Limitation of Liability
Circumstances may arise where, because of a default on IBM's part or other liability you are entitled to
recover damages from IBM. In each such instance, regardless of the basis on which you are entitled to
claim damages from IBM (including fundamental breach, negligence, misrepresentation, or other contract
or tort claim), IBM is liable only for:
1. damages for bodily injury (including death) and damage to real property and tangible personal
property; and
2. the amount of any other actual direct damages or loss, up to the greater of U.S. $100,000 or the
charges (if recurring, 12 months' charges apply) for the Machine that is the subject of the claim.
UNDER NO CIRCUMSTANCES IS IBM LIABLE FOR ANY OF THE FOLLOWING: 1)
THIRD-PARTY CLAIMS AGAINST YOU FOR LOSSES OR DAMAGES (OTHER THAN
THOSE UNDER THE FIRST ITEM LISTED ABOVE); 2) LOSS OF, OR DAMAGE TO, YOUR
RECORDS OR DATA; OR 3) SPECIAL, INCIDENTAL, OR INDIRECT DAMAGES OR FOR
ANY ECONOMIC CONSEQUENTIAL DAMAGES (INCLUDING LOST PROFITS OR
SAVINGS), EVEN IF IBM OR YOUR RESELLER IS INFORMED OF THEIR POSSIBILITY.
SOME JURISDICTIONS DO NOT ALLOW THE EXCLUSION OR LIMITATION OF
INCIDENTAL OR CONSEQUENTIAL DAMAGES, SO THE ABOVE EXCLUSION OR
LIMITATION MAY NOT APPLY TO YOU.
Appendix B. Notices and Product Warranty
B-7
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