Common use of Paragraph 1st Clause in Contracts

Paragraph 1st. The Concessionaire will not be obligated to shoulder losses as a result of the present Contract, except if these result from some of the following factors: I – its negligence, ineptitude or omission in the exploration of the service; II – normal risks to the business activity; III – inefficient management of its business, including the one characterized by the payment of operational and administrative costs incompatible with the parameters verified in the market place, or IV – its inability to take advantage of the existing opportunities in the market place, including regarding the expansion, enlargement and development of the provision of the service object of the grant.