagreementhaveasummaryatthebeginning. Thesesummariesareintendedforeaseofreference,andarenotpartoftheagreement. Ifanysummaryconflictswiththesectionitissummarizing,thesectionoftheagreement,andnotthesummary,controls.

1.Definitions.

Inthisagreement,thefollowingdefinitionsapply:

“Affiliate”meansanylegalentitythatapartyowns,thatownsaparty,orthatisunderitscommonownership. “Ownership”means,forpurposesofthisdefinition,controlofmorethana50%interestinanentity.

“Contractor”meansanythirdpartysupplierorotherproviderofcomputertechnologyorrelatedservices.

“Customer”meanstheentitythathasenteredintothisagreementanditsAffiliates.

“CustomerData”meansalldata,includingalltext,sound,orimagefilesthatareprovidedtoMicrosoftby,oronbehalfof,CustomerthroughCustomer’suseoftheOnlineServices.

“Fixes”meansProductfixes,modificationsorenhancements,ortheirderivatives,thatMicrosofteitherreleasesgenerally(suchasservicepacks),orthatMicrosoftprovidestoCustomerwhenperformingServicestoaddressaspecificissue.

“Microsoft”meanstheMicrosoftAffiliatethathasenteredintothisagreementanditsAffiliates,asappropriate.

“OnlineServices”meanstheMicrosoft-hostedservicesidentifiedintheOnlineServicessectionoftheProductList.

“Product”meansallsoftware,OnlineServicesandotherweb-basedservices,includingpre-releaseorbetaversions,identifiedontheProductList.

“ProductList”meansthestatementpublishedbyMicrosoftfromtimetotimeontheWorldWideWebat

“ProductUseRights”means,withrespecttoanylicensingprogram,theuserightsortermsofserviceforeachProductandversionpublishedforthatlicensingprogramat

“ServiceLevelAgreement”meansthedocumentspecifyingthestandardsMicrosoftagreestoadheretoandbywhichitmeasuresthelevelofserviceforanOnlineService.

“ServicesDeliverables”meansanycomputercodeormaterials,otherthanProductsorFixes,thatMicrosoftleaveswithCustomerattheconclusionofMicrosoft’sperformanceofServices.

“Services”meansallsupport,consultingandotherservicesoradvice,includinganyresultingdeliverablesprovidedtoCustomerunderthisagreement. ServicesdonotincludeOnlineServices.

“StatementofServices”meansanyworkorders,servicesdescriptions,orotherstatementsofservicesreferencingthisagreement,andanypartsofanenrollmentthatrelatetothedeliveryofServices.

“SupplementalAgreement”meansanyagreementexpresslyincorporatingthetermsofthisagreement,otherthanaStatementofServices.

“TradeSecret”meansinformationthatisnotgenerallyknownorreadilyascertainabletothepublic,haseconomicvalueasaresult,andhasbeensubjecttoreasonablestepsunderthecircumstancestomaintainitssecrecy.

“use”or“run”meanstocopy,install,use,access,display,runorotherwiseinteract.

2.Use,ownership,rights,andrestrictions.

Summary:ThespecificuserightsandtermsofserviceforProductsarecontainedinMicrosoft’spublishedProductUseRights. OwnershipandlicenserightsinanyServicesDeliverablesareaddressedinthissection. GenerallimitationsontheuseofProductsarealsoaddressedinthissection.

Products. UnlessotherwisespecifiedinaSupplementalAgreement,useofanyProductisgovernedbytheProductUseRightsspecifictoeachProductandversionandbythetermsoftheapplicableSupplementalAgreement.
FixesandServicesDeliverables.

(i)Fixes. FixesarelicensedaccordingtothelicensetermsapplicabletotheProducttowhichthoseFixesrelate. IftheFixesarenotprovidedforaspecificProduct,anyotherusetermsMicrosoftprovideswiththeFixeswillapply,andifnousetermsareprovided,Customershallhaveanon-exclusive,perpetual,fullypaid-uplicensetouseandreproducetheFixessolelyforitsinternaluse. Customermaynotmodify,changethefilenameof,orcombineanyFixeswithanynon-Microsoftcomputercode,exceptasexpresslypermittedinaSupplementalAgreementorStatementofServices.

(ii)Pre-ExistingWork. Allrightsinanycomputercodeornon-codebasedwrittenmaterialsdevelopedorotherwiseobtainedbyorforthepartiesortheirAffiliatesindependentofthisagreement(“Pre-existingWork”)shallremainthesolepropertyofthepartyprovidingthePre-existingWork. DuringtheperformanceoftheServices,eachpartygrantstotheotherparty(andMicrosoft’scontractorsasnecessary)atemporary,non-exclusivelicensetouse,reproduceandmodifyanyofitsPre-existingWorkprovidedtotheotherparty,solelyasneededtoperformitsobligationsinconnectionwiththe Services.

Exceptasmaybeotherwiseexpresslyagreedbythepartiesinwriting,uponpaymentinfullMicrosoftgrantsCustomeranon-exclusive,perpetual,fullypaid-uplicensetouse,reproduceandmodify(ifapplicable)anyMicrosoftPre-existingWorkprovidedaspartofaServicesDeliverable,solelyintheformdeliveredtoCustomer,andsolelyforCustomer’sinternalbusinesspurposes.

ThelicensetoMicrosoft’sPre-existingWorkisconditioneduponCustomer’scompliancewiththetermsofthisagreement.

(iii)Developments. Uponpaymentinfull,MicrosoftgrantsCustomerJointOwnershipinanycomputercodeornon-codewrittenmaterials(otherthanProducts,FixesorPre-existingWork)developedbyMicrosoftorincollaborationwithCustomerandleftwithCustomerattheconclusionofaServicesengagement(“Developments”),exceptasmaybeotherwiseexplicitlyagreedtoinaStatementofServicesandsubjecttothetermsofthisagreement. “JointOwnership”meanseachpartyhastherighttoindependentlyexerciseanyandallrightsofownershipnowknownorlatercreatedorrecognized,includingwithoutlimitationtherightstouse,reproduce,modifyanddistributetheDevelopmentsforanypurpose,withouttheneedforfurtherauthorizationtoexerciseanysuchrightsoranyobligationofaccountingorpaymentofroyalties. EachpartyshallbethesoleownerofanymodificationsthatitmakesbaseduponDevelopments. CustomermayexerciseitsrightsinDevelopmentssolelyforitsinternalbusinessoperationsandmaynotresellordistributethem.

Notwithstandingthepriorparagraph,ifthelawsofAustria,France,Germany,Hungary,Poland,Switzerland,orUkraineapplytoServicesperthetermsofthisagreementorthedeterminationofacourt,allrightsinDevelopmentsareownedbyMicrosoft,subjecttothetermsofthisparagraph. Uponpaymentinfull,MicrosoftgrantstoCustomeranon-exclusivelicensetoDevelopments,exceptasmaybeexplicitlyagreedotherwiseinaStatementofServices. CustomerandMicrosoftmayuse,reproduce,andmodifytheDevelopmentsinallwaysofuse(andallfuturewaysofuse)withoutanyaccountingorpaymentofroyalties. EachpartyshallbethesoleownerofanymodificationsthatitmakesbaseduponDevelopments. CustomermayexerciseitsrightsinDevelopmentssolelyforitsinternalbusinessoperationsandmaynotresellordistributethem.

(iv)Affiliates’rights. CustomermaysublicensetherightscontainedinthissubsectionrelatingtoDeliverablestoitsAffiliates,butCustomer’sAffiliatesmaynotsublicensetheserightsandCustomer’sAffiliates’usemustbeconsistentwiththelicensetermscontainedinthisagreement.

c.OpenSourceLicenserestrictions. Certain third party license terms require that computer code be generally (1) disclosed in source code form to third parties; (2) licensed to third parties for the purpose of making derivative works; or (3) redistributable to third parties at no charge (collectively, “Open Source License Terms”). Neither party may use, incorporate, modify, distribute, provide access to, or combine the computer code of the other with any other computer code or intellectual property (collectively, “Provide”) in a manner that would subject the other’s computer code to Open Source License Terms. Microsoft is not responsible for Customer’s upload, use or distribution of Customer’s code from the Online Services. Customer may upload code to an Online Service and allow third parties access to use or download Customer’s code on the Online Service, provided that (1) such use is not restricted by a Supplemental Agreement or the Product Use Rights and (2) any Open Source License Terms apply solely to Customer and their uploaded code, and not to any code or Products provided by Microsoft. Each party warrants that it will not provide the other party with, or give third parties access through the Online Services to, computer code that is governed by Open Source License Terms, except as described above.

d.Restrictionsonuse. Customermustnot:

(i)separateandusethecomponentsofaProductontwoormorecomputers,upgradeordowngradecomponentsatdifferenttimes,ortransfercomponentsseparately,exceptasprovidedintheProductUseRights;

(ii)reverseengineer,decompileordisassembleanyProduct,Fix,orServicesDeliverable,exceptwhereapplicablelawpermitsitdespitethislimitation;or

(iii)distribute,sublicense,rent,lease,lend,orhostanyProduct,Fix,orServicesDeliverableexceptaspermittedintheapplicableSupplementalAgreement,StatementofServices,theProductUseRights,orinaseparatewrittenagreement.

e.Reservationofrights. AllrightsnotexpresslygrantedarereservedtoMicrosoft.

3.Confidentiality.

Summary:Eachpartyagreesnottouseordisclosetheother’sConfidentialInformationexceptasnecessarytofurtherthepurposesoftheparties’agreement. Eachpartyagreestotakereasonablestepstoprotectthatinformationandtocooperatewitheachotherifadisclosureoccurs.

Whatisincluded. “ConfidentialInformation”isnon-publicinformation,know-howandTradeSecretsinanyformthat:

(i)aredesignatedas“confidential”;

(ii)areasonablepersonknowsorreasonablyshouldunderstandtobeconfidential;or

(iii)includenon-publicinformationregardingeitherparty’sproductsorcustomers,marketingandpromotions,orthenegotiatedtermsofMicrosoftagreements.

Whatisnotincluded. Thefollowingtypesofinformation,howevermarked,arenotConfidentialInformation. Informationthat:

(i)is,orbecomes,publiclyavailablewithoutabreachofthisagreement;

(ii)waslawfullyknowntothereceiveroftheinformationwithoutanobligationtokeepitconfidential;

(iii)isreceivedfromanothersourcewhocandiscloseitlawfullyandwithoutanobligationtokeepitconfidential;

(iv)isindependentlydeveloped;or

(v)isacommentorsuggestiononepartyvolunteersabouttheother’sbusiness, productsorservices.

TreatmentofConfidentialInformation.

(i)Ingeneral. Subjecttotheothertermsofthisagreement,eachpartyagrees:

itwillnotdisclosetheother’sConfidentialInformationtothirdparties;and
itwilluseanddisclosetheother’sConfidentialInformationonlyforpurposesoftheparties’businessrelationshipwitheachother.

(ii)Securityprecautions. Subjecttotheothertermsofthisagreement,eachpartyagrees:

totakereasonablestepstoprotecttheother’sConfidentialInformation--thesestepsmustbeatleastasprotectiveasthosethepartytakestoprotectitsownConfidentialInformation;
tonotifytheotherpromptlyupondiscoveryofanyunauthorizeduseordisclosureofConfidentialInformation; and
tocooperatewiththeothertohelpregaincontroloftheConfidentialInformationandpreventfurtherunauthorizeduseordisclosureofit.

(iii)SharingConfidentialInformationwithAffiliatesandrepresentatives.

A“Representative”isanemployee,contractor,advisor,orconsultantofoneofthepartiesorofoneoftheparties’Affiliates.
Eachpartymaydisclosetheother’sconfidentialinformationtoitsRepresentatives(whomaythendisclosethatConfidentialInformationtootherofthatparty’sRepresentatives)onlyifthoseRepresentativeshaveaneedtoknowaboutitforpurposesoftheparties’businessrelationshipwitheachother. Beforedoingso,eachpartymust:

1)ensurethatAffiliatesandRepresentativesarerequiredtoprotecttheConfidentialInformationontermsconsistentwiththisagreement;and

2)acceptresponsibilityforeachRepresentative’suseofConfidentialInformation.

NeitherpartyisrequiredtorestrictworkassignmentsofRepresentativeswhohavehadaccesstoConfidentialInformation. Neitherpartycancontroltheincominginformationtheotherwilldisclosetoitinthecourseofworkingtogether,orwhatthatparty’sRepresentativeswillremember,evenwithoutnotesorotheraids. EachpartyagreesthatuseofinformationinRepresentatives’unaidedmemoriesinthedevelopmentordeploymentoftheparties’respectiveproductsorservicesdoesnotcreateliabilityunderthisagreementortradesecretlaw,andeachpartyagreestolimitwhatitdisclosestotheotheraccordingly.

(iv)DisclosingConfidentialInformationifrequiredtobylaw. Eachpartymaydisclosetheother’sConfidentialInformationifrequiredtocomplywithacourtorderorothergovernmentdemandthathastheforceoflaw. Beforedoingso,eachpartymustseekthehighestlevelofprotectionavailableand,whenpossible,givetheotherenoughpriornoticetoprovideareasonablechancetoseekaprotectiveorder.

LengthofConfidentialInformationobligations. Exceptaspermittedabove,neitherpartywilluseordisclosetheother’sConfidentialInformationforfiveyearsafteritisreceived.Thefive-yeartimeperioddoesnotapplyifapplicablelawrequiresalongerperiodortheProductUseRightsprovideamorespecificrequirement.

4.Warranties.

Summary:MicrosoftwarrantsthatOnlineServiceswillperforminaccordancewiththeapplicableServiceLevelAgreementandthatProductsotherthanOnlineServiceswillworksubstantiallyasdescribedintheuserdocumentation,subjecttocertainlimitations. Ifnot,MicrosoftwillprovidetheremediesdescribedintheapplicableServiceLevelAgreementforOnlineServicesandforProductsotherthanOnlineServices,provideareplacementorarefund. MicrosoftwarrantsthatServiceswillbeperformedwithprofessionalcareandskill. Microsoftdisclaimsallotherwarranties.

Limitedwarranty. Microsoftwarrantsthat:

(i)OnlineServiceswillperforminaccordancewiththeapplicableServiceLevelAgreement;

(ii)ProductsotherthanOnlineServiceswillperformsubstantiallyasdescribedintheapplicableMicrosoftuserdocumentation;and

(iii)Serviceswillbeperformedwithprofessionalcareandskill.

Limitedwarrantyterm. Thelimitedwarrantyfor:

(i)OnlineServicesisforthedurationofCustomer’suseoftheOnlineService,subjecttothenoticerequirementsintheapplicableServiceLevelAgreement;

(ii)ProductsotherthanOnlineServicesisoneyearfromthedateCustomerfirstusestheProduct;and

(iii)Servicesis30daysfromdeliveryofaServicesDeliverable,unlessotherwisestatedinaStatementofServices.

Limitedwarrantyexclusions. Thislimitedwarrantyissubjecttothefollowinglimitations:

(i)anyimpliedwarranties,guaranteesorconditionsnotabletobedisclaimedasamatteroflawlastforoneyearfromthestartofthelimitedwarranty;

(ii)thelimitedwarrantydoesnotcoverproblemscausedbyaccident,abuseoruseinamannerinconsistentwiththisagreementortheProductUseRights,orresultingfromeventsbeyondMicrosoft’sreasonablecontrol;

(iii)thelimitedwarrantydoesnotapplytocomponentsofProductsthatCustomerispermittedtoredistribute;

(iv)thelimitedwarrantydoesnotapplytofree,trial,pre-release,orbetaproducts;and

(v)thelimitedwarrantydoesnotapplytoproblemscausedbythefailuretomeetminimumsystemrequirements.

Remediesforbreachoflimitedwarranty. IfMicrosoftfailstomeetanyoftheabovelimitedwarrantiesandCustomernotifiesMicrosoftwithinthewarrantyperiod,thenMicrosoftwill:

(i)forOnlineServices,providetheremediesidentifiedintheServiceLevelAgreementfortheaffectedOnlineService;

(ii)forProductsotherthanOnlineServices,atitsoptioneither(1)returnthepricepaidor(2)repairorreplacethe Product;and

(iii)forServices,atitsoptioneither(1)returnthepricepaidforthespecificServiceor(2)re-performthespecificService.

TheseareCustomer’sonlyremediesforbreachofthelimitedwarranty,unlessotherremediesarerequiredtobeprovidedunderapplicablelaw.

DISCLAIMEROFOTHERWARRANTIES. OTHERTHANTHISLIMITEDWARRANTY,MICROSOFTPROVIDESNOOTHEREXPRESSORIMPLIEDWARRANTIESORCONDITIONS.MICROSOFTDISCLAIMSANYIMPLIEDREPRESENTATIONS,WARRANTIES,ORCONDITIONS,INCLUDINGWARRANTIESOFMERCHANTABILITY,FITNESSFORAPARTICULARPURPOSE,SATISFACTORYQUALITY,TITLE,ORNON-INFRINGEMENT. THESEDISCLAIMERSWILLAPPLYUNLESSAPPLICABLELAWDOESNOTPERMITTHEM.

5.Defenseofinfringement,misappropriation,andthirdpartyclaims.

Summary:MicrosoftagreestodefendCustomeragainstclaimsthatMicrosoftsoftwareinfringessomeoneelse’sintellectualpropertyrights,andpayanydamagesawardedbyacourtorinasettlement. Thereareseveralexceptions,whichlimitMicrosoft’sobligationsincaseswhereCustomerhascontributedinsomewaytotheclaim. IfsomethingCustomerhasdonecausedtheclaimandMicrosoftisdamaged,CustomermustreimburseMicrosoft.
IfMicrosoftbelievesthatitisnecessarytoavoidaninfringementclaim,MicrosoftmayreplaceormodifytheProductsCustomerisusing. IfsomeoneenjoinsCustomeruseofaProduct,Microsoftwill,atitsoption,replacetheProduct,modifyittomakeitnon-infringing,obtaintherightsCustomerneedstokeepusingit,orrefundCustomer’smoney,allasdescribedbelow.
CustomermustdefendMicrosoftfromthirdpartyclaimsofinfringementrelatedtoCustomerDataoritsfailuretoobtainthirdpartylicensesforsoftwareitasksMicrosofttohost.

Microsoft’sagreementtoprotect. MicrosoftwilldefendCustomeragainstanyclaimsmadebyanunaffiliatedthirdpartythatanyProduct,Fix,orServicesDeliverablethatismadeavailablebyMicrosoftforafeeinfringesthatparty’spatent,copyright,ortrademarkormakesintentionalunlawfuluseofitsTradeSecret. Microsoftwillalsopaytheamountofanyresultingadversefinaljudgment(orsettlementtowhichMicrosoftconsents). ThissectionprovidesCustomer’sexclusiveremedyfortheseclaims.
Limitationsondefenseobligation. Microsoft’sobligationswillnotapplytotheextentthattheclaimorawardisbasedon:

(i)specificationsCustomerprovidestoMicrosoftforServicesDeliverables;

(ii)CustomerData,code,ormaterialsprovidedbyCustomeraspartofServicesDeliverablesoraspartoftheuseofanOnlineService;

(iii)Customer’suseoftheProduct,FixorServicesDeliverablesafterMicrosoftnotifiesittodiscontinuethatuseduetoathirdpartyclaim;

(iv)Customer’scombinationoftheProduct,FixorServicesDeliverableswithanon-Microsoftproduct,dataorbusinessprocess;

(v)damagesattributabletothevalueoftheuseofanon-Microsoftproduct,dataorbusinessprocess;

(vi)modificationsthatCustomermakestotheProduct,FixorServicesDeliverables;

(vii)Customer’sredistributionoftheProduct,FixorServicesDeliverablesto,oritsuseforthebenefitof,anyunaffiliatedthirdparty,exceptasexpresslypermittedbyaSupplementalAgreementortheProductUseRights;

(viii)Customer’suseofMicrosoft’strademark(s)withoutexpresswrittenconsenttodoso;or

(ix)anyTradeSecretclaim,whereCustomeracquirestheTradeSecret(1)throughimpropermeans;(2)undercircumstancesgivingrisetoadutytomaintainitssecrecyorlimititsuse;or(3)fromaperson(otherthanMicrosoftoritsAffiliates)whoowedtothepartyassertingtheclaimadutytomaintainthesecrecyorlimittheuseoftheTradeSecret.

CustomerwillreimburseMicrosoftforanycostsordamagesthatresultfromanyoftheseactions.

Specificrightsandremediesincaseofinfringement.

(i)Microsoft’srightsinaddressingpossibleinfringement. IfMicrosoftreceivesinformationconcerninganinfringementclaimrelatedtoaProduct,FixorServicesDeliverable,Microsoftmay,atitsexpenseandwithoutobligationtodoso,either:

procureforCustomertherighttocontinuetousetheallegedlyinfringingProduct,FixorServicesDeliverable;or
modifytheProduct,Fix,orServicesDeliverable,orreplaceitwithafunctionalequivalent,tomakeitnon-infringing,inwhichcaseCustomerwillimmediatelyceaseuseoftheallegedlyinfringingProduct,Fix,orServicesDeliverableafterreceivingnoticefromMicrosoft.

(ii)Customer’sspecificremedyincaseofinjunction. If,asaresultofaninfringementclaim,Customer’suseofaProduct,FixorServicesDeliverablethatismadeavailablebyMicrosoftforafeeisenjoinedbyacourtofcompetentjurisdiction,Microsoftwill,atitsoption:

procuretherighttocontinueitsuse;
replaceitwithafunctionalequivalent;
modifyittomakeitnon-infringing;or
refundtheamountpaid(or,forOnlineServices,refundanyamountspaidinadvanceforunusedOnlineServices)andterminatethelicenseorrighttoaccess(and,asapplicabletocertainServicesDeliverables,Customer’sownershiprightsin)theinfringingProduct,FixorServicesDeliverable.

Customer’sagreementtoprotect. CustomerwilldefendMicrosoftagainstanyclaimsmadebyanunaffiliatedthirdpartythat:

(i)anyCustomerDataornon-MicrosoftsoftwareMicrosofthostsonCustomer’sbehalfinfringesthethirdparty’spatent,copyright,ortrademarkormakesintentionalunlawfuluseofitsTradeSecret;or

(ii)arisefromCustomer’soritsenduser’sviolationofthetermsofthisagreement.

Customermustpaytheamountofanyresultingadversefinaljudgment(orsettlementtowhichCustomerconsents). ThissectionprovidesMicrosoft’sexclusiveremedyfortheseclaims.

Obligationsofprotectedparty. CustomermustnotifyMicrosoftpromptlyinwritingofaclaimsubjecttothesubsectiontitled“Microsoft’sagreementtoprotect”andMicrosoftmustnotifyCustomerpromptlyinwritingofaclaimsubjecttothesubsectiontitled“Customer’sagreementtoprotect.” Thepartyinvokingitsrighttoprotectionmust(1)givetheotherpartysolecontroloverthedefenseorsettlement;and(2)providereasonableassistanceindefendingtheclaim.Thepartyprovidingtheprotectionwillreimbursetheotherpartyforreasonableoutofpocketexpensesthatitincursinprovidingassistance.

6.Limitationofliability.

Summary:MicrosoftandCustomerlimittheirliabilitytoeachotherunderthisagreementtotheamountCustomerwasrequiredtopayfortheProductorServices. Thislimitdoesnotapply,however,totheobligationsunderthesectiontitled“Defenseofinfringement,misappropriation,andthirdpartyclaims.” Otherexceptionsaredescribedbelow.

Limitationonliability. Totheextentpermittedbyapplicablelaw,theliabilityofeachparty,itsAffiliates,anditsContractorsarisingunderthisagreementislimitedtodirectdamagesupto(1)forServicesandProductsotherthanOnlineServices,theamountCustomerwasrequiredtopayfortheProductorServicesgivingrisetothatliabilityand(2)forOnlineServices,theamountCustomerwasrequiredtopayfortheOnlineServicegivingrisetothatliabilityduringtheprior12months. InthecaseofProductsorServicesprovidedfreeofcharge,orcodethatCustomerisauthorizedtoredistributetothirdpartieswithoutseparatepaymenttoMicrosoft,Microsoft’sliabilityislimitedtoU.S.$5,000. Theselimitationsapplyregardlessofwhethertheliabilityisbasedonbreachofcontract,tort(includingnegligence),strictliability,breachofwarranties,oranyotherlegaltheory. However,thesemonetarylimitationswillnotapplyto:

(i)Microsoft’sandCustomer’sobligationsunderthesectiontitled“Defenseofinfringement,misappropriation,andthirdpartyclaims”;

(ii)liabilityfordamagescausedbyeitherparty’sgrossnegligenceorwillfulmisconduct,orthatofitsemployeesoritsagents,andawardedbyacourtoffinaladjudication(providedthat,injurisdictionsthatdonotrecognizealegaldistinctionbetween“grossnegligence”and“negligence,”“grossnegligence”asusedinthissubsectionshallmean“recklessness”);

(iii)liabilitiesarisingoutofanybreachbyeitherpartyofitsobligationsunderthesectionentitled“Confidentiality”,exceptthatMicrosoft’sliabilityarisingoutoforinrelationtoCustomerDatashallinallcasesbelimitedtotheamountCustomerpaidfortheOnlineServicegivingrisetothatliabilityduringtheprior12months;

(iv)liabilityforpersonalinjuryordeathcausedbyeitherparty’snegligence,orthatofitsemployeesoragents,orforfraudulentmisrepresentation;and

(v)violationbyeitherpartyoftheotherparty’sintellectualpropertyrights.

EXCLUSIONOFCERTAINDAMAGES. TOTHEEXTENTPERMITTEDBYAPPLICABLELAW,WHATEVERTHELEGALBASISFORTHECLAIM,NEITHERPARTY,NORANYOFITSAFFILIATES,ORCONTRACTORS,WILLBELIABLEFORANYINDIRECT,CONSEQUENTIAL,SPECIAL,ORINCIDENTALDAMAGES,ORDAMAGESFORLOSTPROFITS,REVENUES,BUSINESSINTERRUPTION,ORLOSSOFBUSINESSINFORMATIONARISINGINCONNECTIONWITHTHISAGREEMENT,EVENIFADVISEDOFTHEPOSSIBILITYOFSUCHDAMAGESORIFSUCHPOSSIBILITYWASREASONABLYFORESEEABLE. HOWEVER,THISEXCLUSIONDOESNOTAPPLYTOEITHERPARTY’SLIABILITYTOTHEOTHERFORVIOLATIONOFITSCONFIDENTIALITYOBLIGATIONS(EXCEPTTOTHEEXTENTTHATSUCHVIOLATIONRELATESTOCUSTOMERDATA),THEOTHERPARTY’SINTELLECTUALPROPERTYRIGHTS,orthePARTIES’RESPECTIVEOBLIGATIONSINTHESectiontitled“Defenseofinfringement,misappropriation,ANDTHIRDPARTYclaims.”
AffiliatesandContractors. NeitherMicrosoftnorCustomershallbringanyactionagainsttheother’sAffiliatesorContractorsinrespectofanymatterdisclaimedontheirbehalfinthisagreement. Eachpartywillindemnifytheotherintheeventofanybreachofthisprovision.

7.Verifyingcompliance.

Summary:MicrosofthastherighttoreviewCustomer’srecordsorconductanonsiteauditthroughanindependentauditor. Microsoftwillpayforthecostsoftheauditunlessitrevealsamaterialnoncompliance.

Righttoverifycompliance. CustomermustkeeprecordsrelatingtotheProductsitanditsAffiliatesuseordistribute. MicrosofthastherighttoverifycompliancewiththelicensetermsfortheProducts,atMicrosoft’sexpense.
Verificationprocessandlimitations. Toverifycompliance,Microsoftwillengageanindependentauditor,whichwillbesubjecttoaconfidentialityobligation. Verificationwilltakeplaceuponnotfewerthan30daysnotice,duringnormalbusinesshoursandinamannerthatdoesnotinterfereunreasonablywithCustomer’soperations. Customermustpromptlyprovidetheindependentauditorwithanyinformationitreasonablyrequestsinfurtheranceoftheverification,includingaccesstosystemsrunningtheProductsandevidenceoflicensesforProductsCustomerhosts,sublicenses,ordistributestothirdparties. Asanalternative,MicrosoftcanrequireCustomertocompleteMicrosoft’sself-auditquestionnairerelatingtotheProductsCustomerandanyofitsAffiliatesuseordistribute,butreservestherighttouseaverificationprocessassetoutabove.

IfMicrosoftundertakesverificationanddoesnotfindmaterialunlicenseduse(licenseshortageof5%ormoreperProduct),Microsoftwillnotundertakeanotherverificationofthesameentityforatleastoneyear.MicrosoftandtheindependentauditorswillusetheinformationobtainedincomplianceverificationonlytoenforceMicrosoft’srightsandtodeterminewhetherCustomerisincompliancewiththelicensetermsfortheProducts. Byinvokingtherightsandproceduresdescribedabove,Microsoftdoesnotwaiveitsrightstoenforcethisagreementortoprotectitsintellectualpropertybyanyothermeanspermittedbylaw.

Remediesfornon-compliance. Ifverificationorself-auditrevealsanyunlicenseduse,Customermustpromptlyordersufficientlicensestocoveritsuse. Ifmaterialunlicenseduseisfound,CustomermustreimburseMicrosoftforthecostsMicrosofthasincurredinverificationandacquirethenecessaryadditionallicensesatsingleretaillicensecostwithin30days.

8.TermandTermination.

Summary:Thisagreementcontinuesuntileitherpartyterminatesit. Eitherpartycanterminateiton60daysnotice. ItsterminationwillnotaffectanyexistingSupplementalAgreementsorStatementsofServicesthatincorporateitsterms.

Thisagreementwillremainineffectuntilterminated. Eitherpartymayterminateitatanytimebygivingatleast60calendardayspriorwrittennotice.

ThesoleeffectofterminatingthisagreementwillbetoterminatetheabilityofeitherpartytoenterintosubsequentSupplementalAgreementsorStatementsofServicesunderthisagreement. Terminationofthisagreementwillnot,byitself,resultintheterminationofanySupplementalAgreementorStatementofServicespreviouslyenteredintounderthisagreement. AnytermsofthisagreementincorporatedbyreferenceintoanySupplementalAgreementorStatementofServiceswillcontinueineffectunlessthatSupplementalAgreementorStatementofServicesitselfisterminatedorexpires.

ThetermandterminationrightsforanySupplementalAgreementorStatementofServiceswillbesetforthinthatSupplementalAgreementorStatementofServices.

UnlessotherwiseprovidedinaStatementofServices,Customer’sAffiliatethatsignedtheStatementofServicesmayterminateitatanytimebygivingtheMicrosoftAffiliatethatsignedtheStatementofServices30calendardayspriorwrittennotice. EitherpartytotheStatementofServicesmayterminateitiftheotherpartyis(1)inmaterialbreachordefaultofanyobligationthatisnotcuredwithin30calendardaysnoticeofsuchbreachor(2)failstopayanyinvoicethatismorethan60calendardaysoutstanding.

9.SupportabilityofProducts.

Summary:ThissectiondescribeslimitationsonMicrosoft’sobligationstoprovidetechnicalsupport(forexample,fordiscontinuedorsoldProducts,orforunsupportableimplementations).

ThissectionappliesifCustomerisentitledtoProductsupportunderaStatementofServicesorSupplementalAgreement. ThissectiondoesnotapplytoOnlineServices.

MicrosoftmayaddsupportfornewProductsordiscontinuesupportforexistingProductsfromtimetotime. IfMicrosoftdiscontinuessupportforaProduct,MicrosoftwillinformCustomersixmonthsinadvanceofthediscontinuationbypostingtheinformationat IfMicrosoftsellsaProducttoanothercompany,MicrosoftwillgiveCustomernoticeofthesaleandatthetimeofnoticeMicrosoftwilleither(1)arrangefortheothercompanytocontinuethesupport;or(2)continuesupportitselffor90daystogiveCustomertimetomakealternativearrangements.

TheremaybecaseswhereCustomer’simplementationofProductscannotbeeffectivelysupported. AspartofprovidingthesupportServices,MicrosoftwillnotifyCustomerifMicrosoftreachesthatconclusion. IfCustomerdoesnotmodifytheimplementationtomakeiteffectivelysupportablewithin30calendardaysafterthenotice,MicrosoftwillnotbeobligatedtoprovideadditionalsupportServicesforthatimplementation;however,MicrosoftwillcontinuetoprovidesupportforCustomer’sothersupportableimplementationscoveredbytheapplicableStatementofServicesorSupplementalAgreement.

ForStatementsofServicesforsupport,MicrosoftwillusecommerciallyreasonableeffortstoprovidethesupportservicesforthoseProductscoveredintheStatementofServices,providedtheyarevalidlylicensedtoCustomer.

MicrosoftmayuseanytechnicalinformationMicrosoftderivesfromprovidingServicesrelatedtoitsProductsforproblemresolution,troubleshooting,productfunctionalityenhancementsandFixes,andforMicrosoft’sknowledgebase. MicrosoftagreesnottoidentifyCustomerordiscloseanyofCustomer’sConfidentialInformationinanyitemintheknowledgebase.

10.InsurancewhileperformingServicesonCustomer’spremises.

Summary:ThissectiondescribesthetypeandamountofinsurancethatMicrosoftagreestohaveinplaceforCustomer’sprotection.

MicrosoftwillprocureandmaintainthefollowinginsurancecoverageatalltimeswhenperformingServicesonCustomer’spremisesunderthisagreementviacommercialinsurance,self-insurance,acombinationofthetwooranyothersimilarriskfinancingalternative:

CommercialGeneralLiabilitycoveringbodilyinjuryandtangiblepropertydamageliabilitywithalimitofnotlessthanU.S.$2,000,000eachoccurrence;
Workers’Compensation(ormaintenanceofalegallypermittedandgovernmentally-approvedprogramofself-insurance)coveringMicrosoftemployeespursuanttoapplicablestateworkers’compensationlawsforwork-relatedinjuriessufferedbyMicrosoft’semployees;
Employer’sLiabilitywithlimitsofnotlessthanU.S.$1,000,000peraccident;
ProfessionalLiability/ErrorsOmissionsLiabilitycoveringdamagesarisingoutofnegligentacts,errors,oromissionscommittedbyMicrosoftoritsemployeesintheperformanceofServices,withalimitofliabilityofnotlessthanU.S.$2,000,000perclaim;and
AutomobileLiability(ifvehiclesarebroughtonCustomer’spremisesorusedintheperformanceoftheServices)withU.S.$2,000,000combinedlimitperoccurrence,forbodilyinjuryandpropertydamagecombinedcoveringowned,non-ownedandhiredvehicles.

MicrosoftwillprovideCustomerwithevidenceofcoverageonrequest.

11.Miscellaneous.

NoticestoMicrosoft. Notices,authorizations,andrequestsinconnectionwiththisagreementmustbesentbyregularorovernightmail,expresscourier,orfaxtotheaddressesandnumberslistedinthisagreement. Noticeswillbetreatedasdeliveredonthedateshownonthereturnreceiptoronthecourierorfaxconfirmationofdelivery.

Copiesshouldbesentto:
MicrosoftCorporation
LegalandCorporateAffairs
VolumeLicensingGroup
OneMicrosoftWay
Redmond,WA98052
USA
ViaFacsimile(425)936-7329

Assignment. EitherpartymayassignthisagreementtoanAffiliateonly. Assignmentwillnotrelievetheassigningpartyofitsobligationsundertheassignedagreement,includinganyadditionalcostsorlimitationsonusethatresultfromtheassignment. Ifeitherpartyassignsthisagreement,itmustnotifytheotherpartyoftheassignmentinwriting. NeitherpartymayassignanyStatementofServiceswithoutthewrittenconsentoftheother. MicrosoftmayusecontractorstoperformServicesandMicrosoftwillberesponsiblefortheirperformancesubjecttothetermsofthisagreement.
Severability. Ifacourtholdsanyprovisionofthisagreementtobeillegal,invalid,orunenforceable,therestofthedocumentwillremainineffectandthisagreementwillbeamendedtogiveeffecttotheeliminatedprovisiontothemaximumextentpossible.
Waiver. Awaiverofanybreachofthisagreementisnotawaiverofanyotherbreach. Anywaivermustbeinwritingandsignedbyanauthorizedrepresentativeofthewaivingparty.
Disputeresolution. Whenbringinganactiontoenforcethisagreement,(includinganyagreementincorporatingtheseterms),thepartiesagreetothefollowingjurisdictions:

(i)IfMicrosoftbringstheaction,thejurisdictionwillbewhereCustomer’scontractingAffiliatehasitsheadquarters;

(ii)IfCustomerbringstheactionwithanyMicrosoftAffiliatelocatedoutsideofEurope,thejurisdictionwillbetheStateofWashington,USA;

(iii)IfCustomerbringstheactionwithanyMicrosoftAffiliatelocatedinEurope,thejurisdictionwillbeIreland;and

(iv)IfCustomerbringstheactiontoenforceaStatementofServices,thejurisdictionwillbewheretheMicrosoftAffiliatedeliveringtheserviceshasitsheadquarters.

Thischoiceofjurisdictiondoesnotpreventeitherpartyfromseekinginjunctivereliefwithrespecttoaviolationofintellectualpropertyrightsorconfidentialityobligationsinanyappropriatejurisdiction.

Survival. Provisionsregardingownershipandlicenserights,fees,ProductUseRights,restrictionsonuse,evidenceofperpetuallicenses,transferoflicenses,warranties,defenseofinfringementandmisappropriationclaims,Microsoft’sandCustomer’sobligationstoprotecteachother,limitationsofliability,confidentiality,complianceverification,obligationsonterminationorexpirationandtheotherprovisionsinthissectionentitled“Miscellaneous”willsurviveterminationorexpirationofthisagreementandofanyagreementorStatementofServicesinwhichtheyareincorporated.
Thisagreementisnotexclusive. Customerisfreetoenterintoagreementstolicense,use,orpromotenon-Microsoftsoftwareorservices.
Applicablelaw. Thetermsofthisagreementand/oranySupplementalAgreemententeredintowithanyMicrosoftAffiliatelocatedoutsideofEuropewillbegovernedbyandconstruedinaccordancewiththelawsoftheStateofWashingtonandfederallawsoftheUnitedStates. Thetermsofthisagreementand/oranySupplementalAgreemententeredintowithanyMicrosoftAffiliatelocatedinEuropewillbegovernedbyandconstruedinaccordancewiththelawsofIreland. Unlessotherwiseagreedinwriting,anydisputearisingoutoforinrelationtoServiceswillbegovernedbythelawofthejurisdictionwheretheMicrosoftAffiliatedeliveringtheServicesisorganized. The1980UnitedNationsConventiononContractsfortheInternationalSaleofGoodsanditsrelatedinstrumentswillnotapplytothisagreementoranySupplementalAgreementorStatementofServicesenteredintowithanyMicrosoftAffiliatethatincorporatestheseterms.TheProductsareprotectedbycopyrightandotherintellectualpropertyrightslawsandinternationaltreaties.
Microsoftasindependentcontractor. MicrosoftprovidesitsServicesasanindependentcontractor,andwillberesponsibleforanyandallsocialsecurity,unemployment,workers’compensationandotherwithholdingtaxesforallofMicrosoft’semployees.CustomerandMicrosoftarefreetodevelopproductsindependentlywithouttheuseoftheother’sConfidentialInformation.
Amendingtheagreement. ThisagreementandanySupplementalAgreementorStatementofServicesincorporatingitstermsmaybeamendedonlybyaformalwrittenagreementsignedbybothparties.TheProductListandProductUseRights(includinganydocumentsreferencedtherein)maybechangedbyMicrosoftinaccordancewiththetermsofthisagreementoraSupplementalAgreement. Anytermsandconditionscontainedinapurchaseorderthatcontradictthesetermsandconditionswillnotapply.
Notransferofownership. MicrosoftdoesnottransferanyownershiprightsinanyProduct.
Privacy. MicrosoftandCustomerwillcomplywithallapplicableprivacyanddataprotectionlawsandregulations. CustomermaychoosetoprovidepersonalinformationtoMicrosoftonbehalfofthirdparties(including,Customer’scontacts,resellers,distributors,andadministrators)aspartofthisagreement. CustomerrepresentsandwarrantsthatithasandwillcomplywithanyapplicablelawstoprovidenoticestoorobtainpermissionsfromanysuchindividualstoallowsharingoftheirpersonalinformationwithMicrosoftforthepurposeofallowingMicrosoftoritsagentstofacilitateCustomer’sagreementsandrelatedservices.

CustomerconsentstoMicrosoft’suseofthecontactinformationprovidedbyCustomerforpurposesofadministeringitsagreements,thebusinessrelationshipandrelatedservicesandwithMicrosoft’ssharingofCustomer’sinformationwithCustomer’sdesignatedrepresentatives,resellers,distributors,andadministratorsforsuchpurposes,includingallowingsuchindividualstoupdateCustomer’scontactinformationonCustomer’sbehalf. ThepersonalinformationCustomerprovidesinconnectionwiththisagreementwillbeusedandprotectedaccordingtotheprivacystatementavailableat Product-specificprivacycommitmentsaredescribedintheProductUseRights

Servicespaymentterms. CustomeragreestopayallfeesinaStatementofServiceswithin30calendardaysofthedateofinvoice,unlesstheStatementofServicesprovidesotherwise. Microsoft’sfeesexcludeanytaxes,duties,tariffs,leviesorothergovernmentalchargesorexpenses(including,withoutlimitation,anyvalueaddedtaxes),whichwillbebilledtoandpaidbyCustomer. Microsoftisresponsiblefortaxesbaseduponitspersonalpropertyownershipandnetincome. Microsoftmay,atitsoption,assessafinancechargeofthelesserof18%perannum,accrued,calculatedandpayablemonthly,orthehighestamountallowedbylaw,onallpastdueamountsduetoMicrosoft. MicrosoftwillhavenoobligationtocontinuetoprovideServicesifCustomerfailstomaketimelypayment.
U.S.exportjurisdiction. Products,Fixes,andServicesDeliverablesaresubjecttoU.S.exportjurisdiction. CustomerwillcomplywithallU.S.ExportAdministrationRegulationsandInternationalTrafficinArmsRegulationrequirementsaswellasallend-user,end-use,anddestinationrestrictionsissuedbytheU.S.andothergovernmentsapplicabletothisagreement. Foradditionalinformation,see
NaturalDisaster. Intheeventofanaturaldisaster,Microsoftmayprovideadditionalassistanceorrightsbypostingthemon

12.Country-specificprovisions.

ForCustomerslocatedinanyofthecountriesidentifiedinthissection12,thefollowingcountry-specificprovisionsreplaceorsupplementtheequivalentprovisionsasnoted:

Bangladesh,India,Indonesia,Japan,thePeople’sRepublicofChina,thePhilippines,SriLanka,Thailand,Turkey, andVietnam.

ReplaceTermsandConditionssubsection11etitled“Disputeresolution”withthefollowing:

e.Disputeresolution. Thedecisionofanarbitratorshallbefinal,binding,andincontestableandmaybeusedasabasisforjudgmentthereonintheabove-namedcountriesorelsewhere. Tothefullestextentpermittedbyapplicablelaw,thepartieswaivetheirrighttoanyformofappealorothersimilarrecoursetoacourtoflaw. Thesechoicesofvenuedonotpreventeitherpartyfromseekinginjunctivereliefwithrespecttoaviolationofintellectualpropertyrightsorconfidentialityobligationsinanyappropriatejurisdiction.

Bangladesh,Indonesia,SriLanka,Thailand,andVietnam. Anydisputearisingoutoforinconnectionwiththisagreement(includinganySupplementalAgreementorStatementofServicesincorporatingtheseterms),includinganyquestionregardingitsexistence,validityortermination,shallbereferredtoandfinallyresolvedbyarbitrationinSingaporeinaccordancewiththeArbitrationRulesoftheSingaporeInternationalArbitrationCentre(“SIAC”),whichrulesaredeemedtobeincorporatedbyreferenceintothissection. TheTribunalshallconsistofonearbitratortobeappointedbytheChairmanofSIAC. ArbitrationproceedingsshallbeconductedinEnglish.

India. AnydisputearisingoutoforinconnectionwithanySupplementalAgreementincorporatingtheseterms),includinganyquestionregardingitsexistence,validityortermination,shallbereferredtoandfinallyresolvedbyarbitrationinSingaporeinaccordancewiththeArbitrationRulesoftheSingaporeInternationalArbitrationCentre(“SIAC”),whichrulesaredeemedtobeincorporatedbyreferenceintothissection. TheTribunalshallconsistofonearbitratortobeappointedbytheChairmanofSIAC.

AnydisputearisingoutoforinconnectionwithanyStatementofServices,includinganyquestionregardingitsexistence,validityortermination,shallbereferredtoandfinallyresolvedbyarbitrationundertheArbitrationandConciliationAct,1996,bythreearbitrators.Onearbitratorshallbeappointedbyeachpartyandthethirdarbitratorshallbeappointedbythearbitratorssoappointed. ThevenueofarbitrationshallbeNewDelhi.ArbitrationproceedingsshallbeconductedinEnglish.

Japan. Anydisputearisingoutoforinconnectionwiththisagreement(includinganySupplementalAgreementorStatementofServicesincorporatingtheseterms),includinganyquestionregardingitsexistence,validityortermination,issubjecttoexclusivejurisdictioninTokyoDistrictCourt.

ThePeople’sRepublicofChina(“PRC”). Anydisputearisingoutoforinconnectionwiththisagreement(includinganySupplementalAgreementorStatementofServicesincorporatingtheseterms),includinganyquestionregardingitsexistence,validityortermination,willbesubmittedtobindingarbitrationattheChinaInternationalEconomicandTradeArbitrationCommissioninBeijing(CIETAC)inaccordancewithitsrulesineffectfromtimetotime.

ThePhilippines. AnydisputearisingoutoforinconnectionwiththisagreementoranySupplementalAgreementincorporatingtheseterms,includinganyquestionregardingitsexistence,validityortermination,shallbereferredtoandfinallyresolvedbyarbitrationinSingaporeinaccordancewiththeArbitrationRulesoftheSingaporeInternationalArbitrationCentre(“SIAC”),whichrulesaredeemedtobeincorporatedbyreferenceintothissection. TheTribunalshallconsistofonearbitratortobeappointedbytheChairmanofSIAC.

AnydisputearisingoutoforinconnectionwithanyStatementofServices,includinganyquestionregardingitsexistence,validityortermination,willbesettledbyarbitrationinaccordancewiththeUNCITRALArbitrationRulesinforceasatthedateofthedispute. ThevenueofarbitrationwillbeSingapore. ArbitrationproceedingsshallbeconductedinEnglish.

Bangladesh,Indonesia,andSriLanka

ReplaceTermsandConditionssubsection11htitled“Applicablelaw,”thirdsentenceoftheparagraph,withthefollowing:

ThepartiesagreethatthetermsofanyStatementofServiceswillbegovernedbythelawsofSingapore.

Indonesia

SupplementTermsandConditionssection11titled“Miscellaneous”withthefollowing:

Englishlanguagecontrols. ThepartiesagreethattheseMasterTermsandanyagreementbewrittenandexecutedinEnglishandthat,intheeventtheseMasterTermsoranyagreementaretranslatedintoBahasaIndonesiatocomplywiththeimplementingregulationsofIndonesianLawNo.24/2009,theEnglishlanguageversionoftheMasterTermsandanyagreementcontrols.

Japan

ReplacetheURLidentifiedinsection1titled“Definitions”in the Product List definition withthefollowing:
Replacethe URL identifiedinsection1titled “Definitions” in the Product Use Rights definition withthefollowing:
ReplaceTermsandConditionssubsection11htitled“Applicablelaw”withthefollowing:

ThetermsofanySupplementalAgreementorStatementofServiceswillbegovernedbyandconstruedinaccordancewiththelawsofJapan.

Replacethe URL identifiedin subsection11n titled “U.S. export jurisdiction” in the withthefollowing:

Turkey

Replacesection10titled“InsurancewhileperformingServicesonCustomer’spremises”initsentiretywiththefollowing:

10.InsurancewhileperformingServicesonCustomer’spremises.

MicrosoftwillprocureandmaintainthefollowinginsurancecoverageatalltimeswhenperformingServicesonCustomer’spremises.Theinsurancecoveragewillbeviacommercialinsurance,self-insurance,acombinationofthetwooranyothersimilarriskfinancingalternative:

CommercialGeneralLiabilitycoveringbodilyinjuryandtangiblepropertydamage;
Workers’Compensation(ormaintenanceofalegallypermittedandgovernmentally-approvedprogramofself-insurance)coveringMicrosoftemployeespursuanttoapplicablestateworkers’compensationlawsforwork-relatedinjuriessufferedbyMicrosoft’semployees;
Employer’sLiability;
ProfessionalLiability/ErrorsOmissionsLiabilitycoveringdamagesarisingoutofnegligentacts,errors,oromissionscommittedbyMicrosoftoritsemployeesintheperformanceofServices;and
AutomobileLiability(ifvehiclesarebroughtonCustomer’spremisesorusedintheperformanceoftheServices)forbodilyinjuryandpropertydamagecoveringowned,non-ownedandhiredvehicles.

MicrosoftwillprovideCustomerwithevidenceofcoverageonrequest.

SupplementTermsandConditionssection11titled“Miscellaneous”withthefollowing:

p.Stamptax. MicrosoftwillnotberesponsibleforanystamptaxesthatmightbeowedpursuanttothisagreementortoanySupplementalAgreementorStatementofServicesenteredbyCustomerand/orCustomer’sAffiliates. UponMicrosoft’srequest,CustomeranditsAffiliateswillprovidetoMicrosoftevidenceofpaymentoftheappropriatestamptaxestotheappropriateauthorities.CustomeranditsAffiliateswilljointlyandseverallybeliabletoMicrosoftforalldamagesandcostsMicrosoftmayincurduetothefailureoftheCustomerand/orCustomer’sAffiliatestofulfillthestamptaxobligation.

13.Country-specificServicesterms.

Inanycasewherethelawofanyofthejurisdictionscitedbelowisapplied,thefollowingcountry-specificprovisionswillreplaceorsupplementtheequivalentprovisionsasnoted:

Albania

SupplementTermsandConditionssection6titled“Limitationofliability”withthefollowing:

TheCustomershallagreetothetermsandconditionsofanylimitationofliabilityspecifiedinthisagreement,particularlyinthissection,andshallalsoapprovethatlimitationofliabilityinaseparatewrittenstatementofwork.

SupplementTermsandConditionssubsection11mtitled“Servicespaymentterms”withthefollowing:

Microsoftundertakestopayonlyapplicabletaxesonitsincomeandonitspropertyandalsoanywithholdingtaxapplicableonitsincome.

Australia

SupplementTermsandConditionssection4titled“Warranties”withthefollowing:

f.Consumerremedies. Notwithstandinganythinginthisagreement(oranySupplementalAgreementorStatementofServicesincorporatingtheseterms),consumersmayhavethebenefitofcertainrightsorremediespursuanttotheTradePracticesAct1974(Cth)andsimilarstateandterritorylawsinAustraliainrespectofwhichliabilitymaynotbeexcluded.Ifso,thentothemaximumextentpermittedbylaw,suchliabilityislimited,atMicrosoft’soption,inthecaseofgoodstoeither(1)replacementofthegoodsor(2)correctionofdefectsinthegoods,andinthecaseofServicestoeither(1)resupplyoftheServicesor(2)thecostoftheresupplyoftheServices.

SupplementTermsandConditionssection11titled“Miscellaneous”withthefollowing:

o.GST. IfanyGSTispayableonanysuppliesmadeunderaSupplementalAgreementorStatementofServicesenteredintobyCustomerorCustomer’sAffiliatesunderthisagreement,anamountonaccountofthisGSTwillalsobepayablebyCustomerasinvoicedtoCustomer.

Austria

SupplementTermsandConditionssection4titled“Warranties”withthefollowing:

f.AgreedCharacteristics;ClaimsduetoDefectsinqualityandDefectsintitle. TotheextentthatMicrosoftshouldberequiredtosupplyayettobeproducedmoveablething(herzustellende,beweglicheSache)ortotheextentMicrosoft'sServicesare,exceptionally,consideredworkperformances(Werkleistungen),thefollowingprovisionsg.tok.ofthissectionwillapplytoclaimsduetodefectsinqualityordefectsintitle(collectivelyreferredtoas“Defects”)butwillnotapplywheretheclaimsarefordamagesorreimbursementofexpenses.Theprovisionscontainedinsectionentitled“LimitationofLiability”shallapplytoclaimsfordamagesorexpensesresultingfromDefects.

g.Warrantyincaseofmaliciousnon-disclosureofaDefect. Customer'srightsandtheirexpirywillbeexclusivelydeterminedinaccordancewithapplicablestatutorylawintheeventofmaliciousnon-disclosureofaDefect(arglistigesVerschweigen).

h.SpecifiedSoftwareCharacteristics. MicrosoftgivesCustomerexpressnoticethat,basedonthecurrentstateoftechnology,itisnotpossibletodevelopcomplexsoftwareproductsthatareentirelyfreeoftechnicaldefects.Thecontractuallyspecifiedcharacteristics(vertraglicheBeschaffenheit)ofthesoftwaretobeprovidedbyMicrosoftdoesnotrequirethatthesoftwarebecompletelyfreeofprogrammingerrorsbutmerelythatthesoftwarebefreeofprogrammingerrorsthatmateriallyimpairitsuse.

i.ObligationtogivewrittennoticeofanyDefect. TotheextentMicrosoftisrequiredtosupplyayettobeproducedmoveablething,CustomermayonlymakeaclaimagainstMicrosoftifCustomerhasproperlycompliedwithhisobligationtonotifyMicrosoftofallDefectsinaccordancewith§377oftheAustrianCommercialCode(UGB). CustomermustprovideMicrosoftwithawrittennoticeofanyapparentDefectfoundbyCustomerduringCustomer'sexaminationaccordingto§377oftheAustrianCommercialCode(UGB)immediately,butnolaterthanwithintwoweeksafterdelivery.CustomermustprovideMicrosoftwithawrittennoticeofanyhiddenDefectsimmediatelyafterdiscovery.

j.ReimbursementforDefectsnotcoveredbylimitedwarranty. IntheeventMicrosoftprovesthattherewasnoDefectforwhichMicrosoftwasresponsiblebasedonthissection,Microsoftwillbeentitledtorequirereimbursementofitsexpenses,basedonMicrosoft'sstandardrates,incurredforitsremedyefforts.

k.NowarrantyforDefectscausedbyalteration. CustomermaynotmakeaclaimunderthissectionifCustomerorathirdpartyhasalteredthesupplied,yettobeproducedmoveablethingortheworkperformancewithoutMicrosoft'sconsent,unlessCustomerisabletoprovethattheDefectinquestionwasnotcausedbythatalteration.

ForthepurposesofServices,replaceTermsandConditionssection6,titled“Limitationofliability,”withthefollowing:

6.Limitationofliability

Microsoft'sliabilityforanyandalldamagesinrelationtotheperformanceofServices,irrespectivewhethercausedbybreachofcontract,Defectsorunlawfulact,shallbelimitedasfollows:

a.Liabilityincaseofintent,productliability,maliciousnon-disclosureandclaimsbasedondamagetolife,body,orhealth. Incasesofintentionalacts,claimsundertheProductLiabilityAct,maliciousnon-disclosureofaDefect,aswellasclaimsbasedondamagetolife,bodyorhealth,Microsoft'sliabilityshallbedeterminedinaccordancewithstatutorylaw.

b.Limitationincaseofgrossnegligence. Incaseofgrossnegligence,Microsoft'sliabilityshallbelimitedtothereimbursementoftypicalforeseeabledamages,butonlyuptotheamountofCustomer'sconsiderationfortheServicesthatwerenotproperlyperformed,or,ifseveralServicesareconcerned,uptotheirtotalamount. ForServicesprovidedtoCustomerfreeofcharge,Microsoft'stotalliabilitytoCustomerwillnotexceedUS$5000,oritsequivalentinlocalcurrency.

Incaseof"simple"grossnegligence,Microsoftshallundernocircumstancesbeliableforincidentallossorconsequentialdamages(includingbutnotlimitedtolossofanticipatedprofits,lossofgoodwill,lossofdata,lossasaresultoftheinterruptionofbusinessorsimilarlosses)arisingoutoforinconnectionwithanyStatementofServices,ServicesDeliverables,Fixes,Productsoranyothermaterialsorinformation.

c.Proofofintentorgrossnegligence. Customerwillhavetoprovetheexistenceofintentorgrossnegligence.

d.Limitationincaseofslightnegligence. Microsoft'sliabilityforslightnegligenceisexcluded.

e.Liabilityforthelossofdataandcostsofrecovery. CustomerisobligedtosecureanyandalldataandprogramspriortoMicrosoft'sengagement.Microsoftshallundernocircumstancesbeliableforthelossofdataorprogramsorforcostsoftherecoveryofdataorprograms,insofarasthiscouldhavebeenavoidedbyfulfillingthisobligation.Furthermore,Microsoftactsontheassumptionthatstandardsoftwarehasnotbeenalteredormodified,unlessCustomerhasindicatedsuchalterationsormodificationsindetailinwritingpriortoMicrosoft'sengagement.

f.Limitedperiodforliabilityclaims. AnyclaimfordamagesresultingfromDefectswillexpirewithinoneyear. Forasupplied,yettobeproduced,moveablething,thelimitationperiodwillstartonthedeliverydate;incasesofworkperformances,thelimitationperiodwillstartonthedateofacceptance(Abnahme).

AnyotherclaimsagainstMicrosoftfordamageswillexpirewithintwoyearsfromthedatethecauseofactionarises.

Theprovisioncontainedinthissubsectionentitled“Limitedperiodforliabilityclaims”shallnotapplytothecasesgovernedbysubsectionaboveentitled“Liabilityincaseofintent,productliability,maliciousnon-disclosureandclaimsbasedondamagetolife,body,orhealth.” Insuchcases,statutorylawshallapply.

Microsoft’slimitationsonliabilityforOnlineServicesandProductsareaddressedinSection6.

CzechRepublic

SupplementTermsandConditionssubsection2b(ii)titled“Pre-existingWork”withthefollowing:

CustomerrepresentsthattheauthorhasgrantedrelevantapprovalstomodifyCustomer’spre-existingwork. Inadditiontotheotherrightsgranted,Microsoftfurtherconsentstothemodification(ifapplicable)ofanyofMicrosoft’sPre-existingWorkaspartofaServicesDeliverable,solelyintheformdeliveredtoCustomer,andsolelyforCustomer’sinternalbusinessoperations. AnyviolationofconditionsofthisagreementoranyStatementofServicesbyCustomerwillbeaconditionsubsequentforobtainingtheperpetuallicensetoMicrosoft’sPre-existingWorkthatMicrosoftleavestoCustomerattheconclusionofMicrosoft’sperformanceoftheService.

SupplementTermsandConditionssubsection4titled“Warranties”withthefollowing:

ServicesDeliverables. Microsoft’sServicesDeliverablesaredevelopedaccordingtothemostrecenttechnicalandscientificknowledge. MicrosoftgivesCustomeranexpressnoticethat,basedonthecurrentstateoftechnology,itisnotpossibletodevelopcomplexsoftwarethatiscompletelyfreeoftechnicaldefects,whichmayoccurinthefuture. ThesoftwareprovidedbyMicrosoftneednotbecompletelyfreeofprogrammingerrorsbutwillperformsubstantiallyinaccordancewithMicrosoft’suserdocumentationor,ifnouserdocumentationexistsinaccordancewiththerelevantStatementofServices,industrystandards.

SupplementTermsandConditionssubsection4etitled“DISCLAIMEROFOTHERWARRANTIES”withthefollowing:

SECTIONS425AND560OFTHECZECHCOMMERCIALCODEDONOTAPPLYTOSERVICESANDPRODUCTSPROVIDEDUNDERTHISAGREEMENT.

SupplementTermsandConditionssubsection6atitled“Limitationonliability”withthefollowingsentence:

Thelimitationscontainedinthisparagraphreflectthedamagethatthepartiesexpresslyagreecanbeforeseenatthetimeofconclusionofthisagreement,takingintoaccountallcircumstancesthepartiesnoworshouldknowwhileexercisingduecare,andthatcanarisefromabreachofMicrosoft’sobligationsunderthisagreement.

SupplementTermsandConditionssection6titled“Limitationofliability”withthefollowing:

e.SpecificprovisionsintheStatementofServices. WhereaStatementofServicesprovidesforcontractualpenaltiesforbreachesofMicrosoft’sobligationsundertheStatementofServicesorthisagreement,thesecontractualpenaltieswillbeappliedinsteadofdamages. CustomerwillnotbeentitledtodamagesresultingfromMicrosoft’sbreachesofaStatementofServicesorthisagreementforwhichcontractualpenaltieswereagreed.

Finland

SupplementTermsandConditionssubsection2b(iii)titled“Developments”withthefollowing:

TheprovisionsoftheActonJointOwnership(180/1958)areherebyexcluded.

Germany

SupplementTermsandConditionssection4titled“Warranties”withthefollowing:

TotheextentthatMicrosoftshouldberequiredtosupplyayettobeproducedmovablething(herzustellende,beweglicheSache)ortotheextentMicrosoft’sServicesare,exceptionally,consideredworkperformances(Werkleistungen),thefollowingprovisionswillapplytoclaimsduetodefectsinqualityordefectsintitle(collectivelyreferredtoas“Defects”)butwillnotapplywheretheclaimsarefordamagesorreimbursementofexpenses.

Theprovisionscontainedinsectionentitled“Limitationofliability”shallapplytoclaimsfordamagesorexpensesresultingfromDefects.

f.Customer’srightsandtheirexpirywillbeexclusivelydeterminedinaccordancewithapplicablestatutorylawintheeventofmaliciousnon-disclosureofaDefect(arglistigesVerschweigen).

g.MicrosoftgivesCustomerexpressnoticethat,basedonthecurrentstateoftechnology,itisnotpossibletodevelopcomplexsoftwareProductsthatarecompletelyfreeoftechnicaldefects.Thecontractually-specifiedcharacteristics(vertraglicheBeschaffenheit)forthesoftwaretobeprovidedbyMicrosoftdoesnotrequirethatthesoftwarebecompletelyfreeofprogrammingerrorsbutmerelythatthesoftwarebefreeofprogrammingerrorsthatmateriallyimpairitsuse.

h.Microsoft’sobligationswillnotapplytotheextentthataclaimisbasedon(1)specifications,code,ormaterialsCustomerprovided;(2)useof,oraccessto,ServicesDeliverablesbyanypersonorentityotherthanCustomeroritsAffiliatesaspermittedbytheapplicableStatementofServices;(3)Customer’suseofServicesDeliverablesafterMicrosoftnotifiesCustomertodiscontinuetheiruseduetosuchaclaim;(4)Customer’scombiningServicesDeliverableswithnon-Microsoftproducts,dataorbusinessprocesses.

i.TotheextentMicrosoftisrequiredtosupplyayettobeproducedmovablething,CustomermayonlymakeaclaimagainstMicrosoftifCustomerhasproperlycompliedwithCustomer’sobligationtonotifyMicrosoftofallDefectsinaccordancewith§377oftheGermanCommercialCode(HGB). CustomermustprovideMicrosoftwithwrittennotificationofanyapparentDefectfoundbyCustomerduringitsexaminationaccordingto§377oftheGermanCommercialCodeimmediately,butnolaterthanwithintwoweeksafterdelivery.CustomermustnotifyMicrosoftinwritingofanyhiddenDefectsimmediatelyafterdiscovery.

j.MicrosoftwillrectifyDefectsofwhichCustomerhasgivenMicrosoftnoticepriortotheexpiryofthelimitationperiodstipulatedinthissection.TotheextentCustomerhasmadeaclaimagainstMicrosoftforsubsequentperformance(Nacherfüllung)Microsoftwillhavetheright,initssolediscretion,toeitherrectifytheDefect,ortosupplyanewmovablething,or,ifthedefectisinaworkperformance,tocreateanewworkfreeofDefects.CustomeragreestocooperateinMicrosoft’ssubsequentperformancebyprovidinganyrequiredinformationanddocumentationandtoprovideallreasonableassistance.

k.CustomermaybeentitledtorescindtherespectiveStatementofServices—totheextentrescissionisnotexcludedbystatutorylaw—ortoreducepaymentonlyafteranappropriatedeadlinesetbyCustomerforsubsequentperformanceofatleastthreeweekshasexpired,unlessthatdeadlineisnotrequiredbystatutorylaw.

l.IntheeventMicrosoftprovesthattherewasnoDefectforwhichMicrosoftwresponsiblebasedonthissection,Microsoftwillbeentitledtorequirereimbursementoftheexpenses,basedonMicrosoft’sstandardrates,incurredforMicrosoft’seffortstocarryoutsubsequentperformance.

m.CustomermaynotmakeaclaimunderthissectionifCustomerorathirdpartyhasalteredthesupplied,yettobeproducedmoveablethingortheworkperformancewithoutMicrosoft’sconsent,unlessCustomerisabletoprovethattheDefectsinquestionwerenotcausedbythatalteration.

n.AllclaimstowhichCustomerisentitledpursuanttothissectionwillexpirewithinoneyear. Forasupplied,yettobeproduced,movablething,thelimitationperiodwillstartonthedeliverydate;incasesofworkperformances,thelimitationperiodwillstartonthedateofacceptance(Abnahme).

Theforegoingshallnotaffecttheprovisioncontainedin§438,paragraph1Nr.1a)oftheGermanCivilCode.

ForthepurposesofServices,replaceTermsandConditionssection6titled“Limitationofliability”withthefollowing:

6.Limitationofliability.

TheremaybesituationsinwhichCustomerhasarighttoclaimdamagesorreimbursementoffutile(ErsatzvergeblicherAufwendungen)expensesfromMicrosoft. WhateverthelegalbasisforCustomer’sclaim(breachofcontract,Defects,tortorotherwise),Microsoft’sliabilityforanyandallresultantdamageswillbelimitedasfollows:

a.Incasesofintentionalacts,claimsundertheGermanProductLiabilityAct,maliciousnon-disclosureofaDefect,aswellasclaimsbasedondamagetolife,bodyorhealth,Microsoft’sliabilitywillbedeterminedexclusivelyinaccordancewithstatutorylaw.

b.Incasesofgrossnegligence,Microsoft’sliabilitywillbelimitedtotypicalforeseeabledamages.ThislimitationdoesnotapplytotheextentdamageshavebeencausedbyMicrosoft’smanagingemployeesorlegalrepresentatives.

c.Incasesofslightnegligence,MicrosoftwillonlybeliableifMicrosoftisinbreachofsuchcontractualobligations,thefulfillmentofwhichallowsforthedueperformanceofthisagreement,thebreachofwhichwouldendangerthepurposeofthisagreementandthecompliancewithwhichCustomermayconstantlytrustin(so-called“cardinalobligations”). Insuchcases,Microsoft'sliabilitywillbelimitedtotypicalandforeseeabledamages. Inallothercases,Microsoftshallnotbeliableforslightnegligence.

d.Incasesofliabilitywithoutfaultforaninabilitytoperformduringdelayedperformance,Microsoft’sliabilitywillalsobelimitedtotypicalforeseeabledamages.

e.IncaseswhereMicrosoftisrequiredtosupplyayettobeproducedmovablething,anyclaimfordamagesorexpensesduetoDefectsisconditionaluponCustomer’scompliancewithCustomer’sobligationsdescribedinsection5dabovetonotifyMicrosoftofallDefects.

f.AnyclaimfordamagesorexpensesresultingfromDefectswillexpirewithinoneyear. Forasupplied,yettobeproduced,movablething,thelimitationperiodwillstartonthedeliverydate;incasesofworkperformances,thelimitationperiodwillstartonthedateofacceptance(Abnahme).Thisprovisiondoesnotaffect§438,paragraph1Nr.1a)oftheGermanCivilCode.

AnyotherclaimsagainstMicrosoftfordamagesorexpenseswillexpirewithintwoyearsfromthedatethecauseofactionarises.

TheprovisioncontainedinthissubsectionshallnotapplytointentionalactsorgrosslynegligentbehavioronMicrosoft’spart. Insuchcases,statutorylawshallapply.

Hungary

SupplementTermsandConditionssection6titled“Limitationofliability”withthefollowing:

d.Negotiatedterms. Thepartiesacknowledgethatthisagreementwasenteredintowithtermsindividuallynegotiatedbetweenthepartiesandthatthepartieshadtheopportunitytoofferamendmentproposalstothedrafts. CustomeracknowledgesthatMicrosofthasexpresslyraiseditsattentiontothetermsandconditionssetoutinthesectionsentitled“Warranties,”“Defenseofinfringement,misappropriation, and third party claims,”“Customer’sagreementtoprotect”and“Limitationofliability”ofthisagreementandCustomerexpresslyacknowledgestheacceptanceofthoseterms.

e.Acknowledgementoflimitedliabilityandwarranty. Customeragreesthatprovisionsofthisagreementlimitingorexcludingtheliabilityand/orwarrantyobligationsofMicrosoftwereagreedbythepartieswithrespecttothepricelevelofferedbyMicrosofttoCustomerandtotheusualtermsandconditionsappliedintheinformationtechnologyindustry. CustomeracknowledgesthatMicrosofthasstipulateditspricelevelsandlicensetermsontheassumptionthattheliabilityandwarrantylimitationsandexclusionsofthisagreementarevalidcontractualterms. CustomeralsoacknowledgesthatitisacquaintedwiththeprovisionslimitingandexcludingMicrosoft’sliabilityand/orwarrantyobligationsand,bysigningthisagreement,Customerexpresslyacceptstobeboundbythoseprovisions. CustomerspecificallyacceptsandagreesthatitwillnotclaimtheinvalidityoftheprovisionsofthisagreementlimitingorexcludingMicrosoft’sliabilityand/orwarrantyobligations. Whileenteringintothisagreement,thepartieshavespecificallytakenintoconsiderationSection314Paragraph(2)oftheHungarianCivilCode,andacceptthatthecontractualtermsintheirentiretyadequatelyequalizetheliabilityandwarrantylimitationsandexclusionsoftheagreement. Notwithstandinganythingtothecontraryinsubsectionentitled“Severability”ofthisagreement,shouldanyoftheliabilityandwarrantylimitationsandexclusionsprovisionsprovetobeinvalidorunenforceable,thepartiesunanimouslydeclarethattheyhadnotenteredintothisagreementwithoutsuchprovisionsinplace,andshouldtheinvalidityofanysuchtermbeestablishedbythecompetentcourt,thepartiesagreetoelecttheinvalidityoftheentireagreement.

SupplementTermsandConditionssection11titled“Miscellaneous”withthefollowing:

NewZealand

SupplementTermsandConditionssection11titled“Miscellaneous”withthefollowing:

p.Statutoryliability.

(i)Business. WhereMicrosoftisasupplier(asthattermisdefinedintheConsumerGuaranteesAct1993(“CGA”))oftheProductsorServices,CustomerconfirmsthattheProductsorServicesprovidedbyMicrosoftunderaSupplementalAgreementorStatementofServicesareacquiredforthepurposesofabusiness(asthattermisdefinedintheCGA)andCustomeragreesthattheCGAdoesnotapplytotheProductsorServicessuppliedbyMicrosoft.

(ii)Consumers. Nothinginthisagreement(oranySupplementalAgreementorStatementofServicesincorporatingtheseterms)isintendedtolimittherightsofa“consumer”undertheCGAwherethatActapplies,excepttotheextentpermittedbythatAct,andthetermsofthisagreementaretobemodifiedtotheextentnecessarytogiveeffecttothisintention.

q.GST. IfanyGSTispayableonanysuppliesmadeunderaSupplementalAgreementorStatementofServicesenteredintobyCustomerorCustomer’saffiliatesunderthisagreement,anamountonaccountofthisGSTwillalsobepayablebyCustomer asinvoicedtoCustomer.

ThePhilippines

SupplementTermsandConditionssection11titled“Miscellaneous”withthefollowing:

p.Continuedaccesstoimprovements. MicrosoftwillmakeavailabletoCustomer,throughappropriateStatementsofServices,continuedaccesstoimprovementsintechniquesandprocessesrelatedtoProductsvalidlylicensedtoCustomer.

Poland

ReplaceTermsandConditionssubsection4etitled“DISCLAIMEROFOTHERWARRANTIES”withthefollowing:

e.OTHERTHANTHISLIMITEDWARRANTY,MICROSOFTPROVIDESNOOTHEREXPRESSORIMPLIEDWARRANTIESORGUARANTEES.MICROSOFTDISCLAIMSANYIMPLIEDWARRANTIESOFMERCHANTABILITY,FITNESSFORAPARTICULARPURPOSE,SATISFACTORYQUALITY,TITLE,ORNON-INFRINGEMENT. MOREOVER,MICROSOFTDISCLAIMSANDEXCLUDESITSLIABILITYUNDERWARRANTIESFORDEFECTS(RĘKOJMIAZAWADY)OFSERVICESOROTHERGOODSSUPPLIEDORPERFORMEDFORTHECUSTOMERONTHEBASISOFTHISAGREEMENTORANYSTATEMENTOFSERVICES.FOREGOINGEXCLUSIONOFLIABILITYUNDERWARRANTIESAPPLIESALSOTOTHERIGHTS,INCLUDINGINTELLECTUALPROPERTYRIGHTS,WITHRESPECTTOWHICHMICROSOFTGRANTEDITSCUSTOMERTHERIGHTTOUSE. THESEDISCLAIMERSWILLAPPLYUNLESSAPPLICABLELAWDOESNOTPERMITTHEM.

SupplementTermsandConditionssection6titled“Limitationofliability”withthefollowing:

d.Iftheactoromissionwhichcausedthedamageconsistedinthenon-performanceorimproperperformancebyMicrosoftofthisagreementoranyStatementofServiceandatthesametime,constitutedabaseforthetortliabilityofMicrosoft,theCustomerwillbeentitledtoclaimthatsuchdamageberepairedexclusivelyonthebasisofthissectionoftheagreementandonlywithinthescopesetforthinsubsectionaboveentitled“Limitationonliability.”

SlovakRepublic

SupplementTermsandConditionssubsection2b(ii)titled“Pre-existingWork”withthefollowing:

SupplementTermsandConditionssubsection4titled“Warranties”withthefollowing:

Microsoft’sServicesDeliverablesaredevelopedaccordingtothemostrecenttechnicalandscientificknowledge. MicrosoftgivesCustomeranexpressnoticethat,basedonthecurrentstateoftechnology,itisnotpossibletodevelopcomplexsoftwareproductsthatarecompletelyfreeoftechnicaldefects,whichmayoccurinfuture. ThesoftwareprovidedbyMicrosoftneednotbecompletelyfreeofprogrammingerrorsbutwillperformsubstantiallyinaccordancewithMicrosoft’suserdocumentationorifnouserdocumentationexistsinaccordancewiththerelevantStatementofServices.

SupplementTermsandConditionssubsection4etitled“DISCLAIMEROFOTHERWARRANTIES,”withthefollowing:

SECTIONS425AND560OFTHESLOVAKCOMMERCIALCODEDONOTAPPLYTOSERVICESANDPRODUCTSPROVIDEDUNDERTHISAGREEMENT.

SupplementTermsandConditionssubsection6atitled“Limitationonliability”withthefollowingsentence:

Thelimitationscontainedinthisparagraphreflectthedamagethatthepartiesexpresslyagreecanbeforeseenatthetimeofconclusionofthisagreement,takingintoaccountallcircumstancesthepartiesknoworshouldknowwhileexercisingduecareandthatcanarisefromabreachofMicrosoft’sobligationsunderthisagreement.

SupplementTermsandConditionssection6titled“Limitationofliability”withthefollowing:

d.SpecificprovisionsintheStatementofServices. WhereaStatementofServicesprovidesforcontractualpenaltiesforbreachesofMicrosoft’sobligationsundertheStatementofServicesorthisagreement,thesecontractualpenaltieswillbeappliedinsteadofdamages. CustomerwillnotbeentitledtodamagesresultingfromMicrosoft’sbreachesofaStatementofServicesorthisagreementforwhichcontractualpenaltieswereagreed.

Spain

ReplaceTermsandConditionssubsection6atitled“Limitationonliability”firstparagraph,withthefollowing:

a.Limitationonliability. Exceptasotherwisespecificallyprovidedinthissection,totheextentpermittedbyapplicablelaw,theliabilityofMicrosoftandofMicrosoft’scontractorstoCustomerarisingunderthisagreementislimited,toactualdamages(damnumemergens)(excludinglossofbusinessinformation)uptotheamountCustomerhaspaidfortheProductorServicesgivingrisetotheclaims. InthecaseofProductsorServicesprovidedfreeofcharge,orcodethatCustomerisauthorizedtoredistributetothirdpartieswithoutseparatepaymenttoMicrosoft,Microsoft’stotalliabilityislimitedtoUS$5000. Theselimitationsapplyregardlessofwhetherliabilityisbasedonbreachofcontract,tort(includingnegligence),strictliability,breachofwarranties,oranyotherlegaltheory. However,thesemonetarylimitationswillnotapplyto:

ReplaceTermsandConditionssubsection7btitled“EXCLUSIONOFCERTAINDAMAGES”withthefollowing:

b.EXCLUSIONOFCERTAINDAMAGES. TOTHEMAXIMUMEXTENTPERMITTEDBYAPPLICABLELAW,NEITHERPARTYNORANYOFITSAFFILIATESORCONTRACTORSWILLBELIABLE(1)FORANYDAMAGESOTHERTHANACTUALDAMAGES(DAMNUMEMERGENS)(INCLUDING,WITHOUTLIMITATION,DAMAGESFORLOSSOFPROFITSORREVENUES,ORBUSINESSINTERRUPTION),OR(2)FORLOSSOFBUSINESSINFORMATION,ARISINGINCONNECTIONWITHANYAGREEMENT,PRODUCT,FIXORSERVICE. THISEXCLUSIONOFLIABILITYDOESNOTAPPLYTOEITHERPARTY’SLIABILITYTOTHEOTHERFORVIOLATIONOFITSCONFIDENTIALITYOBLIGATIONOROFTHEOTHERPARTY’SINTELLECTUALPROPERTYRIGHTS.

Switzerland

SupplementTermsandConditionssubsection4a(iii)withthefollowing:

AllServicesarerenderedunderacontractofmandateinthesenseofpara.394etseq.oftheSwissCodeofObligations.

Ukraine

SupplementTermsandConditionssection6titled“Limitationofliability”withthefollowing:

d.Application. Exceptasspecifiedexpresslyinthissection,thelimitationsonandexclusionsofliabilityfordamagesinthisagreement(includinganySupplementalAgreementorStatementofServicesincorporatingtheseterms)applyregardlessofwhethertheliabilityisbasedonbreachofcontract,tort,breachofwarranties,oranyotherlegaltheory.

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