B
Hello folks
I saw this within a legal agreement offered to a potential supplier :
As per custom of the automotive industry XXXX explicitly accepts liability for damages that are calculated using statistical methods on the basis of a representative sample of defective products.
Is anyone familiar with this custom? Is this saying "We checked your product and statistically estimate that X percent of your total product population is defective, therefore we want X percent of our warranty bill (attributed to your product) paid by you???
Any legal bods out there?
Cheers
Brian
I saw this within a legal agreement offered to a potential supplier :
As per custom of the automotive industry XXXX explicitly accepts liability for damages that are calculated using statistical methods on the basis of a representative sample of defective products.
Is anyone familiar with this custom? Is this saying "We checked your product and statistically estimate that X percent of your total product population is defective, therefore we want X percent of our warranty bill (attributed to your product) paid by you???
Any legal bods out there?
Cheers
Brian