STANDARD TERMS AND CONDITIONS OF SUPPLY · {00626845,} 1 (1) December2017 1. ACCEPTANCE. Seller, including its affiliates and subsidiaries (“Seller”) confirms that these Standard

{00626845,} 1December2017(i)

STANDARDTERMSANDCONDITIONSOFSUPPLY

1. ACCEPTANCE........................................................................................................................................................12. DELIVERY&BILLING.............................................................................................................................................2

2.1. Shipping...................................................................................................................................................22.2. Billing.......................................................................................................................................................22.3. Taxes........................................................................................................................................................32.4. Buyer’sWithholdingofTaxes..................................................................................................................32.5. DeliverySchedules...................................................................................................................................32.6. PremiumShipmentCharges....................................................................................................................32.7. VolumeForecasts....................................................................................................................................3

3. SPECIFICATION,DESIGNANDSCOPECHANGES..................................................................................................44. QUALITYANDINSPECTION..................................................................................................................................45. CUSTOMERSPECIFICATIONS................................................................................................................................56. BASICWORKINGCONDITIONSANDEMPLOYMENTSTATUS...............................................................................5

6.1. BasicWorkingConditions........................................................................................................................56.2. Subcontractors.........................................................................................................................................56.3. AdoptionofCode.....................................................................................................................................56.4. ComplianceCertificate.............................................................................................................................56.5. CostofAudit............................................................................................................................................56.6. TemporaryAssignmentofEmployees.....................................................................................................5

7. NON-CONFORMINGGOODS................................................................................................................................58. FORCEMAJEURE..................................................................................................................................................69. LABORDISPUTES..................................................................................................................................................610. WARRANTIES.......................................................................................................................................................6

10.1. General;Buyer’sInventory&Property....................................................................................................610.2. DurationsofSeller’sWarranties..............................................................................................................810.3. Buyer’sRemediesandDamages..............................................................................................................810.4. ProductRecalls........................................................................................................................................9

11. INGREDIENTSANDHAZARDOUSMATERIALS......................................................................................................912. SELLER’SFINANCIALANDOPERATIONALCONDITION.........................................................................................913. SELLER’SINSOLVENCY........................................................................................................................................1014. TERMINATIONFORBREACH..............................................................................................................................1015. TERMINATIONFORCONVENIENCE....................................................................................................................1016. TERMINATIONFORCHANGEOFCONTROL.......................................................................................................1017. TERMINATIONCLAIMS......................................................................................................................................11

17.1. Seller’sObligationsUponTermination..................................................................................................1117.2. Buyer’sObligationsUponTerminationUnderArticles15or16............................................................1117.3. Buyer’sObligationsUponTerminationUnderArticle14.......................................................................1117.4. Buyer’sOptiontoPurchase...................................................................................................................1117.5. TerminationClaim.................................................................................................................................11

18. SUPPLYTRANSITIONATENDORTERMINATIONOFCONTRACT.......................................................................1219. TECHNICALINFORMATION................................................................................................................................12

19.1. InformationDisclosedbySeller.............................................................................................................1219.2. WaiverofClaims....................................................................................................................................1219.3. RepairandRebuild.................................................................................................................................1219.4. SoftwareandWrittenWorks.................................................................................................................1219.5. Development,EngineeringAndConsultingServices.............................................................................1219.6. Confidentiality.......................................................................................................................................13

20. INDEMNIFICATION.............................................................................................................................................1320.1. Infringement..........................................................................................................................................1320.2. ActivitiesonBuyer’sPremises...............................................................................................................13

{00626845,} 1December2017(ii)

20.3. ProductLiabilityandRecalls..................................................................................................................1320.4. Seller’sObligationtoDefend.................................................................................................................14

21. COMPLIANCEWITHLAWS.................................................................................................................................1422. INSURANCE........................................................................................................................................................1423. SELLER’SEQUIPMENT........................................................................................................................................1524. BUYER’SPROPERTYANDINFORMATION...........................................................................................................15

24.1. AcquisitionofTools................................................................................................................................1524.2. BailmentofBuyer’sProperty.................................................................................................................1624.3. Seller’sDutiesConcerningBuyer’sProperty..........................................................................................1624.4. ReturnofBuyer’sProperty....................................................................................................................1724.5. DisclaimerofWarranties.......................................................................................................................1724.6. UseofBuyer’sInformation....................................................................................................................17

25. SERVICEANDREPLACEMENTPARTS..................................................................................................................1826. REMEDIESANDINJUNCTIVERELIEF...................................................................................................................1827. CUSTOMSANDEXPORTCONTROLS...................................................................................................................19

27.1. CreditsandRefunds...............................................................................................................................1927.2. Customs-TradePartnershipAgainstTerrorism......................................................................................19

28. SETOFF/RECOUPMENT......................................................................................................................................1929. NOADVERTISING...............................................................................................................................................2030. NOIMPLIEDWAIVER.........................................................................................................................................2031. NOASSIGNMENTWITHOUTBUYERCONSENT..................................................................................................2032. RELATIONSHIPOFPARTIES................................................................................................................................2033. GOVERNINGLAWANDJURISDICTION...............................................................................................................20

33.1. U.S.Contracts........................................................................................................................................2033.2. Non-U.S.Contracts................................................................................................................................21

34. SELLERCLAIMS...................................................................................................................................................2135. SEVERABILITY.....................................................................................................................................................2136. RIGHTTOAUDITANDINSPECT..........................................................................................................................2137. ENTIREAGREEMENT..........................................................................................................................................2138. TRANSLATIONS..................................................................................................................................................21

{00626845,} 1December2017(1)

1. ACCEPTANCE.

Seller, including its affiliates andsubsidiaries (“Seller”) confirms that these StandardTermsandConditionsofSupply (“StandardTerms”)areexpresslyincorporatedinto,andformanintegralpart of, Seller’s contract with Buyer, including itsaffiliates and subsidiaries (“Buyer”), for the goodsand services (collectively, the “Supplies”) to beprovided by Seller. Seller confirms that it has readunderstandsandagreeswiththeseStandardTerms.

Each purchase order, release, requisition,work order, shipping instruction, specification andotherdocument,whetherexpressedinwrittenform,byelectronicdatainterchange,electronicortangibleformat, relating to the Supplies (such items arecollectively referred to as the “Contract”),constitutes an offer by Buyer to purchase theSupplies identified on the Contract’s face orotherwise identified in any attachments, schedules,exhibits, requests for quotations, designs ordrawingsprovidedtoSeller.

Seller will be deemed to have acceptedeach Contract on the Contract’s terms andconditions by Seller’s: (i) shipment of any goods,performance of any services, provision of anySupplies,orcommencementofanyworkorservicesinanywayrelatedtothesubjectoftheContract,(ii)writtenacknowledgement,or(iii)otherconductthatrecognizes theexistenceof a contractpertaining tothesubjectmatteroftheContract.

Sellerwillalsobedeemedtohaveacceptedeach Contract on the Contract’s terms andconditions if Seller fails to object to such Contractwithin five business days after Buyer delivers theContract to Seller. Seller’s acceptance of anyContract is limited to acceptance of the expresstermsandconditionssetforthintheContractandintheseStandardTerms.

Notwithstanding Buyer’s acceptance of orpayment for any shipment of goods, provision ofSupplies or similar Buyer act, Buyer will not beboundbyanypurportedacceptanceofanyContracton terms and conditions which modify, supersede,supplementorotherwisealtertheContractortheseStandardTermsandsuchtermsandconditionsshallbe deemed rejected and replaced by the Contractunless Seller’s proffered terms or conditions areaccepted in a physically signed writing by Buyer’sauthorizedrepresentative.

Thepartieshaveagreedanditistheirintentthat thebattleof the formsdescribed in Section2-207of theUniformCommercialCodewill notapplyto these Standard Terms or to any invoice oracceptanceformofSellerrelatingtotheseStandardTermsoranyContract.ThepartiesintendthattheseStandard Terms shall exclusively control theirrelationship, and in the event of any inconsistencybetween any invoice or acceptance form sent bySeller to Buyer and these Terms, these StandardTermswillcontrol.

Unless a Contract requires Seller tomanufacture, ship and/or provide or perform aspecified quantity of Supplies, the Contract is arequirementscontractunderwhichSellerisrequiredto supply a portion of Buyer’s requirements, in anamountnotlessthan10%butwhichcouldbeupto100%ofBuyer’srequirements.OnlyBuyer(initssolediscretion) may determine the portion of itsrequirementstobesuppliedbySellerandBuyermaychange this portion at any time and from time totime. If Buyer provides Seller any projected orestimatedvolumes (including forecastedvolumes inany requests for quotation), these are for planningpurposes only anddonot represent a commitmentorobligationtopurchaseaspecifiedquantity.

Unless statedotherwiseon the faceof theContract,thedurationofeachContract(the“Term”)shallbethelifeoftheautomotivevehicleprogram(s)intowhichtheSuppliesultimatelyare incorporated,plus the period of applicable service andreplacementpartsrequirements.

If theSuppliesarenotutilizedbyBuyerfortheproductionof automotivepartsor systems, theContractwillbebinding foroneyear fromthedatethe Contract is transmitted to Seller; in such caseonly, the Contract will automatically renew forsuccessive one-year periods after the initial termunless either party provides written notice at least180dayspriortotheendofthecurrentTermof itsdesire that the Contract not be renewed. Selleracknowledges,however,thatthisprovisiondoesnotaffect or otherwise change Buyer’s terminationrightsherein.

When any Contract expires, Seller willcooperate with Buyer and provide all reasonablyrequested support and information Buyer requiresto facilitate Buyer’s sourcing of the Supplies to areplacementsupplier.

{00626845,} 1December2017(2)

AnyContractswhichcontainanymulti-yearpricing and/or price-related terms are firmcommitments by Seller for the specified periods, iftheContractcontinuesbyitstermsorisrenewedorextended,butsuchpricingorprice-relatedtermsdonot define or otherwise modify the Term of theContract. Specified productivity improvements andprice reductions are the minimum adjustmentsexpected by Buyer, and committed to by Seller, inthe specified periods and do not necessarilyrepresentcompetitivepricingforsuchperiods.SellerwillprovideBuyerwithpricingthatisasleastaslowas thepricingSellercharges itsothercustomers forthe similar type of goods or services and in similarquantities,duringtheperiodofperformanceofeachContract or six months before such period. Pricescharged for Supplies listed in the Contract are notsubject to increase, including any increase baseduponchanges in rawmaterialorcomponentprices,labororoverhead,unlesssuchincreaseisspecificallyagreed to by Purchaser on the face of a Contractamendment or in a signed writing delivered byBuyer’sVicePresident-Purchasing.

From time to time Buyer may administerpurchasingforitsaffiliatesandsubsidiariesandissueContracts employing one of Buyer’s logos, butidentifying a different related or affiliated entity asbuyer.Selleracknowledgesandagreesthatnosuchact of administration or any Contract resultingtherefrom shall constitute or be interpreted asBuyer’s guaranty of any obligations or liabilities ofthe entity identified as the buyer on the Contract.Sellerwill lookonlytothebuyerentity identified intheContractforperformancethereunder.

2. DELIVERY&BILLING.

2.1. Shipping.

All shipments must be suitably packed,markedandshippedinaccordancewithallcommoncarrier shipment requirements and in a mannerwhichsecuresthelowesttransportationcost(unlessotherwisenotedontheContract),andmustcomplywithanyadditional shipping requirements set forthin the Contract or releases. Seller will bear allexpenses of boxing, packaging, crating and freight(to Buyer’s “ship to” location set forth in theContract), unless specifically indicated otherwise inthe Contract. Seller shall not procure, produce orship any Supplies unless authorized in writing byBuyer or as necessary to meet specific delivery

dates. Buyer may return Shipments in excess ofthoseitauthorizedtoSelleratSeller’sexpense,andBuyermaydebitSeller for thecostof such returns.Buyer may change shipping schedules or directtemporarysuspensionofsuchscheduledshipments.Buyermay change the rateof scheduled shipmentsor direct temporary suspension of scheduledshipments, neither ofwhich shall entitle Seller to amodificationofthepriceofSuppliescoveredbyanyContract.Witheachdelivery,Sellershallbedeemedto have made the representations, warranties andcovenantswithrespecttoitsfinancialandoperatingconditionprovidedherein.

Sellerwill (a)properlypack,markand,shipSupplies in themanner instructed by Buyer or anycarriers and in accordance with all laws orregulations, (b) route shipments as Buyer instructs,(c) not charge for costs relating to handling,packaging, storage or transportation (includingduties, taxes, fees, etc.) unless otherwise expresslystatedintheContract,(d)providepackingslipswitheach shipment that identify Buyer’s contract andrelease number and the date of the shipment, and(e) promptly forward the original bill of lading orothershippingreceiptwithrespecttoeachshipmentas Buyer instructs. On bills of lading or othershipping receipts, Seller will include the correctclassification identification of the Supplies shippedasBuyeror thecarrier requires.ThemarksoneachpackageandidentificationoftheSuppliesonpackingslips,billsof lading,andinvoicesmustenableBuyertoidentifytheSupplieseasily.

Seller shall reimburse Buyer for allexpenses,includingdamagetotheSupplies,incurreddue to improper packing, marking, loading orrouting.Theriskoflossordamageintransitshallbeupon Seller, except where shipment is by Buyer’svehicle,inwhichcasetheriskoflossordamageshallpass to Buyer upon completion of loading. Uponsubmission of proper invoices, Buyer shall processsuchinvoicesforpayment.Allcashdiscountswillbecomputed from the date of receipt by Buyer of afinal invoice or receipt of the Supplies, whicheveroccurslater.Cashdiscountswillbebasedonthefullamount of invoice, less freight charges and taxes ifitemizedseparatelyontheinvoice.

2.2. Billing.

Seller will (a) accept payment based uponBuyer’s evaluated-receipt-record/self-billed invoice,

{00626845,} 1December2017(3)

unlessBuyerrequeststhatSellerissueanddeliveranactual invoiceand (b)acceptpaymentbyelectronicfunds transfer. If the payment due date is nototherwise specified in the Contract, the paymentdue date will be the later of net forty-five daysfollowing the date Buyer receives the Supplies orreceives the invoice for such Supplies. Buyer maywithhold payment for any Supplies until Buyerreceivesevidence, in such formanddetail asBuyerrequires,oftheabsenceofanyliens,encumbrances,andclaimsonsuchSupplies.

2.3. Taxes.

Unlessprohibitedby law,Sellerwillpayallfederal, state or local tax, transportation tax, orothertax,includingbutnotlimitedtocustomsdutiesandtariffs,whichisrequiredtobeimposedupontheSupplies ordered, or because of their sale ordelivery. Unless otherwise stated in the Contract,the price includes all applicable federal, state,provincial, regionaland localtaxesotherthansales,value added, or similar turnover taxes or charges.Seller will separately invoice Buyer for any sales,value added, or similar turnover taxes or chargesthatSeller is requiredby law to collect fromBuyer.SellerwillprovideBuyerwithwhatever informationanddocumentation that is requiredunder local lawinordertoenableBuyertorecoveranysales,valueadded,orsimilarturnovertaxesorcharges.Invoicesshallalsobe intheappropriateformasrequiredbylocal law to permit deduction of payments forincometaxpurposesbytheBuyer.

2.4. Buyer’sWithholdingofTaxes.

If Buyer is legally required to make anydeduction or withholding from any sum otherwisepayable to Seller under the Contract, Buyerwill beentitled to deduct or withhold such amount andeffect payment thereof to the applicable taxauthority.UponreceiptofSeller’srequest,Buyerwillprovideofficialtaxreceiptsorotherevidenceissuedby the applicable tax authorities sufficient toestablish the payment of any taxes that have beenwithheld.

2.5. DeliverySchedules.

Sellerwillmakedeliveriesinthequantities,onthedates,andatthetimesBuyerspecifiesintheContract or any subsequent delivery releases orinstructionswhichBuyer issuesunder theContract.Timeandquantityofdeliveryareoftheessencewith

respect to all delivery schedules Buyer establishes.Buyer will not be required to pay for any Suppliesthat exceed the quantities specified in Buyer’s firmreleasesordeliveryschedulesnortoacceptSuppliesthat are delivered in advance of the delivery datespecified in Buyer’s delivery schedules. Seller bearstheriskoflossofallSuppliessupplied,performedordeliveredinadvanceofthedeliverydatespecifiedinBuyer’s delivery schedules. Notwithstanding anyagreementconcerningpaymentoffreightexpenses,deliveryshallnothaveoccurredandtheriskof lossshall not have shifted to Buyer until the Supplieshave been delivered to Buyer’s facility and havebeen accepted at that facility. However, under nocircumstancesshallBuyerbeliableforanypremiumshippingexpenses thatBuyerhasnotpre-approvedinwritingandforwhichatimelyclaimhasnotbeensubmitted in accordance with the requirements ofSection 2.6 below. If Buyer’s customers’requirements or market, economic or otherconditions require changes in delivery schedules,Buyermay change the rateof scheduled shipmentsor direct temporary suspension of scheduledshipments without entitling Seller to any priceadjustmentorothercompensation.

2.6. PremiumShipmentCharges.

Seller is solely responsible for premiumshipping expenses and/or other related expensesnecessary to meet delivery schedules set forth inreleases,unless:(i)theexpensearisessolelyaresultof Buyer’s negligence and (ii) Seller provides Buyerwith reasonably detailed notice of any claimwithinten(10)daysaftertheoccurrenceofBuyer’sallegednegligentactiongivingrisetosuchclaim.

2.7. VolumeForecasts.

Buyer may provide Seller with estimates,forecasts or projections of its future anticipatedvolume or quantity requirements for Supplies(“Projections”). Projections, unlike a release for afirm quantity, are not binding on Buyer. Selleracknowledges that anyProjectionsareprovided forinformational purposes only and, like any otherforward-lookingprojections,arebasedonanumberof economic and business factors, variables andassumptions,someorallofwhichmaychangeovertime. Buyer makes no representation, warranty,guaranty or commitment of any kind or nature,express or implied, regarding any such forecastsprovided to Seller, including with respect to the

{00626845,} 1December2017(4)

accuracy or completeness of such forecasts. Selleraccepts that Projections may not be accurate andthatactualvolumeordurationcouldbelessthanorgreaterthantheprojections.Sellerexpresslyacceptsthisriskandacknowledgesthispossiblereward.

3. SPECIFICATION, DESIGN AND SCOPECHANGES.

At any time, Buyer reserves the right torequireSellertoimplementchangestotheSupplies’specifications or design or to the scope of anyservicesorworkcoveredbytheContract, including,but not limited to, work related to changes in thedesign (including drawings and specifications),quality control, inspection, testing, processing,methods of packaging and shipping, or the date orplace of delivery. Seller will promptly make suchchanges

Any such changes will be deemed not toaffect the time for performance or price under theContract unless (i) Seller provides Buyer with a areasonablydetailedwrittenclaim foradjustment totime for performance or cost within ten (10) daysafterBuyer’snotice toSellerof thechange,and (ii)after auditing such claim, Buyer reasonablydetermines that an adjustment (up or down) isappropriate.AnysuchclaimbySellerforadjustmentto time for performance or price under a ContractmustbesolelyanddirectlytheresultofthechangedirectedbyBuyerandanynoticeofsuchclaimshallbe effective only if accompanied by all relevantinformationsufficientforBuyertoverifysuchclaim.In addition, Buyer shall have the right to audit allrelevant records, facilities, work or materials ofSeller to verify any claim. Seller shall consider andadviseBuyeroftheimpactofadesignchangeonthesystem,sub-system,componentorpartinwhichtheSupplies covered by the Contract are used. In theevent of any disagreement arising out of suchchanges,BuyerandSellerwillwork ingoodfaithtoresolve the disagreement, provided, however, thatSellerwillcontinuetotimelyperformitsobligationsunder the Contract, including themanufacture anddelivery of Supplies and prompt implementation ofBuyer’s required changes, while Buyer and Sellerendeavor ingoodfaithtoresolveanydisagreementarising out of such changes. Nothing in thisparagraph shall excuse Seller from proceedingwithandperformingitsobligationsundertheContractaschanged.

4. QUALITYANDINSPECTION.

Seller will participate in Buyer’s supplierquality and development program(s) and complywith all engineering release and validationrequirements and procedures, including Buyer’sproduction part approval processes, which Buyerspecifies from time to time. Buyer shall have theright (but not the obligation) to inspect, to reviewwork progress, and to test all Supplies, specialtooling, materials and workmanship to the extentpracticableatalltimesandplacesduringtheperiodof manufacture. Seller will permit Buyer and itsrepresentatives and consultants to enter Seller’sfacilitiesatreasonabletimestoinspectsuchfacilitiesand any goods, inventories, work-in-process,materials, machinery, equipment, tooling, fixtures,gauges and other items and processes related toSeller’s performance of the Contract. No suchinspection by Buyer or its representatives orconsultants will constitute acceptance by Buyer ofany work-in-process or finished goods. If anySuppliesaredefectiveinmaterialorworkmanshiporotherwise not in conformitywith the requirementsof any Contract, Buyer shall have the right,notwithstanding payment, any prior inspection ortest, custom or usage of trade, to either to rejectthemor to require theircorrectionbySellerand/oratSeller’sexpense,promptlyafternotice.

Based on Buyer’s assessment ofresponsibility, Sellermaybeheld responsible forallcosts associated with quality issue investigation,containment and remedial actions because ofSuppliesprovidedbySellertoBuyer(includingthirdparty activities identified and initiated by Buyer).Seller will immediately provide all reasonablesupport Buyer requests to address and correctconcernsregardingthequalityofSuppliesprovided.Sellerwillprovideadditionalresources,asnecessaryand as identified by Buyer, to support productdevelopment, process development, validation,productionlaunch,oranyissuethatmayjeopardizethe success of themanufacture or assembly of anySuppliesoroftheprogram.

Sellerrepresentsthat itsoverallequipment(shared and specific) and plant capacity areadequate to meet Buyer’s needs. Seller is alsoresponsible for the due and timely performance ofallsub-tierprovidersofgoodsorservicesinvolvedinthe Supplies. Seller must maintain adequatedevelopment, validation, launch and ongoing

{00626845,} 1December2017(5)

supervision to assure that all goods or servicesprovided to Buyer conform to all specifications,standards, drawings, samples and descriptions,including, without limitation, as to quality,performance, fit, form, function, and appearance,undertheContract.

Seller must also comply with all terms ofBuyer’s Supplier QualityManual, a current copy ofwhichBuyerwillprovideuponrequestorisavailableonBuyer’swebsite.Intheeventthatthereexistsanydirect conflict between a term contained in theseStandardTermsandatermcontainedintheSupplierQualityManual, the term of these Standard Termscontrol.

5. CUSTOMERSPECIFICATIONS.

TotheextentthattheContractoranyothercontract covers Supplies which are parts,components, items, tooling, or services beingsuppliedtoorforthebenefitofanyBuyercustomer,Seller acknowledges and agrees that such Suppliesmust be in compliance with all of the applicablespecifications, requirements, standards, pricingrequirements (even if such pricing differs from theContract price), audit standards, and terms andconditions for such Supplies which are set forth inthecustomer’spurchasedocuments.

6. BASIC WORKING CONDITIONS ANDEMPLOYMENTSTATUS.

6.1. BasicWorkingConditions.

Seller does not: (i) use forced labor,regardlessof its form;(ii)employanypersonbelowthe age of 15, unless it is part of a government-approved job training, apprenticeship or other likeprogram that would be clearly beneficial to itsparticipants; or (iii) engage in physically abusivedisciplinary practice or corrupt business practice.Neither Seller nor any of its subcontractors willutilizeslave,prisoneroranyotherformofforcedorinvoluntarylaborinthesupplyofSuppliesundertheContract.

6.2. Subcontractors.

Where Seller retains subcontractors whoare involved in Seller’s provision of the Supplies,Seller uses only subcontractors that adhere to thisSection’s requirements. Seller monitors allsubcontractors’compliancewiththisSection.

6.3. AdoptionofCode.

Buyeradherestoacodeofsocialprinciplesthat includes the requirements of this section andotherworkplacepractices.Buyer’scodeappliestoallBuyer operations and can be found on theFlex|N|Gatewebsite.Sellerwilladopt,maintainandreinforceasimilarcodeofpracticeandendeavortoprocurethatitssubcontractorswilldoso.

6.4. ComplianceCertificate.

When it delivers Supplies, Seller will bedeemed to repeat each representation in thissection. Buyer may retain an independent thirdparty, or request Seller to retain one reasonablyacceptabletoBuyer,to:(i)auditSeller’scompliancewith the requirements of this section; and (ii)provideSellerandBuyerwithwrittencertificationofSeller’s compliance, including areas for potentialimprovement.

6.5. CostofAudit.

Sellermaybear the costof any thirdpartyaudit and certification, regardless of which partyretainedtheauditor.Buyer,atitsoption,mayacceptanauditcertificationbySellerinlieuofathirdpartycertification.

6.6. Temporary Assignment ofEmployees.

Anytemporaryassignmentofemployeesofone party to facilities operated by the other partywillnotaffectthestatusorchangetheemploymentrelationshipoftheassignedemployees.

7. NON-CONFORMINGGOODS.

Buyer need not perform incominginspections of any Supplies, and Seller waives anyright to require Buyer to conduct any suchinspections.Sellerwillnotsubstituteanysuppliesforthe Supplies covered by the Contract, withoutBuyer’s prior written consent. If Buyer rejects anySupplies as non-conforming, Buyer may, at itsoption:(a)reducethequantitiesofSuppliesorderedunder the Contract by the quantity of non-conformingSupplies,(b)requireSellertoreplacethenon-conforming Supplies, and/or (c) exercise anyother applicable rights or remedies. If within forty-eight (48)hoursofSeller’s receiptofBuyer’snoticeof rejection of non-conforming Supplies (or suchshorter period as is reasonable under thecircumstances)SellerfailstoinformBuyerinwriting

{00626845,} 1December2017(6)

of the manner in which Seller desires that Buyerdispose of non-conforming Supplies, Buyer will beentitled to dispose of the non-conforming Supplieswithout any liability to Seller, provided, however,that in any event, Buyer may elect at Seller’sexpense to arrange for the shipment of any non-conformingSuppliesbacktoSeller.Sellerwillbearallrisk of loss with respect to all non-conformingSuppliesandwillpromptlypayorreimburseallcostsincurred by Buyer to return, store or dispose anynon-conforming Supplies. Buyer’s payment for anynon-conforming Supplies will not constituteacceptancebyBuyer,limit,orimpairBuyer’srighttoexercise any rights or remedies, or relieve Seller ofresponsibilityfornon-conformingSupplies.

8. FORCEMAJEURE.

If as a result of an event or occurrencebeyondthereasonablecontroloftheaffectedpartyand without such party’s fault or negligence: (A)Seller is unable to produce, sell or deliver anySupplies covered by the Contract, or (B) Buyer isunable to accept delivery, buy or use any SuppliescoveredbytheContract,thenanydelayorfailuretoperform under the Contract that results from sucheventoroccurrencewillbeexcusedforonlysolongas such event or occurrence continues, provided,however,thattheaffectedpartygiveswrittennoticeof each such delay (including the anticipateddurationofthedelay)totheotherpartyassoonaspossible after the event or occurrence (but in noeventmorethanthreedaysthereafter).Sucheventsand occurrences may include, without limitation,natural disasters, fires, floods, windstorms, severeweather, explosions, riots, wars, sabotage, laborproblems (including lockouts, strikes andslowdowns), equipment breakdowns and powerfailures. Seller acknowledges and agrees that thefollowingeventswillnotexcuseSeller’sperformanceunder theories of force majeure, commercialimpracticability or otherwise and Seller expresslyassumestheserisks:(i)changeincostoravailabilityof materials, components or services based onmarket conditions, supplier actions or contractdisputes;and (ii) failureofSeller’s internalbusinesssystems related to the proper processing ofinformation that results in any defect or failure inproductsor services,deliveries,oranyotheraspectof performance by Seller or its subcontractors.During any delay or failure to perform by Seller,Buyer may (i) purchase substitute Supplies from

other available sources, without any liability toSeller, in which case the quantities under theContract will be reduced by the quantities of suchsubstitute Supplies and Seller will reimburse Buyerfor any additional costs to Buyer of obtaining thesubstituteSuppliescomparedtothepricessetforthin the Contract and/or (ii) direct Seller to providesubstitute Supplies from other available sources inquantities and at times Buyer requests and at theprices set forth in the Contract. If Seller fails toprovideadequateassurancesthatanydelaywillnotexceed 30 days or if any delay lasts more than 30days,Buyermay(initssolediscretion)terminatetheContract, and all outstanding releases without anyliability to Seller or obligation to purchase rawmaterials, work-in-process or finished goods underArticle15.

Buyer may cancel the Contract and anyoutstanding release(s) at any time prior to deliveryor performance if its business is interrupted forreasons beyond Buyer’s reasonable control. Buyershall give prompt notice of such cancellation toSeller.

9. LABORDISPUTES.

BeforeanyofSeller’slaborcontractsexpireand as soon as Seller anticipates or learns of anyimpending strike, labor dispute, work stoppage orother disruption at Seller’s facilities that mightadversely affect the delivery of Supplies to Buyer,Seller will produce (and locate in an area that willnot be affected by any such disruption) a finishedinventory of Supplies in quantities sufficient toensurethesupplyofSuppliestoBuyerforatleast30days after such disruption commences. Seller willnotify Buyer in writing of any actual or potentiallabordisputedelayingorthreateningtodelaytimelyperformanceoftheContract.SellerwillnotifyBuyerinwritingsixmonthsinadvanceoftheexpirationofanycurrentlaborcontracts.

10. WARRANTIES.

10.1. General; Buyer’s Inventory &Property.

Seller represents to Buyer, its successors,assigns and applicable customers that the Suppliescoveredby theContractwill: (a) strictly conform tothe then current release/revision level (based ondate Buyer’s release is issued to Seller) of Buyer’sapplicable specifications and drawings; (b) conform

{00626845,} 1December2017(7)

toall samples,descriptions,brochuresandmanualsfurnishedbySellerorBuyer;(c)bemerchantable;(d)be of good material and workmanship; (e) be freefrom defects in design, material and workmanshipandshallbenewandofthehighestquality,(f)befitand sufficient for the particular purposes intendedbyBuyerandanycustomerofBuyer,whichpurposesSeller acknowledges are known to it; (g) strictlyconform with all industry standards, laws andregulationsinforceincountrieswheresuchSuppliesor vehicles equipped with such Supplies are to besold; (h)donot,andarenotclaimedto,violateanypatent,trademarkorcopyright,andmaybeproperlyimported into the United States or any othercountry;(i)shallbefreeandclearofallliens,claimsorotherencumbrances,andthatSellerisconveyinggoodtitletoBuyer;(j)shallbeadequatelycontained,packaged, marked and labeled; (k) in the case ofservices, all services performed on behalf of Buyershall be performed in a competent, workmanlikemanner; and (l) the Supplies shall bemanufacturedinaccordancewithall applicable federal, state, andlocal laws, regulations, industry standards or otherstandards, labeling, transporting, licensing approvalorcertificationrequirementsintheUnitedStatesoranyothercountrywheretheSupplieswillbesoldorused. These representations will survive Buyer’sinspection, test, delivery, acceptance, use andpaymentandshall inure to thebenefitofBuyer, itssuccessors, assigns, applicable customers, and theend users of Buyer’s goods and services. Theserepresentations may not be limited or disclaimed.Seller waives any claim against Buyer and itscustomers, including any hold-harmless or similarclaim, whether known or unknown, contingent orlatent,inanywayrelatedtoaclaimassertedagainstSellerorBuyerforbreachofwarranty,infringementof any patent, trademark, copyright or otherproprietary right, including claims arising out ofcompliancewithspecificationsfurnishedbyBuyer.IfBuyer requests, Seller will enter into a separateagreement for the administration or processing ofwarrantychargebacksfornon-conformingSupplies.

All inventory, supplies and materialssupplied by Buyer to Seller (“Inventory”) and tools,jigs, dies, gauges, fixtures, molds, patterns,equipment,ancillaryproducts,andrelateddrawingson technical information and other items furnishedby Buyer to Seller including such items owned byBuyer’scustomersandprovidedtoSellerbyBuyerorits customers (“Tools”) for use in manufacturing

goods, or for which Seller has been reimbursed byBuyer (or Buyer’s customers), shall be and remainthe property of Buyer or Buyer’s customers, asapplicable. Seller bears the risk of loss of anddamage to the Tools (excluding normal wear andtear) and Inventory even though Seller exercisesreasonable care to preserve and protect suchproperty. At its expense, Seller shall repair andmaintain all Tools in good operating condition,normal wear and tear excepted. Seller shall alsoassume all risk of death or injury to persons anddamage to property arising from use of Tools andInventory. Seller shall: (1) inspect and approve allToolsandInventorypriortouse;(2)properlyhousethe Tools and Inventory on Seller’s premises; (3)maintaintheToolsandInventoryingoodcondition;(4)usetheToolsandInventoryonlyforperformanceunderaContractandnotforproductionorservicesfor any third party; (5) to the extent practicable,prominently mark the Tools and Inventory asproperty of Buyer or Buyer’s customer, asapplicable; (6) refrain from commingling the Toolsand Inventory with Seller’s or any third party’sproperty; (7) adequately insure the Tools andInventory against lossordamage, includingbutnotlimited to maintaining full fire and extendedcoverage insurance for replacement value andnaming Buyer as an additional insured; (8) takereasonable steps to ensure that the Tools andInventory do not become subject to any liens orother claims; and (9) not move the Tools orInventorytoalocationotherthanthatsetforthinaContract without Buyer’s prior written consent,exceptthat,inthecaseofanemergency,Sellermaymove the Tools and Inventory if Seller gives Buyernotice that the Tools and Inventory have beenmoved and the location of the Tools and Inventoryassoonaspracticablethereafter;

Buyer and Buyer’s applicable customer(s)mayenter Seller’s premisesduringnormal businesshours (or after normal business hours uponreasonablerequest)toinspectTools(inoperation,ifrequested) and Inventory and Seller’s recordsrelated to theToolsand Inventory.Sellerassigns toBuyeranyclaimsSellerhasagainstthirdpartieswithrespect to any Tools or Inventory. Upon Buyer’srequest, andwithout regard towhether Seller is inbreachofaContract,Sellerwill immediatelydeliverthe Tools and Inventory (at Buyer’s option, F.O.B.Seller’s facilityor F.O.B.Buyer’spremises),properlypackaged and marked in accordance with the

{00626845,} 1December2017(8)

requirements of Buyer’s carrier, Buyer and allapplicable laws and regulations. Seller shallcooperate with Buyer’s removal of the Tools andInventoryfromSeller’spremises.

Seller expresslywaives any lien or securityinterest which Seller might otherwise have on anyToolsandInventoryforanyamountsowingbyBuyeror Buyer’s customer, including for Services shippedorprovidedbySeller forworkdoneorvalueaddedto the Tools or Inventory. The previous waiverincludesbutisnotlimitedtomolders’,builders’andartisans’ liens, and applies regardless of whethersuch liens arise by statute, regulation or commonlaw;

Buyerdoesnotguaranteetheperformanceof any Tools or the suitability of Inventory itfurnishestoSeller.UponBuyer’srequest,SellerwillprovideBuyerwithalistingofallToolsandInventoryin Seller’s possession or control, showing Buyer’spart number(s) for Supplies made using Buyer’sproperty, the location(s)of theToolsand InventoryandacertificationacknowledgingBuyer’sorBuyer’scustomer’s, as applicable, ownership of the ToolsandInventory.

10.2. DurationsofSeller’sWarranties.

In the caseof Supplies supplied foruseas,orincorporationinto,parts,componentsorsystemsfor automotive vehicles or other finished products,the period for each of the representations andcovenants in Section 10.1 above will commenceupon Seller’s delivery of Supplies to Buyer and,except as provided in Section 10.4 or as otherwiseexpressly agreed in writing by Buyer’s authorizedemployee, end at the later of: (i) sixty monthsfollowing the date the vehicle or other finishedproduct on which such parts, components orsystems are installed is first sold and delivered orotherwise utilized for consumer or commercialpurposes; (ii) the period provided under applicablelaw; or (iii) if the Supplies are utilized for newvehicles, the same period as the new vehiclewarranty period offered to retail buyers in thecountry in which the vehicle incorporating theSupplies are sold, provided, however, that if Buyeroffers and provides a longer warranty to itscustomers with respect to any such parts,components or systems, then such longerwarrantyperiod will apply to the Supplies. In the case ofSuppliessuppliedforotheruses,theperiodforeach

oftheforegoingwarrantieswillbethatprovidedbyapplicable lawunlessotherwiseexpressly agreed inwriting by an authorized employee of Buyer.Notwithstanding the foregoing, Seller agrees towaive the expiration of the warranty period in theevent there are failures or defects discovered aftertheWarranty Period of a significant nature or in asignificant portion of the Supplies, or a defect isdiscovered which, in Buyer’s reasonable opinion,constitutesathreatofdamagetopropertyortothehealthandsafetyofanyperson.

10.3. Buyer’sRemediesandDamages.

If Buyer experiences any breaches of theforegoing representations or covenants, Buyer willhave the right, in addition to exercising all otherrights Buyer may have under the UniformCommercialCodeandanyotherapplicable statutesor law, to take the following actions, at Buyer’soption: (i) retain thedefective Supplies inwholeorinpartwith anappropriate adjustment in thepricefor thegoods; (ii) requireSeller torepairor replacethedefectiveSupplies inwholeor inpartatSeller’ssole expense, including all shipping, transportation,and installation costs; (iii) correct or replace thedefectiveSupplieswithsimilaritemsandrecoverthetotal cost relating thereto, including the cost ofproduct recalls from Seller; or (iv) reject thedefectiveSupplies.

Without limiting the generality of theforegoing,ifanySuppliesarereasonablydetermined(including by use of statistical analysis or othersampling methodology) to fail to conform to thewarranties set forth in the Contract, Buyer shallnotifySellerandSeller shall reimburseBuyer foralllosses, costs and damages caused by suchnonconforming Supplies. Such costs and damagesmay include,without limitation,costs,attorneyandexpert or professional fees, expenses and losses ofBuyer and/or its customers arising from (i)inspection,sorting,testing,repairorreplacementofany nonconforming Supplies or any system orcomponent that incorporates such nonconformingSupplies,(ii)productioninterruptionsorslowdowns,(iii)off-liningofvehiclesorcomponentsystems, (iv)field servicecampaignsandothercorrectiveserviceactions, including, without limitation, the amountspaidtodistributorsand/ordealersformaterialsandreplacementparts (includingreasonablemark-uptorecover administrative costs or other capitalexpenses)andthelaborcoststoperformsuchwork,

{00626845,} 1December2017(9)

and(v)claimsforpersonalinjury(includingdeath)orproperty damage caused by such nonconformingSupplies.

10.4. ProductRecalls.

Notwithstanding the expiration of thewarranty period set forth in Section 10.2, if Buyerand/or the manufacturer of the vehicles (or otherfinishedproduct)onwhich thegoods,oranyparts,components or systems incorporating the Supplies,are installed, voluntarily or pursuant to agovernment order or mandate, initiates a servicecampaign or makes an offer to owners of suchSupplies or vehicles to provide remedial action toaddress: (i) a defect that relates to motor vehiclesafety, (ii) the failure of the Supplies or vehicle tocomplywith any applicable law, safety standard orguideline, or (iii) any other defect or quality orperformance deficiency that in Buyer’s reasonableopinionconstituteathreatofdamagetopropertyorto the health and safety of any person (“Recall”),Seller will nonetheless be liable for costs anddamagesassociatedwith theconductof such recalltotheextentthatsuchrecall isbaseduponBuyer’sreasonable determination (including by use ofstatistical analysis or other sampling methodology)thatthegoodsfailtoconformtothewarrantiessetforthintheContract.

As Buyer reasonably requests, Seller shallcooperateandassistBuyerininvestigatingpotentialdefects, noncompliances, or deficiencies;communicating with relevant governmentalauthorities; completing any necessary filings;performing the necessary corrective action; andprovidingreplacementpartsforrecalls.

11. INGREDIENTS AND HAZARDOUSMATERIALS.

If Buyer requests, Seller will promptlyfurnish to Buyer, in such form and detail as Buyerdirects:(a)alistofallingredientsintheSupplies,(b)the amount of all ingredients, and (c) informationconcerning any changes in or additions to theingredients. Prior to, and together with, theshipmentoftheSupplies,SellerwillfurnishtoBuyerandallcarrierssufficientwrittenwarningandnotice(including appropriate labels on the goods,containers and packing) of any hazardous materialthatisaningredientorapartofanyoftheSupplies,togetherwithallspecialhandlinginstructions,safetymeasures and precautions as may be necessary to

complywithapplicable law, to informBuyerandallcarriersofanyapplicable legal requirementsand tobest allow Buyer and all carriers to prevent bodilyinjury or property damage in the handling,transportation, processing, use or disposal of theSupplies,containersandpacking.

All purchased materials used inmanufacture of the Supplies shall satisfy currentgovernmental and safety constraints on restricted,toxic and hazardous materials as well asenvironmental, electrical and electromagneticconsiderations applicable to the country ofmanufacture and sale. Prior to shipment, Sellerwillfurnish applicable Material Safety Data Sheets aswell as information on the safe use and hazardsassociated with use of the Supplies. At all times,Sellerwill complywith ISO14001, TS16949 and ELVor their successors, as amended, replaced orsubstituted,fromtimetotime.

12. SELLER’S FINANCIAL AND OPERATIONALCONDITION.

SellerrepresentstoBuyerasofthedateofeach Contract (which representations andwarrantiesshallbedeemedrepeatedasofthedateof Seller’s acceptance of each Release under theContractandatthetimeofeachdeliveryundertheContract)that:(i) it isnotinsolventandispayingalldebts as they become due; that it is in compliancewithall loancovenantsandotherobligations;(ii)allSellerfinancialinformationwhichSellerhasprovidedBuyer is true and accurate; (iii) such financialinformation fairly represents Seller’s financialcondition; and (iv) all Seller’s financial statementshave been prepared in accordance with generallyaccepted accounting principles, uniformly andconsistentlyapplied.

Upon Buyer’s request, Seller will providecopies of its quarterly and/or annual financialstatements, Seller will permit Buyer and itsrepresentativestoreviewSeller’sbooksandrecordsconcerning compliance with each Contract andSeller’soverallfinancialcondition,andSellerwillalsoprovide Buyer with full and complete access to allsuch books and records for such purpose. Selleragrees that, if Seller experiences any delivery oroperational problems, Buyer may, but is notrequiredto,designatearepresentativetobepresentin Seller’s applicable facility to observe Seller’soperations. Seller agrees that, if Buyer provides

{00626845,} 1December2017(10)

Sellerwithanyaccommodations (financialorother,includingprovidingdesignatedrepresentativesassetforthabove)thatarenecessaryforSellertofulfillitsobligations under any Contract, Seller shallreimburse Buyer for the reasonable amount of allcosts, including legal counsel and otherprofessionals’ fees, incurredbyBuyer inconnectionwith such accommodation and will grant Buyer aright of access to use Seller’s premises,machinery,equipment and other property necessary for theproduction of Supplies covered by such Contract(and a lien to secure the access right) under anaccess and security agreement. Seller will provideBuyerpromptwrittennoticeofSeller’simpendingorthreatenedinsolvency.

13. SELLER’SINSOLVENCY.

Inanyofthefollowingeventsoranysimilaror comparable event, Buyer may immediatelyterminate the Contract and any outstandingrelease(s)withoutanyliabilitytoSellerorobligationto purchase raw materials, work-in-process orfinished goods under Article 15: (a) insolvency orfinancialdifficultiesofSeller,(b)filingofavoluntarypetition in bankruptcy by Seller, (c) filing of anyinvoluntarypetition inbankruptcyagainstSeller, (d)appointment of a receiver or trustee for Seller, (e)execution of an assignment for the benefit ofcreditorsbySeller,(f)anyaccommodationbyBuyer,financial or otherwise, not contemplated by theContract, that are necessary for Seller to meet itsobligations under the Contract, (g) Seller’s inabilityto promptly provide Buyer with adequate andreasonable assurance of Seller’s financial capabilityto perform timely any of Seller’s obligations undertheContract.SellerwillreimburseBuyerforallcostsBuyerincursinconnectionwithanyoftheforegoingwhetherornottheContractisterminated,including,but not limited to, all attorneys’ fees or otherprofessionalfees.

14. TERMINATIONFORBREACH.

Buyermay terminateall or anypartof theContract without any liability to Seller or anyobligation to purchase raw materials, work-in-process or finished goods under Article 15 if Seller(a)repudiates,breaches,orthreatenstobreachanyof the terms of the Contract, including Seller’srepresentations,(b)failstoperformorthreatensnotto perform services or deliver goods in accordancewith the Contract; (c) fails to provide Buyer with

adequateandreasonableassuranceofSeller’sabilityto perform timely any of Seller’s obligations underthe Contract, including, without limitation, propercompletion of services or delivery of goods; or (d)fails to remain competitive with respect to price,quality, delivery, technology, payment terms, orcustomer support. In the event that an act ofterminationbyBuyer isdetermined tobe improperforanyreason,thedamagesavailabletoSellershallbe limited to the damages that Seller would havebeenentitledtoreceiveifBuyerhadterminatedforconveniencepursuanttoArticle15.

15. TERMINATIONFORCONVENIENCE.

InadditiontoanyotherofBuyer’srightstoterminate the Contract, Buyer may immediatelyterminatealloranypartoftheContract,atanytimeand for any reason, by notifying Seller in writing.Because Buyer’s commitments to its customers aremadeinrelianceonSeller’scommitmentsundertheContract, Seller has no right to terminate theContract.

16. TERMINATIONFORCHANGEOFCONTROL.

In addition to its other remedies, Buyermay, at its option, terminate the Contract withoutanyliabilitytoSellerforachangeofcontrolofSeller.A change of control of Seller includes: (a) the sale,leaseorexchangeofasubstantialportionofSeller’sassets used for the production of goods, or theentrance into anagreementby Seller regarding thesame;(b)thesaleorexchangeofmorethan20%ofSeller’sstockorotherownershipinterest(orofsuchotheramountaswouldresultinachangeofcontrolof Seller), or the entrance into an agreementregardingthesame;(c)theexecutionofavotingorother agreement providing a person or entity withcontrol of Seller or control of more than 20% ofSeller’sstockorotherownershipinterest(orofsuchotheramountaswouldresultinachangeofcontrolof Seller). Seller shall notify Buyer promptly inwritingintheeventoftheearlierof(i)theentranceintoanagreement,or(ii)theoccurrenceofanevent,describedaboveinthisparagraph.Intheeventofatermination pursuant to this paragraph, Buyer shallgiveSellerwrittennoticeoftheterminationatleastthirtydayspriortotheeffectiveterminationdate.

{00626845,} 1December2017(11)

17. TERMINATIONCLAIMS.

17.1. Seller’s Obligations UponTermination.

Uponreceiptofnoticeoftermination(orinthe case Seller fails to give notice and Buyer firstlearns of its right to terminate and exercises suchright)pursuanttoArticles14,15,or16,Seller,unlessotherwise directed in writing by Buyer, will (i)immediately terminateallworkunder theContract;(ii) promptly settle all claims by subcontractorsapproved by Buyer on the face of a Contract orContract amendment or in a signedwriting, if any,for reasonable actual costs that are renderedunrecoverablebysuchtermination;(iii)takeactionsreasonablynecessary toprotectproperty in Seller’spossession in which Buyer has an interest and (iv)upon Buyer’s request, cooperate with Buyer ineffectingtheresourcingofthegoodscoveredbytheContract to an alternative supplier designated byBuyer.

17.2. Buyer’s Obligations UponTermination Under Articles 15 or16.

Upon termination by Buyer under Articles15 or 16, Buyer shall pay to Seller the followingamounts without duplication: (i) the Contract pricefor all accepted Supplies that conform to therequirementsoftheContractandforwhichpaymenthasnotbeenmade;and(ii)thefairmarketvalueoractual cost, whichever is less, of raw materialprocured by Seller specifically for fabrication ofSupplies, provided however, Buyer will not beresponsible or liable to purchase any such rawmaterials that exceed the amount of rawmaterialsneeded to fabricate Supplies in the quantityProjectionsissuedforthefourweekssubsequenttothedateoftermination.

17.3. Buyer’s Obligations UponTerminationUnderArticle14.

Upon termination pursuant to Article 14,SellershallnotbeentitledtoanypaymentsbyBuyerexcept for the Contract price for all acceptedSupplies that conform to the requirements of theContractandforwhichpaymentremainsdue.

17.4. Buyer’sOptiontoPurchase.

Upon termination by Buyer under Articles14, 15, or 16, Buyer may, at its option, purchase

fromSelleranyorallrawmaterials,work-in-processand finished goods inventory related to the goodsunder the Contract which are useable and in amerchantablecondition.Thepurchasepriceforsuchfinished goods, raw materials and work-in-process,and Seller’s sole andexclusive recovery fromBuyer(withoutregardtothelegaltheorywhichisthebasisfor any claim by Seller) on account of suchtermination, will be (a) the contract price for allgoods or services that as of termination date havebeencompletedinaccordancewiththeContractanddeliveredandacceptedbyBuyerandnotpreviouslypaidfor,plus(b)theactualcostsofwork-in-processandrawmaterialsincurredbySellerinfurnishingthegoods or services under the Contract to the extentsuch costs are reasonable in amount and areproperly allocable or apportionable under generallyaccepted accounting principles to the terminatedportionoftheContractless(c)thereasonablevalueor cost (whichever is higher) of any goods ormaterialsusedorsoldbySellerwithBuyer’swrittenconsent. In no eventwill Buyer be required to payforfinishedgoods,work-in-processorrawmaterialswhich Seller fabricates or procures in amounts thatexceed those Buyer authorizes in delivery releasesnorwill Buyer be required to pay for any goods ormaterials that are in Seller’s standard stock or thatare readily marketable. Payments made under thisArticle will not exceed the aggregate price forfinished goods that would be produced by Sellerunder delivery or release schedules outstanding atthedateoftermination.

17.5. TerminationClaim.

Within 60 days after the effective date oftermination under Articles 15 or 16, Seller willfurnish Buyer with its comprehensive terminationclaim, together with all supporting data that willconsistexclusivelyoftheitemsofBuyer’sobligationto Seller that are listed in the Contract, and willthereafter promptly furnish any supplemental andsupporting information Buyer requests. Buyer mayaudit Seller’s records before or after payment toverify amounts requested in Seller’s terminationclaim. IfSeller fails tosubmitaterminationclaim instrict accordance with this Article, then Seller’sclaimsshallbedeemedthereafterwaivedandofnofurtherforceoreffect.

{00626845,} 1December2017(12)

18. SUPPLY TRANSITION AT END ORTERMINATIONOFCONTRACT.

Upon the expiration or termination byBuyer of any Contract for whatever reason, Sellerwilltakeallactionsnecessaryinordertoensurethatthere isno interruption in thesupplyofSupplies toBuyer. Among other things, Seller will take suchactions asmay be reasonably required by Buyer toaccomplish the transition from Seller to analternative seller, including without limitation thefollowing: (a) Seller will provide all necessary ordesirablenoticesforBuyertoresourcetheContractto an alternative seller; (b) Seller will provide asufficient bank of Supplies covered by the Contractto ensure the orderly transition to any alternativesellerchosenbyBuyer;and(c)SellershallprovidetoBuyeralltoolingandanyotherpropertyfurnishedbyorbelongingtoBuyeroranyofBuyer’scustomersinas good a condition as when received by Seller,reasonable wear and tear excepted; (d) Buyer andthealternativesellerreservetherighttoaccessandactively participate during the disconnect ordisassemble process for the Buyer’s Property, andBuyer alone will determine the location, time anddateof the removal;and (e)atBuyer’s soleoption,Seller will: (i) assign to Buyer any or all supplycontracts or Contracts for raw material orcomponents relating to the Contract; (ii) sell toBuyer, at Seller’s cost or fair market value,whichever is less, any or all perishable tooling andInventoryrelatingtotheContract;and/or(iii)selltoBuyer any of Seller’s property relating to theContract,atapriceequaltotheunamortizedportionof the cost of such items less any amounts Buyerpreviously has paid to Seller for the cost of suchitems.Sellerwillprovidedocumentation supportingtheoriginalcostofanyunamortizeditems.Theterm“alternative seller” expressly includes, but is notlimited to, one or more Buyer-owned facilities oraffiliatedorrelatedfacilities.

19. TECHNICALINFORMATION.

19.1. InformationDisclosedbySeller.

Seller will create, maintain, update, andprovide to Buyer, in compliance with Buyer’sdrafting and math data standards, all technicalinformationaboutthegoodsandtheirmanufacturewhich is reasonably necessary or Buyer requests inconnection with its use of the Supplies, including,without limitation, the engineering validation and

qualificationofthegoodsforautomotiveproductionand other applications and compliance with anylegal or regulatory requirements. Such technicalinformation will not be subject to any use ordisclosurerestrictions,exceptasprovidedinSection19.2below.

19.2. WaiverofClaims.

Sellerwillnotassertanyclaim(otherthanaclaimforpatentinfringement)againstBuyer,Buyer’scustomersortheirrespectivesupplierswithrespectto any technical information that Seller shall havedisclosed, or may hereafter disclose, in connectionwiththeSuppliescoveredbytheContract.

19.3. RepairandRebuild.

SellerauthorizesBuyer,itsaffiliates,agentsandsubcontractors,andBuyer’scustomersandtheirsubcontractors to repair, reconstruct or rebuild theSupplies delivered under the Contract withoutpayment of any royalty or other compensation toSeller.

19.4. SoftwareandWrittenWorks.

SellergrantstoBuyerapermanent,paid-uplicensetouse,repair,modifyandsellanyoperatingsoftwareincorporatedintheSuppliesinconjunctionwith theuseor saleof the Supplies. Inaddition, allworks of authorship, including without limitation,software, computer programs and databases(includingobjectcode,microcode,sourcecodeanddata structures), and all enhancements,modifications and updates thereof and all otherwritten work products or materials, which arecreated in the course of performing the Contract,separatelyoraspartofanygoodsandcomponents,are “works made for hire” and are Buyer’s soleproperty. To the extent that such works ofauthorship do not qualify under applicable law asworksmade forhire,Sellerherebyassigns toBuyerallSeller’s right, titleand interest inany intellectualproperty rights in suchworksof authorship. If suchassignmentisnotpossibleunderanyapplicablelaw,SellerherebygrantsBuyeranexclusive,royalty-free,fullypaidupperpetual licensewith respect to suchworksofauthorship.

19.5. Development, Engineering AndConsultingServices.

Engineering, consulting or developmentservices(“DevelopmentServices”)fundedunderthe

{00626845,} 1December2017(13)

Contract that result inany idea, invention,concept,discovery, work of authorship, patent, copyright,trademark, trade secret, know-how or otherintellectualproperty(“IP”)shallbethesolepropertyofBuyer.SellerwillassigntoBuyerallright,titleandinterestinandtoIPwhichresultsfromDevelopmentServices (“Developed IP”).SellerwillnotifyBuyerofthe existence of Developed IP and assist Buyer inevery reasonableway to perfect Buyer’s right, titleand interest in Developed IP, such as by executingand delivering all additional documents Buyerreasonably requests in order to perfect, register,and/or enforce the same, andBuyerwill reimburseSeller for the actual amount of reasonably-incurredout-of-pocket which Seller incurs in providing suchassistance.

19.6. Confidentiality.

Sellershallkeepconfidential,notdisclosetoany person or entity and not use for any purposeotherthanfulfilling itsobligationsunderaContract,any product technology, trade secrets, processadvancements, drawings, plans, specification,blueprints, equipment designs, tests or test results,experimentation, prototypes, models or any otherproprietary information(“Confidential Information”)thatBuyerprovidestoSellerundertheContract.Byaccepting a Contract, Buyer grants Seller a limited,terminable at-will limited license (without right tofurther sub-licence) to use the ConfidentialInformation for the sole purpose of performingunderaContractandnotforuseinprovidinggoodsorservicestoothercustomersandnottodirectlyorindirectly competewith Buyer. Seller agrees that itwill not disclose Confidential Information to or useConfidential Information with or for the benefit ofitselforanythirdpartywithoutBuyer’spriorwrittenauthorizationthatBuyermayarbitrarilywithholdordelay. Seller also agrees to adopt measures toprotect the secrecy and confidentiality ofConfidential Information that are reasonable underthe circumstances. Seller agrees that itwill not useBuyer’sorBuyer’scustomer’snameorthefactthatSeller issellinggoodsorprovidingservicestoBuyerin any press releases, media statements or publiccommunications or otherwise publicize a Contractwithout Buyer’s prior written consent. Seller alsoagrees that it will not use any of Buyer’s names,logos, trademarks,servicemarks,or tradenames inanywaywithoutBuyer’spriorwrittenconsent,andby entering into a Contract, Buyer shall not be

deemed to have granted Seller a license of, or anyrightsin,anyoftheforegoing.Sellerwaivestherightto assert any claims against Buyer, other than forpatent infringement, arisingoutof anyConfidentialInformation that Seller discloses to Buyer inconnection with a Contract. The provisions of thisSection 19.6 shall survive the termination,cancellationorexpirationoftheContract.AtBuyer’srequest,Sellerwillreturnallmaterials(inanyform)that include, incorporate, or otherwise Buyer’sConfidential Information. Seller shall not sell ordisposeof,asscraporotherwise,anycompletedorpartially completed or defective Suppliesmanufactured hereunder without defacing orrenderingthemunsuitableforuse.

20. INDEMNIFICATION.

20.1. Infringement.

Seller will defend, hold harmless andindemnify Buyer and its applicable customers, andtheir respective successors and assigns, against anyclaimsofinfringement(includingpatent,trademark,copyright, moral, industrial design or otherproprietary rights,ormisuseormisappropriationoftrade secret) and resulting damages and expenses(including, without limitation, attorney and otherprofessionalfeesanddisbursements)relatingtotheSupplies covered by the Contract, including anyclaims in circumstances where Seller has providedonly part of the Supplies. Seller waives any claimagainstBuyer that any such infringement aroseoutofcompliancewithBuyer’sspecifications.

20.2. ActivitiesonBuyer’sPremises.

Seller will defend, hold harmless, andindemnify Buyer from and against any liability,claims, demands, damages, costs or expenses(including, without limitation, reasonable attorneyand other professional fees and disbursements)arising fromor in connectionwith theperformanceof any service or work by Seller or its employees,agents, representatives and subcontractors onBuyer’sorBuyer’sapplicablecustomer’spremisesortheuseofBuyer’spropertyorthatofanycustomerofBuyer,excepttotheextentsuchliabilityarisesoutofBuyer’sorBuyer’scustomer’sgrossnegligenceorwillfulmisconduct.

20.3. ProductLiabilityandRecalls.

Seller will defend, hold harmless, andindemnify Buyer and its customers, and their

{00626845,} 1December2017(14)

respective successorsandassigns, fromandagainstany liability and expenses (including, withoutlimitation,attorneyandotherprofessional feesanddisbursements) arising from or in connection withany third party claims or demands to recover forpersonal injury or death, property damage oreconomiclosscausedbyanyofthegoodsorservicessuppliedbySeller(regardlessofwhethersuchclaimor demand arises under tort, negligence, contract,warranty, strict liabilityoranyother legal theories),except to the extent such injury, damage or lossresults from Buyer’s specifications as to design ormaterials or from alteration or improper repair,maintenanceor installationbyanypartyotherthanSeller.

Seller will defend, indemnify and holdharmless Buyer and its applicable customer underthe Contract, and their respective successors andassigns,againstalldamages,losses,claims,liabilitiesand expenses (including reasonable attorneys’ andotherprofessionalfees,settlementsandjudgments)arising out of or resulting from any defectiveSupplies, or from any negligent or wrongful act oromissionof Selleroranybreachor failurebySellertocomplywithanyofSeller’swarrantieshereunder,including without limitation the cost of recallcampaigns, Buyer field service actions or othercorrectiveserviceactionsthat,inBuyer’sreasonablejudgment, are required because of defects,deficiencies, nonconformities or noncompliances insomeoralloftheSuppliesprovidedbySeller.

20.4. Seller’sObligationtoDefend.

Within a reasonable time of becomingaware of any actual or potential liabilities, claims,demands, damages, costs or expenses under thisArticle 20.4 (collectively, “Liabilities), Buyer willnotifySeller.Seller,atBuyer’soptionandatSeller’sexpense, will undertake defense of such actual orpotential Liabilities through counsel approved byBuyer. Provided, however, that Seller shall firstobtainauthorizationfromBuyerbeforesettlementismade of the actual or potential Liabilities if thetermsofsuchsettlementcouldmateriallyadverselyaffect Buyer, including any terms which admit theexistenceofadefectinSuppliesorBuyer’sfailuretofully and faithfully perform its obligations. In thealternative,BuyermayelecttoundertakedefenseofsuchLiabilitiestotheextentassertedagainstBuyer,and Seller shall reimburse Buyer on monthly basis

for all expenses, attorney fees, and other costsincurredbyBuyer.

21. COMPLIANCEWITHLAWS.

Seller and all Supplies will comply with allapplicable laws, rules, regulations, orders,conventions, ordinances and standards of thecountry(ies) of origin and destination or that relateto the manufacture, labeling, transportation,importation, exportation, licensing, approval,performance and/or certification of the goods orservices,including,butnotlimitedto,thoserelatingto environmental matters, wages, hours andconditions of employment, subcontractor selection,discrimination, occupational health/safety andmotor vehicle safety, and each Contract shall bedeemed to incorporate by reference all the clausesrequired by the provisions of said laws, contracts,rules,regulationsandordinances.Sellerwilldefend,holdharmlessandindemnifyBuyerfromandagainstany liability,claims,demands,damagesorexpenses(includingreasonableattorneyorotherprofessionalfees and disbursements) arising from or relating toSeller’snon-compliancewiththisArticle.

Without restricting the above, if Seller’sshipmentcontainsanywoodpackingmaterial,Sellerrepresents and warrants that the material is: (i)madeentirelyofCanadianoriginwoodorU.S.originwood; (ii) derived totally from trees harvested inCanada or the United States or (iii) treated incompliance with the International Standard forPhytosanitary Measures onWood Packaging (ISPMNo. 15) adopted by the International PlantProtection Convention inMarch, 2002, as amendedfromtimetotime.

Seller shall indemnify and hold Buyerharmless from and against any liability claims,demandsorexpenses (including,without limitation,attorneys' or other professional fees) arising out ofor in connection with Seller's non-compliance withtheprovisionsofthisArticle21.

22. INSURANCE.

Seller will maintain insurance coverage asrequired by applicable law or as reasonablyrequested by Buyer in amounts and with carriersreasonablyacceptabletoBuyer,namingBuyerasanadditional insured, and covering general liability,public liability, product liability, product recall,completed operations, contractor’s liability,

{00626845,} 1December2017(15)

automobile liability insurance, worker’scompensation, and employer’s liability insurance aswilladequatelyprotectBuyeragainstsuchdamages,liabilities, claims, losses and expenses (includingattorney’sfees).

With respect to any such insurancecoverage, Seller will furnish to Buyer either acertificate evidencing satisfaction of the above-mentioned insurance requirements under theContract or certified copies of all insurance policieswithin ten days after receipt of Buyer’s writtenrequest.ThecertificatemustprovidethatBuyerwillreceivenotlessthanthirtydayspriorwrittennoticefrom the insurerof any terminationor reduction inthe amount or scope of coverage. No furnishing ofcertificates of insurance or purchase of insurancewilllimitorreleaseSellerfromSeller’sobligationsorliabilitiesundertheContract.

Sellerwillprovideevidenceofandmaintaina technology/professional liability insurance policy,including coverage for network security/dataprotection liability insurance (also called “cyberliability”) covering liabilities for financial lossresultingorarisingfromacts,errors,oromissions,inrendering technology/professional services or inconnectionwith theContract.Coveragewill includeviolation or infringement of any right of privacy,including breach of security and breach ofsecurity/privacy laws, data theft, damage,unauthorized disclosure, destruction, or corruption,unauthorized access, unauthorized use, identitytheft, theft of personally identifiable information,transmission of a computer virus or other type ofmalicious code; and participation in a denial ofservice attack on third party computer systems,breach response costs including notification costs,forensics, credit protection services, call centreservices, andpublic relation services. Theminimumlimit will be $3,000,000 for each claim and in theaggregate. Seller’s insurerwill haveaBest ratingofA-andaminimumA.M.BestFinancialSizeRatingof“VIII”.Thepolicymustbekeptinforceduringthelifeof the Contract and for a minimum of three years(either as a policy in force or extended reportingperiod) after contract performance or terminationandwill provide additional insured status for Buyerbut only for Seller’s negligent acts, errors oromissions, misstatement or misleading statementsby Seller its agents or other employees in the

performance of contracted technology/professionalservices.

23. SELLER’SEQUIPMENT.

Seller, at its expense, will furnish, keep ingoodcondition,andreplacewhennecessaryallofitsmachineryandequipment,includingrelatedtooling,jigs, dies, gauges, fixtures,molds, patterns, fixturesandotheraccessories,requiredfortheproductionofSupplies (collectively, “Seller’s Equipment”). SellerwillinsureSeller’sEquipmentwithfireandextendedcoverage insurance for its full replacement value.Seller grants Buyer an irrevocable option to takepossession of, and title to, all or part of Seller’sEquipmentthatisspeciallydesignedoroutfittedforthe production of Supplies, in which event Buyerwill,within45daysfollowingdeliveryofsuchSeller’sEquipmenttoBuyer,paytoSellerofthelowerof(i)the net book value of such Seller’s Equipment (i.e.,actualcost,lessamortization)or(ii)thencurrentfairmarket value of such Seller’s Equipment, in eachcaselessanyamountsthatBuyerhaspreviouslypaidtoSelleronaccountofsuchSeller’sEquipment.Theforegoing option will not apply to the extent thatSellerusesSeller’sEquipmenttoproducegoodsthatare Seller’s standard stock and are then being soldby Seller to other customers. Buyer’s right toexercise the foregoingoption is not conditionedonSeller’s breach or Buyer’s termination of theContractoruponpaymentofanyotheramountsdueundertheContract.

24. BUYER’SPROPERTYANDINFORMATION

24.1. AcquisitionofTools.

To the extent that the Contract coversBuyer’spurchaseof,orreimbursementtoSellerfor,any Tools to be used in connection with Seller’sactualoranticipatedsupplyofgoodstoBuyer,Sellerwill acquire such Tools as Buyer’s agent and Buyershall pay toor reimburse Seller the lowerof (i) theamount specified in the Contract for such Tools or(ii) Seller’s actual out-of-pocket cost to acquire theToolsormaterialsfromanunrelatedthirdpartyor,ifthe Tools are constructedor fabricatedby Seller orany affiliate of Seller, the actual direct costs formaterials, labor and overhead associatedwith suchconstructionandfabrication.Sellerassigns toBuyerany contract rights or claims inwhich Seller has aninterest with respect to such Tools. Seller willestablish andmaintain a reasonable and customaryaccounting system that readily enables the

{00626845,} 1December2017(16)

identification of Seller’s costs as described above.Buyeror itsagentsshallhavetherighttoauditandexamineallbooks,records,facilities,work,material,inventories and other items relating to any suchTools. Upon Seller’s acquisition of such Tools, titlethereto shall vest immediately in Buyer and suchTools shallbeheldbySellerasBuyer’sProperty (asdefined in Section 24.2 below) in accordance withthisArticle24.

24.2. BailmentofBuyer’sProperty.

All Tools which Buyer furnishes, eitherdirectly or indirectly, to Seller orwhich Buyer buysfrom,orgives reimbursement to,Seller inwholeorin part (collectively, “Buyer’s Property”)will be andremain thepropertyofBuyerandbeheldbySelleron a bailment basis. Title to all replacement parts,additions, improvementsandaccessoriespurchasedby Seller will vest in Buyer immediately uponattachment to or incorporation into Buyer’sProperty. Seller expressly waives and releases, andagreesnottofileorotherwiseassertorprosecuteorsuffer to permit any statutory, equitable or otherliens,includingbutnotlimitedtoequitableorotherliens, including but not limited to anymolder liens,toolliens,builderliensandthelike,thatSellerhasormight have on or in connection with the Buyer’sProperty for all work, including but not limited to,designing, manufacturing, improving, maintaining,servicing, using, assembling, fabricating ordeveloping the Buyer’s Property. Seller herebyagrees to indemnify, defend and hold harmlessBuyer from and against any loss, liabilities, costs,expenses, suits, actions, claims and all otherobligations and proceedings, including withoutlimitation all attorney’s fees and all other cost oflitigation that are in any way related to releasing,terminating or otherwise removing all such liensplacedon theBuyer’sProperty. Sellerwill assign toBuyeranyclaimsSellerhasagainstthirdpartieswithrespect to Buyer’s Property. Seller shall assume allrisk of death or injury to persons or damage topropertyarisingfromuseoftheBuyer’sProperty.

24.3. Seller’s Duties Concerning Buyer’sProperty.

While Buyer’s Property is in Seller’spossessionanduntilSellerdeliversBuyer’sPropertybacktoBuyer,Sellerbearstheriskofloss,theftanddamage to Buyer’s Property. Seller will beresponsible for the cost of repairing or replacing

Buyer’sPropertyifitisstolen,damagedordestroyedregardless of cause or fault. Sellerwill at all times:(a)regularlyinspect,maintainingoodcondition,andrepairBuyer’sPropertyat Seller’sownexpense, (b)useBuyer’sPropertyonlyfortheperformanceoftheContract, (c) deemBuyer’s Property to be personalproperty,(d)conspicuouslymarkBuyer’sPropertyasthe property of Buyer andmaintain suchmarkings,(e) not commingle Buyer’s Property with thepropertyofSellerorwith thatofa thirdperson, (f)not move Buyer’s Property from Seller’s applicableshippinglocation(asshownbytheshippingaddressof Seller) without prior written approval from anauthorized employee of Buyer, (g) use Buyer’sProperty in compliance with Buyer’s or themanufacturer’s instructions and in compliancewithall federal, state and local laws, ordinances andregulations (h) adequately insure the Buyer’sProperty against loss or damage, including but notlimited to maintaining full fire and extendedcoverage insurance for replacement value andnamingBuyer as an additional insured, and (i) takereasonablestepstoensurethattheBuyer’sPropertydoes not become subject to any liens or otherclaims. Buyer will have the right to enter Seller’spremises at all reasonable times to inspect Buyer’sProperty and Seller’s records with respect thereto.Seller will not sell, lend, rent, encumber, pledge,lease, transfer or otherwise dispose of Buyer’sProperty. Furthermore, Seller will not assert, orpermit any person claiming an interest throughSeller to assert any claims of ownership to or anyotherinterestinBuyer’sProperty.

All right, title, and interest in and to anypart of Tools shall pass to Buyer as soon as it theyare acquired or fabricated in accordance with aToolingContract.During the termof a Contract, allsuch Tools in the possession of Seller shall bedeemedbailedpropertyandshallnotbedeemedafixtureorapartofSeller’srealproperty.

Seller will (i) properly house and maintainsuch property on Seller’s premises, (ii) prominentlymark it Property of Buyer, (iii) refrain fromcommingling it with the property of Seller or withthat of a third party, and (iv) adequately insure itagainst loss or damage and (v) not move it toanotherlocationwhetherownedbySellerorathirdparty, without the prior written consent of Buyer,exceptinthecaseofanemergency,Sellermaymovethe Tools provided that it gives Buyer priorwritten

{00626845,} 1December2017(17)

notice that the tooling is to be moved and thelocationoftheTools.

Seller will indemnify Buyer against anyclaimadversetoBuyer’sownershipofor interest intheTools,exceptassuchclaimsmayresultfromanyactsoromissionsofBuyer.Totheextentpermittedby law, Seller waives its right to object to therepossession of the Tools by Buyer in the eventSellerisinvolvedinbankruptcyproceedings.Whileinits possession, Seller, at Seller’s expense, shallmaintain the Tools in first class condition andimmediately replace any items that are lost ordestroyed or become worn out. All repaired orreplacedToolsshallbethepropertyofBuyer.WearandrepairoftheToolsisSeller’sresponsibility.Titletoanymodifications,changesoraccessionstoToolsshall be vest in Buyer regardless of whether BuyerhasreimbursedSellerforsuchmodification,changesor accessions. Seller will keep such records inrelation to the Tools as Buyer may reasonablyrequire. None of the Tools shall be used in theproduction,manufacture or design of any goods ormaterials except to the order of Buyer. Seller’sresponsibility continues beyond the expiry date ofthe related parts Contract. If the Tools are notutilized toproduceanyparts forBuyer foraperiodoftwoyears,SellershallsonotifyBuyerandrequestinstructionastothedispositionoftheTools.IfSellersubcontractsalloranyportionofthemanufactureoftheTools,SellershallsonotifyBuyerinadvanceandobtain for Buyer all of the rights contained in thisSection 24.3 from each subcontractor retained orusedbySeller.

Seller authorizes Buyer to file a UCC-1financing statement or equivalent document withthe appropriate filing authority to give notice ofBuyer’s ownership interest in the Buyer’s Property.Failuretofileafinancingstatementwillnotalteroramend Buyer’s ownership rights to the Buyer’sProperty Seller shall provide Buyer, upon Buyer’srequest, with a written inventory of all Buyer’sProperty.

24.4. ReturnofBuyer’sProperty.

SelleragreesthatBuyerhastheright,atanytimeandfromtimetotime,withorwithoutreasonand without payment of any kind, to retakepossession of or request the return of Buyer’sProperty.Without further notice or court hearings,whichrights, ifany,areherebywaived,Buyeror its

designee(s) will have the right to enter Seller’spremises and take possession of any of Buyer’sProperty. Upon Buyer’s request and in accordancewith Buyer’s instructions, Buyer’s Property will beimmediatelyreleasedtoBuyerordeliveredtoBuyerby Seller, either (i) Ex Works (IncoTerms 2000) atSeller’s plant properly packed and marked inaccordance with the requirements of the carrierselectedbyBuyertotransportsuchBuyer’sPropertyor (ii) to any location Buyer designates, in whichevent Buyer will pay Seller the reasonable costs ofdelivering Buyer’s Property to the location Buyerdesignates.IfSellerdoesnotreleaseanddeliveranyBuyer’s Property in accordance with this Article,Buyermay obtain an immediatewrit of possessionwithoutnoticeandwithoutthepostingofanybondand/orenterSeller’spremises,withorwithoutlegalprocess, and take immediate possession of Buyer’sProperty.

24.5. DisclaimerofWarranties.

Seller acknowledges and agrees that (i)Buyer is not the manufacturer of Buyer’s Propertynor themanufacturer’s agent nor a dealer therein,(ii) Buyer is bailing Buyer’s Property to Seller forSeller’sbenefit, (iii)Sellerhas inspectedtheBuyer’sProperty and is satisfied that Buyer’s Property issuitableandfitforitspurposes,and(iv)BUYERHASNOT MADE AND DOES NOT MAKE ANYREPRESENTATION WHATSOEVER, EITHER EXPRESSOR IMPLIED, AS TO THE FITNESS, CONDITION,MERCHANTABILITY, DESIGN OR OPERATION OFBUYER’S PROPERTY OR ITS FITNESS FOR ANYPARTICULARPURPOSE.

24.6. UseofBuyer’sInformation.

Seller will (i) keep all Buyer’s Information(as defined below) confidential and disclose it onlyto its employees who need to know such Buyer’sInformation in order for Seller to supply goods andservicestoBuyerundertheContractand(ii)usetheBuyer’s Information solely for the purpose ofsupplying goods and services to Buyer. GoodsmanufacturedbasedonBuyer’sInformationmaynotbeusedforSeller’sownuseorsoldbySellertothirdparties without prior express written consent froman authorized employee of Buyer. “Buyer’sInformation” means all information provided toSeller by Buyer or its representatives orsubcontractors in connection with the business,programs, goods and services covered by the

{00626845,} 1December2017(18)

Contract, including, without limitation, pricing,pricing adjustments, multi-year commercialarrangements and other terms of the Contract,specifications,data,formulas,compositions,designs,sketches, photographs, samples, prototypes, testvehicles, manufacturing, packaging or shippingmethodsandprocessesandcomputersoftwareandprograms (including object code and source code).Buyer’s Information also includes any materials orinformation that contain or are based on, anyBuyer’s Information, whether prepared by Buyer,Selleroranyotherperson.

25. SERVICEANDREPLACEMENTPARTS.

During the termof theContract, Sellerwillsell toBuyer all Supplies necessary to fulfill Buyer’sservice and replacement parts requirements toBuyer’s customers at the then current productionprice(s) under the Contract. If the Supplies aresystemsormodules,Sellerwill sell thecomponentsor parts that comprise the system or module atprice(s) that will not, in the aggregate, exceed thepriceofthesystemormodulelessassemblycosts.IftheContractisineffectattheendoftheautomotivevehicleproductionprogram intowhich theSuppliescoveredbytheContractareincorporated,Sellerwillalso sell Supplies to Buyer to fulfill Buyer’s and itscustomers’ service and replacement partsrequirements during the fifteen (15) year periodfollowing the end of such vehicle productionprogram (the “Past Service Model ProductionPeriod”),andtheContractwillautomaticallyremainin effect during the entire Past Service ModelProductionPeriod.Duringtheinitialfive(5)yearsofthe Past Service Model Production Period, theprice(s) for such goods will be the productionprice(s)whichwere ineffectatthecommencementofthePast-ServiceModelProductionPeriod.Fortheremainder of the Past Service Model ProductionPeriod,theprice(s)forsuchservicegoodswillbeasreasonably agreed to by the parties. If a disputearisesbetweenSellerandBuyerregardingthepriceof service or replacement parts under thisparagraph, Seller shall continue to supply Buyer’srequirements for service and replacement parts atthe production prices set forth in the Contractpending resolution of such dispute. If requested byBuyer, Seller will also make service literature andothermaterials available at no additional charge tosupportBuyer’sserviceactivities.

26. REMEDIESANDINJUNCTIVERELIEF.

The rights and remedies reserved toBuyerintheContractarecumulativewith,andinadditionto, all otheror further remediesprovided in laworequity. To the extent that the Contract is for thesupply of Supplies for use as, or fabrication into,parts, components or systems, Seller acknowledgesand agrees that money damages would not be asufficient remedy for any actual, anticipatory orthreatened breach of the Contract by Seller withrespecttoitsdeliveryofgoodstoBuyerandthat,inaddition to all other rights and remedies whichBuyermay have, Buyer shall be entitled to specificperformance and temporary, preliminary andpermanent injunctive or other equitable relief as aremedyforanysuchbreach,withoutproofofactualdamages andwithout bond or other security beingrequired.

Seller also acknowledges and agrees thatshuttingdownacustomer’splant creates issues forwhichmoneydamages arenot a sufficient remedy.While the cost of a plant shutdown may easilygenerate substantial costs, the damages to Buyer’srelationshipwithBuyer’scustomerthroughpotentialloss of business, and other damages which areequallydifficulttocalculate,arefarworse.

Because of these risks, in the event of abreach or threatened breach by Seller of any ofSeller’s representations, warranties or covenants,Buyer may, without notice to Seller, resource theproduction of Supplies from Seller to anothersupplierordual sourceanyof theSupplies coveredhereby (i.e., have another supplier produce or beprepared to produce Supplies being produced bySeller), to protect Buyer and its customers. Thisprocessofmovingbusinessmaytakeaconsiderableamount of time and Seller understands that, giventherisksposedbythepossibleshutdownofBuyer’scustomer, Buyer is justified in initiating andtransferringbusinesswithoutpriornoticetoSeller.

Further, in the event of any breach of theContractbySeller,Buyershallbeentitledtorecoverall actual, special, incidental and consequentialdamages caused by the breach, including, but notlimited to, costs, expenses and losses incurred byBuyer (i) in inspecting, sorting, testing, repairing orreplacingsuchnonconformingSupplies;(ii)resultingfrom production interruptions, (iii) in conductingremedial actions, and (iv) in connectionwith claims

{00626845,} 1December2017(19)

for personal injury (including death) or propertydamage caused by such breach. If requested byBuyer, Seller shall, without charge to Buyer,administer and process warranty charge-backs fornonconforming Supplies in accordancewithBuyer’sdirections.

Notwithstanding anything to the contrarycontained in any Contract, Buyer does not releaseanyclaimagainstSeller that isbased inwholeor inpart on any fraud or duress in connectionwith theContractoranybreachoranticipatorybreachoftheContract or any other contract between Buyer andSeller(evenifthatcontractrelatestootherservicesorproducts).AllpaymentsbyBuyer toSellerundertheContractarewithoutprejudicetoBuyer’sclaims,rights,orremedies.

BuyerwillnotbeliabletoSellerforanylostprofits or for any incidental, consequential, special,exemplaryorpunitivedamages.Withoutlimitingtheforegoing, the parties further agree that: (i) withrespect to a claim arising out of or in connectionwith the termination of any Contract, Seller’sdamages,ifany,shallbelimitedtothedamagessetforth inArticle 17; and (ii)with respect to all otherclaims,Seller’sdamagesshallbelimitedtothelesserof: (A) the value of Supplies purchased by Buyerfrom Seller in the three months immediatelyprecedingtheallegedbreach;or(B)$10,000.

Buyershallnotbeliableforandshallnotberequired tomakepayments toSeller,directlyoronaccount of claims by Seller’s subcontracts, for anyother alleged losses or costs, including but notlimited to loss of anticipated profit, unabsorbedoverhead, interest on claims, product developmentand engineering costs, facilities and equipmentacquisition or rearrangement costs or rental,unamortized depreciation costs, ancillary exitcharges (including, but not limited to, costs ofriggers,warehousing,premiummanufacturingcosts,material costs, loading of trucks or other standardbusiness procedures related to transitioningproductiontoanalternativesupplier),attorneysfeesor collection costs, or general and administrativeburden charges resulting from termination of theContract,allegedbreachof theContract,or foranyother reason. Notwithstanding anything to thecontrary, Buyer’s obligation to Seller upontermination shall not exceed the obligation Buyerwould have had to Seller in the absence oftermination.

27. CUSTOMSANDEXPORTCONTROLS.

27.1. CreditsandRefunds.

Transferable credits or benefits associatedwith or arising from goods purchased under theContract, including trade credits, export credits orrights to the refundofduties, taxesor fees,belongto Buyer. Seller will, at its expense, provide allinformation necessary (including writtendocumentationandelectronictransactionrecordsinBuyer-approvedformats)topermitBuyertoreceivethesebenefits,credits,orrights.

Seller will, at its expense, provide Buyerwithall information,documentation, andelectronictransaction records relating to the goods necessaryforBuyer to fulfill any customs -relatedobligations,origin marking or labeling requirements andcertificationorlocalcontentreportingrequirements,toenableBuyertoclaimpreferentialdutytreatmentforgoodseligibleunderapplicabletradepreferenceregimes, and to make all arrangements that arenecessary for the goods to be covered by any dutydeferralorfreetradezoneprogram(s)ofthecountryofimport.Sellerwill,atitsexpense,provideBuyerorBuyer’s nominated service provider with exportdocumentationtoenablethegoodstobeexported,and obtain all export licenses or authorizationsnecessary for the export of the goods unlessotherwise indicated in theContract, inwhicheventSeller will provide all information as may benecessary to enable Buyer to obtain such licenseesorauthorization(s).

27.2. Customs-TradePartnershipAgainstTerrorism.

IfanySuppliescoveredbytheContractareto be imported into the United States of America,Seller shall comply with all applicablerecommendationsorrequirementsoftheBureauofCustoms and Border Protection’s Customs-TradePartnership Against Terrorism (“C-TPAT”) initiative.Upon request, Seller shall certify in writing itscompliancewiththeC-TPATinitiative.

28. SETOFF/RECOUPMENT

In addition to any right of setoff orrecoupmentallowedby law,allamountsdueSeller,or any of its subsidiaries or affiliates shall beconsidered net of indebtedness or obligations ofSeller,oranyofitssubsidiariesoraffiliatestoBuyeroranyofitssubsidiariesoraffiliates,andBuyermay

{00626845,} 1December2017(20)

setoffagainstorrecoupfromanyamountsdueortobecomeduefromSeller,oranyofitssubsidiariesoraffiliates to Buyer or any of its subsidiaries oraffiliates however and whenever arising, includingthe Buyer’s attorneys’ fees and costs ofenforcement. In the event that Buyer or any of itssubsidiaries or affiliates reasonably feels at risk,Buyer may withhold and recoup a correspondingamount due Seller or any of its subsidiaries oraffiliatestoprotectagainstsuchrisk.

If an obligation of Seller or any of itssubsidiaries or affiliates to Buyer or any of itssubsidiaries or affiliates is disputed, contingent orunliquidated, Buyer or any of its subsidiaries oraffiliatesmaydeferpaymentofalloranyportionofthe amount due until such obligation is resolved.Without limitingthegeneralityoftheforegoingandbywayofexampleonly,intheeventofabankruptcyof Seller, if the Contract between Buyer and Sellerhas not been assumed, then Buyer may deferpayment to Seller, via an administrative hold orotherwise, for Supplies against potential rejectionandotherdamages.

In the event that Seller becomes insolventas described inArticle 13 of these Standard Terms,Buyer also may set off, recoup, and/or withholdfromamountsdueSelleroranyofitssubsidiariesoraffiliates any amounts that Seller is obligated toindemnify Buyer pursuant to the Contract,regardless of whether such amounts become duebeforeorafterthefilingofapetitionforbankruptcyprotectionbySeller.

29. NOADVERTISING.

Sellerwill not, in anymanner, advertiseorpublish that Seller has contracted to furnish BuyerthegoodsorservicescoveredbytheContractoruseany trademarks or trade names of Buyer in Seller’sgoods, advertising or promotional materials unlessBuyerconsentsinwriting.

30. NOIMPLIEDWAIVER.

The failure of either party at any time torequire performance by the other party of anyprovisionof theContractwillnotaffect theright torequiresuchperformanceatanylatertime,norwillthe waiver by either party of a breach of anyprovisionof theContractconstituteawaiverofanysucceeding breach of the same or any otherprovision.

Nofailureordelayinexercisinganyrightorremedywilloperateasawaiverthereofnorwillanysingle or partial exercise thereof preclude other orfurther exercise thereof. No course of dealing orcourse of performancemay be used to evidence awaiverorlimitationofSeller’sobligationsundertheContract.

31. NO ASSIGNMENT WITHOUT BUYERCONSENT.

The Contract is made with the Seller inreliance upon Seller’s personal performance of theduties imposed. Buyer may assign its rights andobligationsundertheContractwithoutSeller’spriorwrittenconsent.Sellermaynotassignordelegateitsrights or obligations under the Contract withoutpriorwrittenconsent fromanauthorizedemployeeofBuyer.AnysuchassignmentordelegationwithoutBuyer’s prior written consent shall, at Buyer’soption,effectacancellationoftheContract.

32. RELATIONSHIPOFPARTIES.

Seller and Buyer are independentcontracting parties. Nothing in the Contract makeseitherpartytheagentor legalrepresentativeoftheotherforanypurposewhatsoever,norgrantseitherparty any authority to assume or create anyobligationonbehalfofor in thenameof theotherparty.

33. GOVERNINGLAWANDJURISDICTION.

33.1. U.S.Contracts.

If (i)theContract is issuedbyBuyerfromalocation within the United States of America or itsterritories (as shown by the issuing address ofBuyer), (ii) the Contract is issued, inwhole or part,for goods to be shipped to a Buyer locationwithinthe United States of America or its territories (asshownbytheshiptoorreceivingaddressofBuyer)or (iii) Seller’s applicable shipping location iswithinthe United States of America or its territories (asshown by the shipping address of Seller), then: (a)theContractistobeconstruedaccordingtothelawsof the United States of America and the State ofMichigan, excluding the provisions of the UnitedNations Convention on Contracts for theInternational Sale of Goods and any choice of lawprovisionsthatrequireapplicationofanyotherlaw,and(b)eachpartyherebyagreesthattheforumandvenueforanylegalorequitableactionorproceedingarising out of, or in connection with, the Contract

{00626845,} 1December2017(21)

will lie in the appropriate federal or state courts inthe State of Michigan and specifically waives allobjectionstosuchjurisdictionandvenue.

33.2. Non-U.S.Contracts.

In all cases not covered by the Articleabove,(a)theContractistobeconstruedaccordingtothe lawsof thecountry (andstateorprovince, ifapplicable) where Buyer’s receiving location islocated(asshownbytheshiptoorreceivingaddressof Buyer), excluding the provisions of the UnitedNations Convention on Contracts for theInternational Sale of Goods and any choice of lawprovisionsthatrequireapplicationofanyotherlaw;(b) any legal or equitable action or proceedings byBuyer against Seller arisingoutof, or in connectionwith, theContractmaybebroughtbyBuyer in anycourt(s)having jurisdictionoverSelleror,atBuyer’soption, in any court(s) having jurisdiction overBuyer’s receiving location, in which event Sellerconsents to such jurisdiction and venue, includingservice of process in accordance with applicableprocedures;and(c)anylegalorequitableactionsorproceedingsbySelleragainstBuyerarisingoutof,orinconnectionwith,theContractmaybebroughtbySelleronlyinthecourt(s)havingjurisdictionovertheBuyer’sreceivinglocation.

34. SELLERCLAIMS.

AnyactionbySellerunderanyOrdermustbecommencedwithinoneyearafter thebreachorother event giving rise to Seller’s claim occurs,regardlessofSeller’slackofknowledgeofthebreachorothereventgivingrisetosuchclaim.Noactionforanysuchclaimmaybebroughtthereafter.

35. SEVERABILITY.

IfanyprovisionoftheContractisinvalidorunenforceable under any statute, regulation,ordinance,executiveorderorotherruleoflaw,suchprovision will be deemed reformed or deleted, asthecasemaybe,butonlytotheextentnecessarytocomply with such statute, regulation, ordinance,order or rule, and the remaining provisions of theContractwillremaininfullforceandeffect.

36. RIGHTTOAUDITANDINSPECT.

Buyer,atitsexpense,hastherighttoauditand review all relevant books, records, incomestatements, balance sheets, cash flow statements,payroll data, receipts and other related supporting

data, including Seller’s administrative andaccounting policies, guidelines, practices andprocedures, as well as all materials, equipment,toolingandSupplies in thepossessionorunder thecontrolofSellerrelatingtoanyofSeller’sobligationsunder the Contract, in order to (i) substantiate anycharges and othermatters under the Contract and(ii) assess Seller’s ongoing ability to perform itsobligationsundertheproductionContract.

Seller will maintain and preserve all suchdocuments for a period of four (4) years followingfinalpaymentundertheContract.SellerwillprovideBuyer with reasonable access to its facilities andotherwise cooperate and facilitate any such auditsbyBuyer.

37. ENTIREAGREEMENT.

The Contract, together with theattachments, exhibits, supplements or other termsof Buyer specifically referenced in the Contract,constitutestheentireagreementbetweenSellerandBuyerwith respect to thematters contained in theContract and supersedes all prior oral or writtenrepresentationsandagreements.BuyermaymodifytheseStandardTerms fromtimeto timebypostingnotice of such modified Standard Terms throughlinksprovidedonBuyer’swebsiteat least tendaysprior to the modified Standard Terms becomingeffective.Sellerwillperiodically reviewBuyer’swebsite and the Standard Terms. Seller’s continuedperformance under the Contract without providingwrittennoticetoBuyerdetailingSeller’sobjectiontoanymodified Standard Terms prior to the effectivedateofsuchmodifiedStandardTermswillbesubjectto and will constitute Seller’s acceptance of suchmodifiedStandardTerms.

Except as provided in the precedingsentences or as otherwise provided in theseStandardTerms,theContractmayonlybemodifiedby a written contract amendment duly issued byBuyer.

38. TRANSLATIONS.

Buyer may provide various translatedversions of these Standard Terms for informationalpurposes only. However, the original EnglishlanguageversionoftheseStandardTermswillapplyin theeventofanydisagreementover themeaningor constructionof anyprovisionsof these StandardTerms.