7. Limited warranty and disclaimer
(a) Philips warrants that under normal use in accordance with the applicable user manual the Products, (excluding any software that is not embedded in a Product by Philips) shall, at the time of delivery to Buyer and for a period of twelve (12) months from the date of delivery (or such other period as may be agreed upon in writing by the parties), be free from defects in material or workmanship and shall substantially conform to Philips’ specifications for such Product, or such other specifications as Philips has agreed to in writing, as applicable. Philips’ sole and exclusive obligation, and Buyer’s sole and exclusive right, with respect to claims under this warranty shall be limited, at Philips’ option, either to the replacement or repair of a defective or non-conforming Product or to an appropriate credit for the purchase price thereof. Philips will have a reasonable time to repair, replace or credit. The non-conforming or defective Products shall become Philips' property as soon as they have been replaced or credited.
(b) Buyer may ship Products returned under warranty to Philips’ designated facility only in conformance with Philips’ then-current return material authorization policy. Where a warranty claim is justified, Philips will pay for freight expenses. Buyer shall pay for returned Products that are not found to be defective or non-conforming together with the freight, testing and handling costs associated therewith.
(c) Notwithstanding the foregoing, Philips shall have no obligations under warranty if the alleged defect or non-conformance is found to have occurred as a result of environmental or stress testing, misuse, use other than as set forth in the user manual, neglect, improper installation or accident, or as a result of improper repair, alteration, modification, storage, transportation or improper handling.
(d) The express warranty granted above shall extend directly to Buyer and not to Buyer’s customers, agents or representatives and is in lieu of all other warranties, whether express or implied, including without limitation any implied warranties of fitness for a particular purpose, merchantability, or non-infringement of intellectual property rights. All other warranties are hereby specifically disclaimed by Philips.
(e) Subject to the exclusions and limitations set forth in Section 9 of the Terms and Conditions, the foregoing states the entire liability of Philips in connection with defective or non-conforming Products supplied hereunder.