Warranty

choice, for Timken to re-perform the nonconforming portions of the

Services or issue a credit of a fair amount not to exceed the price paid

with respect to the nonconforming portions of the Services. To be

entitled to the exclusive remedy, Buyer must (a) submit the warranty

claim to Timken within one year following the Shipment Date for

Products or Completion Date for Services, as applicable (but no later

than six weeks following the first discovery of a possible

nonconformity), (b) return to Timken 100% or, if agreed by Timken,

a lesser but still statistically relevant percentage of the Products or

Service Items claimed to be defective, and (c) provide reasonable

evidence in support of the warranty claim, including, if requested by

Timken, results of diagnostic tests, evaluations and investigations

performed by Buyer or Buyer’s customer. The warranty claims

limitation period for repaired or replaced Products and re-performed

Services will expire at the same time as the original warranty claims

limitation period.

8.2 The remedy described in Section 8.1 is Buyer’s sole and

exclusive remedy for a breach of the limited warranty and for any

other claim relating to the Products and Services, regardless of the

basis of Buyer’s claim, whether it is in contract, tort, express or

implied warranty, negligence, strict liability or otherwise, and

regardless whether any damages were caused by Timken’s

negligence or by any defect in the Products or Services. Without

limiting the generality of the preceding sentence, Timken will not be

liable for, and Buyer shall not assert, any of the following, whether or

not due to Timken’s negligence or due to a defect in the Products or

Services, and regardless whether the basis is product warranty,

delayed or incomplete delivery, negligence or any other cause:

(a) consequential, incidental, indirect, special and punitive damages;

(b) the cost of removing and reinstalling Products or Service Items,

sending Products or Service Items to Timken for warranty inspection,

and any other work performed on the Products or Service Items;

mechanism, equipment or machinery in which the Products, Service

Items or other items that were the subject of Services were installed;

(d) loss of profits or revenue, loss of use, line shut-down, cost of

capital, and cost of substituted product, facilities or services; and

(e) claims of Buyer’s customers or other third parties for damages or

penalties, whether or not Buyer is legally obligated to pay them. This

disclaimer and exclusion will apply even if the exclusive remedy

described in Section 8.1 fails its essential purpose.

8.3 An action by Buyer to enforce a warranty claim, whether

by court action, arbitration or other proceeding, will be barred unless

commenced within one year following Timken’s notification to the