1 Warranty, Product Liability

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§1 Warranty, product liability

10.1 The Distributor is obliged to fulfil justified warranty claims by customers. The Distributor
will inform TOPICS Medical in good time about any warranty claim that results or could
result in a legal dispute due to specific evidence. In addition, the provisions in § 8 Number 4
apply.
10.2 The Distributor will inform TOPICS Medical without delay about any product faults and
risks of which he becomes aware when using the Contractual Products.
This agreement does not affect TOPICS Medical's product liability as stated in Number 4 below.
10.3 The Distributor will not modify Contractual Products without the prior agreement of
TOPICS Medical. This also applies with regard to their features, packaging and warnings. If
the Distributor infringes these obligations, he is liable to TOPICS Medical internally for
product liability claims by third parties if and to the extent to which the damage was caused
by the behaviour of the Distributor.
10.4 The Distributor shall maintain adequate product liability insurance with a reasonable
coverage and provide TOPICS Medical with a confirmation immediately upon its request. In
particular, such insurance shall cover pecuniary loss and recall costs (extended product
liability). In the event that any recall measures, field corrections or corrective and preventive
action (“CAPA”) is carried out by TOPICS Medical, the Distributor shall be obliged to use
best efforts to assist TOPICS Medical at the Distributor’s own expense.
10.5.a) In the event of injury or loss of life, or damage to something other than the Product being
caused due to a Product being defective, TOPICS Medical’s liability shall not exceed the
maximum amount of EUR three (3) Mio during the term of this Contract. For all other
damages, TOPICS Medical’s liability shall not exceed 100% of the purchase price of the
shipment, which included the defective or delayed Products, irrespective of whether the
claim is based on contract or on the statutory provisions. In the event of intent, TOPICS
Medical’s liability shall not be limited.

§2 Contractual term and termination


11.1.a) The agreement starts on June 30th, 2015 and has been concluded for the EU: for the term of
five years. Both contractual parties may terminate the agreement whilst complying with a
notice period of (three) 3 months to the end of a calendar month. The agreement may not be
terminated to end after less than (one) 1 year of validity.
11.2 The right to extraordinary cancellation for a justifiable cause remains unaffected. The
following are considered to be some of the justifiable causes for a termination by TOPICS
Medical.

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