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（a）for the first four weeks of delay:_________ percent （_________%）of the total design fee specified inarticle 12 （contract price and technical service fee）hereof per week;
（b）for the second four weeks of delay following the first four weeksof delay:_________ percent （_________%）of the aforesaid total design fee perweek;
（c）for the ninth and subsequent week（s）of delay:_________ percent （_________%）of the aforesaid total design fee perweek;
such monies shall be paid as liquidated damages and not as a penalty.the total aggregate amount of such liquidated damages shall in no eventexceed _________ per cent （_________%）of the aforesaid total design fee.
26.4payment of liquidated damages
the payment of liquidated damages under articles 26.2 （late deliveryof equipment）and 26.3 （late delivery of technical documents）above shallbe in complete satisfaction of the supplier's obligation to deliver to thebuyer the relevant equipment or the relevant technical documents withinthe corresponding time for delivery specified in article 26.1 （deliverytime guarantee）above or any extension thereof under article 37 （extensionof time for delivery）hereof and the supplier shall have no furtherliability whatsoever to the buyer in respect thereof.
however， such payment of liquidated damages shall not in any wayrelieve the supplier from any of its obligations to deliver to the buyerthe equipment and the technical documents or from any other obligationsand liabilities of the supplier under the contract.
save for liquidated damages payable under articles 26.2 （late deliveryof equipment）and 26.3 （late delivery of technical documents）above， thefailure by the supplier to attain any milestone or other act， matter orthing by any such date or within any such time， as specified in appendix7-4 （time schedule）hereto and/or other program of the works preparedpursuant to article 19 （work program）hereof shall not render the supplierliable for any loss or damage thereby suffered by the buyer.
article 27.defect liability
27.1guarantees and defect liability period
27.1.1the supplier guarantees that;
（a）the equipment or any part thereof shall be free from defects indesign， materials and workmanship，
（b）the technical documents or any part thereof， except for thosewhich are of preliminary nature or to be delivered to the buyer by thesupplier for the buyer's information， shall be correctandhaveconsistency in the contents thereof and shall be sufficient to enable theinternationally competent recognized engineers to understand the contentsthereof， and
（c）the technical advice and instructions given in writing by thesupplier's engineer during his performance of the technical services shallbe correct.
27.1.2the period of the validity of the guarantees given by thesupplier under article 27.1.1 above， i.e. the defect liability perioddefined in article 1 （definitions）hereof， shall commence from the date ofdelivery of the relevant equipment， the date of delivery of the relevanttechnical documents or the date of provision of the relevant technicaladvice or instructions given in writing by the supplier's engineer at thecontract plant， as the case may be， and shall end upon the expiry of_________ months from the date of the last major shipment or twelve （12)months from the date of the acceptance of the contract plant， whichevercomes earlier， subject， however， to any extension under article 27.2.7hereof.
27.2defect liability for equipment
27.2.1if， during the defect liability period， any defect should befound in the design， materials or workmanship of the equipment or any partthereof， the supplier shall promptly and at its cost repair， replace orotherwise make good （as the supplier shall at its discretion determine)such defect as well as any damage to the equipment caused by such defect.provided that the supplier shall not be responsible for the repair，replacement or making good of any defect of or any damage to the equipmentarising out of or resulting from any of the following causes:
（a）improper design， engineering， storage， transportation， handling，installation， erection， operation or maintenance of the contract plant byor on behalf of the buyer
（b）any defect or deficiency in the equipment， machinery， materialsand other supplies for the contract plant supplied by or on behalf of thebuyer
（c）operation of the contract plant outside the specificationsprovided in the contract
（d）failure on the part of the buyer to follow and conform to thetechnical documents and other recommendations， advice and instructionsprovided by the supplier or the supplier's engineer under the contract
（e）erosion or corrosion
（f）normal wear and tear
27.2.2the supplier's obligations under this article 27.2 （defect liability for equipment）shall not apply to;
（a）any equipment， machinery， material， and other supply which are supplied by or on behalf of the buyer under article 10.3 hereof，
（b）any part of the equipment which are normally consumed in operation or which have a normal life shorter than the defect liability period，
（c）any design， specification or other data designated， supplied orspecified by or on behalf of the buyer or any matter for which thesupplier has disclaimed responsibility hereunder， or
（d）any other material supplied or any work executed by or on behalfof the buyer， except for the work executed by the buyer under article27.2.6 below.
27.2.3the buyer shall give the supplier a notice stating the natureof any such defect together with all available evidence thereof promptlyfollowing the discovery thereof. the buyer shall afford all reasonableopportunity for the supplier to inspect any such defect.
27.2.4the buyer shall afford the supplier all necessary access to thecontract plant to enable the supplier to perform its obligations underthis article 27.2 （defect liability for equipment).
the supplier may with the consent of the buyer remove from thecontract plant the equipment or any part thereof which is defective if thenature of the defect and/or any damage to the equipment caused by thedefect is such that repairs cannot be expeditiously carried out at thecontract plant.
27.2.5if the repair or replacement or making good is of such acharacter that it may affect the efficiency of the equipment or any partthereof， the buyer may give to the supplier a notice requiring that testsshall be made by the supplier of the defective part of the equipmentimmediately on completion of such remedial work whereupon the suppliershall carry out such tests.
if such part fails the tests， the supplier shall carry out furtherrepair， replacement or making good （as the case may be）until that part ofthe equipment passes such tests. the tests shall be agreed by the buyerand the supplier.
27.2.6if the supplier fails to commence the work necessary to remedysuch defect or any damage to the equipment caused by such defect within areasonable time， the buyer may carry out such work in a reasonable manner，and the reasonable direct costs incurred by the buyer in connectiontherewith shall be paid to the buyer by the supplier， providing that thelabor costs included in such costs shall be calculated based on the localcosts incurred in the country in which the contract plant is to beconstructed.

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