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Hi,
There is a clause in a Supplier's Manufacturing Contract as below
"In any case liability of Supplier as indicated in this clause, and clause for Warranty and for this GPA, shall not exceed Rs. 1.5 Million (Rupees One and Half Million only) per calendar year."
The supplier wants this clause to be edited for ensuring that there is no carry forward of liability. As in, if on 1.4.2014 the liability was Rs. 1 Million, then for the balance period it should be only Rs. 0.5 Million.
Similarly, if there is no liability for current year, then there should be no carry forward of un-used liability and the maximum liability next year should be Rs. 1.5 Million only and not Rs. 3.0 Million (1.5Million of last year and 1.5Million of current year).
Please advice.
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