The Contractor shall only be liable to make good any defects in the Installation which stem from his faulty design or his selection of unsuitable or inadequate materials or from faulty materials or bad workmanship. Provided that;
- the Contractor received written notice of any defect within 12 months of the completion of the Installation, and
- the Installation has been under proper operating conditions; and
- in the case of materials and goods supplied and fixed but not manufactured by the Contractor, the extent of the Contractors' liability in respect thereof shall not exceed the extent of his suppliers' or the manufacturers' liability to the Contractor.
PROVIDED the paragraph 15(1)(iii) shall not operate unless, before entering any contract for the purchase of such materials and goods, the Contractor has informed the Employer of the nature and extent of his supplier's intention to limit or exclude his liability; and
- the Employer has agreed that the Contractor's liability under these Conditions shall, mutatis mutandis, be of the same nature and extent, or
- there are no alternative sources of supply for the materials and goods.
The Contractor shall not be liable to make good any defects in the Installation which arise from the operation of the same by the Employer, his servants or agents before the date of completion, nor shall the Contractor be liable for any loss or damage arising directly or indirectly as a consequence of such operation.
Completion of the Installation shall be deemed to have occurred and the guarantee period to have commenced on the date on which the Contractor gives notice to the Employer or his agent that the Installation is ready for use.
The Contractor shall not be liable in respect of any defect which may occur in any previously existing system to which the Installation may be connected unless and to the extent that such defect is caused or contributed to by a defect in the Installation for which the Contractor would be liable under this clause.
Save as is provided in this clause, the Contractor shall not be liable for any loss or damage whether arising directly or indirectly as a consequence of any defect in the Installation save to the extent that such defect is caused by the negligence of the Contractor, his servants or agents.