6. Warranty
6.1. The Customer shall only be entitled to warranty claims if the Customer has properly
met ist legal obligations to examine and lodge complaints.

6.2. The Customer shall only be entitled to claims for compensation on account of a
warranted feature or quality if granting a warranty should protect the Customer exactly
against the occurred damage. Other claims for compensation under the warranty with the
exception of damages resulting from injuries of life, body or health we, our legal
representatives or persons employed in performing an obligation are responsible for shall
be excluded if we, our legal representatives or persons employed in performing an
obligation are charged with slight negligence unless it is the case of foreseeable typical
damages resulting from the violation of essential contractual duties; not excluded shall be
any claims for compensation if we, our legal representatives or persons employed in
performing an obligation are charged with intent or gross negligence.
For products we deliver as new goods as agreed the warranty period amounts to 1 (one)
year upon the receipt of the goods. If products sold by us have not explicitly been intended
for multiple shift operation, the warranty period in two shift operation shall be reduced to 6
(six) months, in three shift operation to 3 (three) months. There is no warranty for any
products we do not as agreed deliver as new goods. The provision concerning the
warranty period shall not apply to claims for compensation if we did not exclude or did not
limit the liability.

6.3. If a defect of quality exists we are responsible for, the Customer shall at first have a
claim for the rectification of faults. If the rectification of faults fails, the Customer shall be
entitled to demand a substitute delivery. If we do not comply with the request for a
substitute delivery after a reasonable period set by the Customer, then the Customer shall
be entitled to either at ist own discretion rescind the contract or demand the reduction of
the purchase price. In case of only slight defects the Customer shall not be entitled to
rescind the contract. The regulations under 6.2 shall apply to claims for compensation. In
case of short deliveries the Customer shall at first be entitled to substitute delivery.
Sentence 3 and 5 apply appropriately.

6.4. Upon our request faulty items or parts shall be sent back to us carefully packed and
insured for the transport at our expense.

6.5. Our statements about the delivery and performance item, the intended use, such as
measurements, weights, hardness, values in use are only descriptions or
characterizations, respectively, and not any guaranteed properties, they shall only be
considered approximate. Unless otherwise agreed any deviations customary in the
industry remain reserved. Guaranteed properties must be expressly and in detail identified
as such in writing. As far as technically possible deviations from samples or former
deliveries will be avoided. We reserve the right to alterations within the scope acceptable
for the Customer, particularly when serving technical progress and to the extent the
delivery item is not considerably altered. Only considerable alterations shall establish a
warranty claim pursuant to 6.2.

6.6. The Customer shall not be entitled to any warranty claims in case of: natural wear;
damages caused by force or use of unsuitable lubricants or operating material; nonobservance
of the stipulated machine maintenance and/or instructions for use by the
Customer or third parties; faulty assembly and/or start-up by the Customer or third parties;
faulty or insufficient maintenance by the Customer or third parties; unsuitable floor spaces;
unauthorized repairs or alterations carried out by the Customer or third parties; influences
by the elements; unusual outside influences (e.g. high humidity); abnormal fluctuations of
the electrical voltage; in case of interventions carried out by personnel or enterprises not
acknowledged by ourselves; using spare parts not produced or approved by ourselves. To
the extent faults were only made worse by the activities described above, our obligation
under the warranty shall be limited to the extent of a potentially existing original fault.

6.7. The Customer shall be obliged to observe at ist own expense the rules of occupational
safety and occupational hygiene as well as the legislation at the location of the machine.

7. Liability
7.1. Any claims for compensation that are not based on the Customer's warranty rights,
independent of what type or on what legal basis, against us, our legal representatives,
persons employed in performing an obligation or staff shall be excluded unless it is a
matter of foreseeable typical damages caused by the violation of essential contractual
duties or the damages are based on intentional and/or grossly negligent breaches of duty
by ourselves, our legal representatives or persons employed in performing an obligation.
The essential contractual obligation of purchase or work contracts is the delivery or,
respectively, the manufacture of a faultless subject matter of the contract as well as ist
transfer of ownership to the customer. Unaffected by this exclusion of liability shall be
claims for compensation based on the injury of life, body or health we, our legal
representatives or persons employed in performing an obligation are responsible for.

7.2. This liability regulation shall also apply to our consulting in words and in writing and by
experiments or in any other way; the Customer is particularly not exempt from testing itself
the suitability of the delivery for the intended use.

8. Retention of title
8.1. We reserve the title to ownership for all the goods delivered by ourselves until all
existing claims, inclusive of incidental claims, we hold against the Customer from our
business relationship have been paid and the bills of exchange and checks handed over
for them have been honored and cashed. This shall in addition also apply to claims arising
in the future.

8.2. We shall be entitled to take possession of the conditional commodity if the Customer
defaults on discharging the claims existing against him from the business relationship. We
shall be entitled to demand the immediate surrender of the conditional commodity
excluding any right of retention unless there are counterclaims established in a legally
effective way and undisputed. We shall be entitled to sell the goods taken back by private
contract in the best possible way after having threatened the realization and credit the
proceeds whilst deducting the costs for the realization.

8.3. The Customer shall be obliged to handle the purchased goods with care, the
Customer shall be particularly obliged to carry out maintenance and inspection work in
time and at ist own expense and insure the purchased goods at ist own expense
sufficiently against fire, water and theft damages at their replacement value. Any claims
against the insurance resulting from an event of damage concerning the conditional
commodity will already now be assigned to us in the amount of the value of the conditional
commodity. The Customer shall inform the insurance company about the assignment of
the claim.

8.4. The Customer shall inform us without delay about any seizure or every other
encroachment on our titles by third parties and shall confirm the title in writing to third
parties as well as to ourselves. The Customer is forbidden to arrange any pledging of the
goods delivered under the retention of title or carry out a transfer of ownership for the
purpose of security.

8.5. Processing and machining of the conditional commodity are done for us as
manufacturers for the purpose of section 950 BGB without committing ourselves. The
processed and machined commodity shall be considered conditional commodity for the
purpose of these conditions.

8.6. In case of joining, mixing or blending the conditional commodity with goods not
belonging to us (sections 947, 948 BGB) we shall be entitled to the co-ownership of the
new item or total quantity in relation to the value our conditional commodity had at the time
of joining, mixing or blending in comparison to the value the other joined, mixed or blended
commodity had. If the Customer acquires the sole ownership of the new thing, the parties
hereto agree that the Customer shall grant us joint ownership of the new thing or total
quantity in relation to the value of the processed and/or joined, mixed or blended
conditional commodity to the total value of the new thing or total quantity. The conditional
commodity created thereby shall be considered conditional commodity for the purpose of
these provisions. The Customer shall hold it with commercial care in safe custody for us
and agrees to make the statements necessary for the exercise of rights and to grant us the
inspection of ist books and records for this purpose.

8.7. The Customer shall be entitled to resell the conditional commodity in the ordinary
course of business. The use for the performance of contracts for work or work
performance contracts by the Customer shall be equal to the resale. The Customer's
receivables resulting from the resale of the conditional commodity shall already now be
assigned to us with all the secondary rights, to be precise independent of the fact whether
the conditional commodity is resold without or after processing, working, joining or mixing
or whether it is resold to one or several buyers. If the assigned receivable against the thirdparty
debtor has been included into a current account, then the agreed assignment shall
also refer to claims from the current account. The assigned receivables serve to secure all
our rights and claims pursuant to 8.1.

8.8. For the case that the conditional commodity is sold by the Customer together with
other goods after joining, mixing, processing or working, the assignment of the purchase
price claim to ourselves pursuant to 8.7 in the amount of the contractual price of the
conditional commodity shall be regarded as agreed. If the Customer together with the sale
of the conditional commodity provides a service connected with it and if the Customer
does not make any distinction between the conditional commodity and the service on the
bill of sales issued to the buyer, therefore billing an overall price, then this overall price
shall be assigned to us in the amount of our sales price.

8.9. If the conditional commodity is used by the Customer to perform a work or work
performance contract, the receivable from the work or work performance contract shall be
assigned to us in advance to the same extent as it is provided under 8.7 and 8.8.

8.10. In spite of the assignment the Customer shall be entitled to collect the receivables
from the resale. Our collection power shall remain unaffected by the Customer's delegated
collection authority. We, however, will not collect the receivables ourselves as long as the
Customer properly fulfills ist payment obligations towards us. We shall be entitled to
revoke with immediate effect the Customer's power to resell the conditional commodity
and to collect the receivables assigned to us if the Customer gets into default in payment
to us or if the Customer is in a shortage of liquid funds on the ground of an essential
deterioration of ist financial circumstances. If an application is made to open insolvency
procedures on the assets of the Customer, if any payment is suspended, a declaration in
lieu of oath is made pursuant to section 807 ZPO or if in connection with financial
difficulties there is a change in the ownership of the Customer's enterprise, then the power
to resell the conditional commodity and the authorization to collect the receivables
assigned to us in relation to the conditional commodity shall automatically expire. If we
revoked the powers of the Customer to resell the conditional commodity or if they expired
automatically, then the Customer shall be obliged to immediately return the conditional
commodity to us and provide ourselves or any entity authorized by us with the direct
ownership of it. In this connection the Customer shall be obliged to communicate to us the
assigned receivables and their debtors, provide all the details required for the collection, to
hand over the appropriate documents and to inform the debtors about the assignments. All
the costs caused by again taking possession of the conditional commodity shall be borne
by the Customer.

8.11. The retention of title pursuant to the above provisions shall also survive if any
individual receivables of ours are included into a current account and the balance is struck
and accepted. The retention of title shall then cover the claim for the balance of the current
account balance.

8.12. The retention of title pursuant to the above provisions shall expire if all the
receivables mentioned under 8.1 have been discharged. With it the ownership of the
conditional commodity passes to the Customer and it is entitled to the assigned
receivables.

8.13. If the realizable value of all the collateral security exceeds the total of our receivables
by more than 10%, then we shall be obliged upon the Customer's request to release
collateral securities at our option

9. Place of performance, place of jurisdiction, applicable law
9.1. Unless the acceptance of the order or the delivery note show something different the
domicile of our company shall be place of performance.

9.2. For all the claims resulting from the business connections, particularly from our
deliveries, the place of jurisdiction shall be Tauberbischofsheim at our option. This place
of jurisdiction, existing predominantly also for the default summons, shall also apply to any
disputes about the creation and validity of the contractual relationship. We shall, however,
be entitled to also sue the Customer at the courts competent for the Customer's domicile.
If the Customer has ist domicile outside the Federal Republic of Germany, we shall also be
entitled at our option to have any disputes resulting from the contract or about ist validity
finally decided according to the Settlement and Arbitration Code of the International
Chamber of Commerce, Paris by one or several arbitrators appointed in accordance with
this Arbitration Code excluding the ordinary jurisdiction. The arbitration court shall have ist
domicile in Tauberbischofsheim.

9.3. The law of the Federal Republic of Germany shall exclusively apply. The application of
the Standardized UN Purchase Law (Convention of Contracts for the International Sale of
Goods) shall be excluded.