Common use of EPIDEMIC DEFECT Clause in Contracts

EPIDEMIC DEFECT. Supplier warrants that the goods will be free from epidemic defects. An “epidemic defect” is a defect which appears in more than half a percent (0.5%), or any lower percentage as specified in the specifications, of the goods of the same or substantially the same type delivered by Supplier to Fresenius Kabi or its Affiliates within the epidemic defect period as stated in the relevant specifications, or if no such period is stated, within any consecutive period of three (3) months, and which defect is either similar or substantially similar or has similar or substantially similar cause. In the event of an epidemic defect, Supplier shall urgently and at its costs and expense repair or replace goods delivered to Fresenius Kabi which show such epidemic defect within the reasonably expected life time of such goods and Supplier shall further indemnify Fresenius Kabi for all losses and damages incurred by Fresenius Kabi, including without limitation all costs and damages in relation to recall of any goods or products in which the goods are used from the market (whether defective or not) in relation to the epidemic defect.