Hyundai Construction Equipment, Co., Ltd. (“HCE”) hereby extends each end-user customer (“Customer”), who purchases a new HCE equipment (“Product”) from an authorized HCE dealer (“Dealer”) Subject to the exceptions and limitations set forth below, HCE, through authorized HCE dealer, will repair or replace any part of a new Product, or new part which proves to be defective in material or workmanship within the following periods (the “Warranty Period”):

Warranty Period

• 9(S), HX(S) series Excavator / 9(S), HL9 series Wheel Loader/ Backhoe Loader: 2 years/3000 hours, whichever occurs first.
• 7(A) series Excavator & Wheel Loader / Motor Grader / Skid Steer Loader/ Wheel Loader (HL6XX): 1 years/2000 hours whichever occurs first.

The Warranty Period shall commence immediately upon delivery of said Product to the Customer whichever comes first, as shown by the delivery information on this Certificate. The foregoing limited Warranty shall include the standard (recognized shop manual) labor cost to accomplish the repair or replacement of the defective part provided that the repair or replacement is performed by an authorized HCE Dealer.

This warranty does not apply, but not limited, to:

Normal consumable items

• Fuel
• Lubricant (Oil and grease)
• Antifreeze, antirust and refrigerant
• Battery fluid
• Brake and Clutch fluid
• Filters such as air cleaner filter, fuel filter and oil filter element
• Etc

Normal wearing parts

• Tires, undercarriage, buckets and cutting edges
• Brake and Clutch
• Windshield wiper blade and bolts
• Lamp bulbs and fuses
• Batteries
• V-Belts
• Etc

Defects and /or functional problems attributable to

• Any change or modification made to Products without the prior written consent of HCE.
• Operation, maintenance, service and storage in any manner not specified on Operator's or Service manual, improper repair by anyone other than Dealer or authorized personnel by HCE.
• Use of parts or components not approved by HCE.
• Use of attachments not approved by HCE.
• Operation beyond the rated capacity.
• Lubricants and filters used for repair.
• Supply items such as brake cleaning fluid, gasket material and etc.
• Deterioration of gasket, seals, hoses, electrical wiring and connectors and etc, caused by chemical, sand or other environmental condition.
• Oil analyzing expenses.
• Cost for machine transportation.
• Cost for Crane.
• Cost which is occurred due to non-operation of machine.
• Cost of demurrage of parts.

HCE obligation or liability shall not include :

• Merchantability or fitness for a particular purpose.
• General, special, incidental or consequential damage, or economic or moral loss, arising out of any failure of Products.
• Repairs resulted from neglect to satisfy the periodical inspections and services, and/or the routine checks and maintenance specified in the operator's manual.
• Repairs resulted from neglect to perform proper maintenance during long storage of machine after delivery.
• Services of personnel unauthorized by HCE and any defect resulting from such services.
• Repairs required as a result of traffic accidents, abuse or wrong handling of machine as set forth in the operator's manual.
• Costs incurred for maintenance service (checking, cleaning and lubricating).
• Defects in equipment, devices and accessories unauthorized by HCE and defects resulting from the use of such unauthorized equipment, devices, and accessories.
• Warranty obligation or coverage for any equipment that used the HCM(Hyundai Core Motion) Economic Parts.
• The labor costs to repair or replace defective parts after the expiration of the Warranty Period of the Product in which such part is located.
• Any parts, components, attachments, or accessories for which Customer receives a separate Warranty by the manufacturer or product thereof, such as engines (in specified cases said Warranty may be administered by HCE).

Damage caused by any casualty loss for which insurance coverage is available (whether or not an insurance claim is filed), or any accidents, misuse, negligence, or uninsured casualty type loss, environmental conditions, war or civil unrest, negligence or abuse, “Acts of God”, theft, or vandalism, work environment, force majeure or extreme environmental conditions, or similar items deemed, at the sole and absolute discretion of HCE, to be outside of its control.

The following conditions apply:

• All Products delivered to the first Customer are eligible for this Warranty. Only Products purchased by an authorized HCE Dealer from HCE are covered by this Warranty. This Warranty is not assignable or transferable.
• This Warranty is only applicable to Product configurations that are available from or authorized by HCE as applicable.
• All required inspection and registration documents must be submitted to HCE.
• Scheduled maintenance must be performed as described in the operator’s manual. Service records may be required to validate Warranty coverage. Customer agrees to use only genuine parts of the applicable manufacturer in the normal maintenance and repair of the machine or components for the term of this Warranty.
• All repairs must be performed by an authorized HCE Dealer using genuine HCE parts. Customer agrees to make the Product available for repair during normal working hours.  Premium rates are not covered under Warranty.

DISCLAIMER OF IMPLIED WARRANTIES AND LIMITATION OF REMEDIES

THE FOREGOING WARRANTY TO CUSTOMER IS EXCLUSIVE AND IS IN LIEU OF ALL OTHER WARRANTIES  EXPRESSED  OR  IMPLIED,  AND  THERE  IS  NO  IMPLIED  WARRANTY  OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE.  TO THE EXTENT ANY SUCH DISCLAIMER IS PROHIBITED BY LAW, ANY IMPLIED WARRANTIES ARE LIMITED IN DURATION TO THE PERIOD OF THE EXPRESS WARRANTY.

THE SOLE AND EXCLUSIVE REMEDIES AVAILABLE TO CUSTOMER UNDER THIS WARRANTY ARE LIMITED TO  MAKING A CLAIM UNDER THE  FOREGOING WARRANTY AND ARE EXPRESSLY LIMITED TO REPAIR OR REPLACEMENT  OF THE DEFECTIVE PRODUCT OR PART, AND TO OBTAINING THE PARTS AND LABOR IN ACCORDANCE WITH THE TERMS OF SAID WARRANTY. ALL OTHER REMEDIES ARE EXPRESSLY DISCLAIMED AND WAIVED BY CUSTOMER BY CUSTOMER’S PURCHASE OF THE PRODUCT.

Additional Limitations of Liability

Warranty – Disclaimers - Limitations

Limitations of Liability and Damages

Regardless of whether a claim is based on the foregoing Warranty or is an action in contract, tort (negligence or strict liability) or otherwise, the liability of HCE for losses, damages or expenses of any kind arising from the design, manufacture, repair or sale of the Products is limited, unless otherwise prohibited by law, to an amount not exceeding the cost of performing the repair or replacements obligations contained in the foregoing Warranty, and in no event shall their respective or joint liability exceed the value of the Product or part thereof giving rise to such liability.

Consequential and Similar Damages are NOT Recoverable

Except for performing the obligations of the foregoing Warranty in accordance with its terms, neither HCE nor its authorized Dealer shall have any liability for loss, damage, or expense, directly or indirectly, attributable to a loss of use of a Product, loss or damage to property other than the Product, loss or damage to the Product or any part thereof or any other economic or commercial loss, including, without limitation, lost profits or special or consequential damages (except liability for any type of consequential damages

 which by law may not be disclaimed).  The parties intend that this prohibition against consequential and similar damages will survive and be effective even if the limitations or remedies in the foregoing sections are found to fail of their essential purpose under section 2-719 of the Uniform Commercial Code.

Statute of Limitations

Any action by a Customer for breach of contract, for breach of Warranty arising under, or for a cause of action arising out of the sale of a Product, whether based on contract, tort (negligence or strict liability) or otherwise, shall be commenced within one (1) year after the cause of action has accrued.  Any such cause of action shall be deemed to have accrued at the earlier of (i) the discovery of the defect or breach, or (ii) the expiration of the applicable Warranty Period. 

The undersigned acknowledges receipt of a copy of the foregoing warranty, and by signing, it confirms that the parties had a chance to review the warranty and have any questions answered.