Warranty Policy & Procedures

Warranty Policy & Procedures For DXAir-AC or LC Series EC/ES/EV/MC/MB The following lays out factory policy on DXAir-LC Series with nomenclatures beginning with: GF-EC-EV-EM-MB-MC equipment and parts returns for all DXAir or DXAir or Dry-Air units. All systems must be installed within 60-75 days of delivery. After 60 days and up to 90 days a Certificate of Occupancy and documented proof of installation will be required. After 90 days; warranty starts from the 60 th day from delivery date and will not be extended. 1. EQUIPMENT - NEW AND UNUSED PARTS 1.1. All new and unused parts returned require pre-approval and a Return Goods Authorization (RGA) number. Prior to returning the parts, the Customer must contact VERI-DRY, LLC to obtain an RGA number and submit proper forms. 2.2. All new and unused parts returned for credit will have a restocking fee of twenty five dollars ($25.00) applied regardless of the cost of the part. 2.3. Parts must be returned within sixty (60) days from the original invoice date in order to receive credit. If parts are returned past sixty (60) days from the original invoice date, no credit will be issued and the Customer will be notified to that effect. Upon notification, the Customer will have ten (10) business days to decide what should be done with the part. If the Customer does not respond within ten (10) business days the part will either be returned freight collect or scrapped at factory discretion. 2.4. The following items cannot be returned under any circumstances: Damaged parts of any kind. Special Order parts. (Special Order is determined by factory.) Stainless Steel Hoses or Hose Kits. Thermostats not in the original unopened box. Electric heater inserts. 3. WARRANTY PARTS 3.1. Most parts, with the exception of compressors, (see #4 below) are covered under warranty up to (12) months from the installation date or up to a maximum of eighteen (18) months from the date of manufacture. The installation of DXAIR must be completed within 60 days of delivery. 3.2. All warranty parts with the exception of those listed below must be returned directly to factory freight collect using a factory designated carrier, within sixty (60) days from the replacement invoice date to receive credit. Warranty parts must have the factory Return Material Tag attached and be completely filled out to assure proper and timely issue of credit. Upon receipt of warranty parts, a credit memo for the defective part only will be issued, provided a replacement part was ordered. The Customer will pay all shipping

costs to and from factory. All warranty and non-warranty parts must be paid for prior to shipping new parts and Credit Memo/Reimbursement for returned parts. Customer will be reimbursed or credited upon return of defective part to factory. 3.2.1. All electrical components contained in the electrical control box, along with reversing valves, hot gas bypass valves, hot gas reheat valves and refrigerant metering devices, such as cap tubes and expansion valves, may be field scrapped. No processing fee applies. 3.3. When ordering any warranty replacement part, Unit Model and Serial Number are required. The Customer will be invoiced for the part and freight charges. For those components that may be field scraped a credit memo will automatically be passed for the cost of the part. Should the Unit Serial number not be provided at the time of order, the part will be invoiced and the defective part must be returned with a completed Factory Return Material Tag to receive credit. 3.4. Only factory designated carriers/shippers should be used for returns. Contact VERI-DRY, LLC for verification of best shipping/return. UPS can be used in most cases. 3.4.1. Designated Carriers for ES/EC/EM/MB/MC Series ONLY : Small packages UPS for all Trucking Roadway Express; Saia; Seko. 3.4.2. The Bill of Lading (ES/EC/EM/MB/MC Series) must be noted as follows: For compressors: "Item Number 123275 SUB 2-Class 60" All other parts: "Item Number 123275 SUB 2-Class 70" 3.4.3. For DXAIR-AC Series, contact Veri-Dry directly for shipping information. 4. WARRANTY COMPRESSORS 4.1. All compressors are covered under warranty for a minimum of five (5) years from the date of manufacture, proof of certificate of occupancy date, or proof of certified start up date to a maximum of five (5) years. Equipment must be installed within 60 days of delivery. 4.2. All warranty compressors that fail within factory s current specified period, and are less than twenty (20) months from the manufacture date of the compressor, must be returned within thirty (30) days from the replacement invoice date to receive credit. See below for compressor date codes. Failure to return compressor in 30 days, customer will be billed for compressor. All freight costs are at the client s expense and not covered by any warranty. 4.3. All warranty compressors that fail within factory s current specified period, and are more than twenty (20) Months past the manufacture date of the compressor may be field scrapped upon approval. A completed Return Material Tag must accompany the compressor tag to receive credit. A processing fee of fifteen dollars ($15.00) will be applied. It is recommended to send compressor tags via certified mail or any system that can be tracked. 4.4. All warranty compressors must be returned to factory within 30 days from the replacement invoice date for credit. Warranty compressors must have the factory Return Material Tag attached and be completely filled out to assure proper and timely issue of credit. Upon receipt of the warranty compressor and/or tag, a credit memo for the defective compressor only will be issued, provided a replacement compressor was ordered 4.5. When ordering any warranty replacement compressor, proper form must be completed with Unit Model and Serial Number, Job Name and Location required. The Customer will be invoiced for the part and freight charges. Credit will be passed on for the cost of the replacement compressor upon return of the compressor and/or tag.

4.6. Only factory designated carriers or as allowed by Veri-Dry, should be used for returns. 4.6.1. The Bill of Lading must be noted as follows for ES/EC/MB/MC Series: For compressors: "Item Number 123275 SUB 2-Class 60" All other parts: Item Number 123275 SUB 2-Class 70" For DX Air AC Series, contact Veri-Dry LLC. 5. FREIGHT: All shipments are F.O.B. shipping point. Any freight charges will be prepaid and added to your invoice. We ship via designated carriers/ltl carriers with whom we have negotiated reduced rates. We can also ship via our air carrier at an additional cost. You may use any other carrier of your choosing on a freight collect basis only. 6. DAMAGES: All shipments must be inspected for damage upon receipt. Check panels, remove access panels and inspect interior. If there is damage, it must be noted at the time of delivery on carrier Bill of Lading. Do NOT refuse delivery for damaged panels as they can be replaced. Refusing delivery may result in delays of your project. If damage is not detected until after the carrier has left, immediately call the carrier, report the damage and arrange for an inspection. If damage is not noticed until after the carrier has left it becomes as issue referred to as concealed damage. Concealed damage often results in reduced liability on the part of the carrier. Do not dispose of any packaging until after the inspection is made by the carrier. Take photographs if feasible. You may contact VERI-DRY, LLC for assistance and guidance in resolving damage issues. NOTE: IN ALL CASES VERI-DRY, LLC REQUIRES THE MODEL # AND SERIAL NUMBERS OFF THE UNIT AND THE PARTS/# s THAT REQUIRE REPLACEMENT UNDER WARRANTY. WITH THE ABOVE MODEL NUMBERS, A WARRANTY RMA TAG MAY BE ISSUED AND INCLUDED WITH THE PART BEING SHIPPED FOR RETURNING DEFECTIVE PARTS. THE FACTORY WILL INDICATE WHAT RETURNS ARE REQUIRED DIRECTLY TO THE FACTORY (NOT VERI-DRY, LLC) OR WHAT CAN BE FIELD SCRAPPED. DO NOT DISCARD ANY PARTS UNTIL YOU ARE NOTIFIED. KEEP RECORDS OF SHIPMENTS BACK TO FACTORY AT ALL TIMES FOR CREDIT OF WARRANTY.

Do not use these warranty forms for any Stainless Steel units not applicable, separate forms required. WARRANTY LABOR REQUEST FORM (DXAir AC- LC Series EC, EV, EM, MB & MC units) DATE: CUSTOMER INFORMATION: VERI-DRY, LLC PO # Factory Order # CONTACT NAME: Job Name: EQUIPMENT INFORMATION: MODEL NUMBER: SERIAL NUMBER: REASON FOR REQUEST: (PLACE AN "X" ON THE LINE(S) THAT APPLIES) [ ] COMPRESSOR [ ] BLOWER MOTOR [ ] AIR COIL [ ] ELECTRICAL COMPONENT [ ] WATER COIL UNIT REPLACEMENT [ ] TXV/CAP TUBE REFRIGERANT LEAK [ ] REVERSING VALVE WATER CIRCUIT LEAK [ ] TRIP CHARGE ONE PER CLAIM NAME OF THE CONTRACTOR: Phone # Email: ATTACH A COPY OF CONTRACTOR'S INVOICE WARRANTY LABOR ALLOWANCE SCHEDULE Manufacturing Warranty Labor Allowance Policy: It is normal industry practice that the installing contractor guarantees all first year service expense to the owner. Therefore factory has designed this service policy to help partially offset the contractor s replacement or repair costs. This policy is in no way intended to eliminate the Contractors responsibility in providing any service/repair, maintenance/service agreements for/or the equipment or proper installation and/or start-up, which includes complete system check out and adjustments that may be required due to shipping or normal start-up of the equipment. Rather, the policy is intended to provide some labor cost assistance where a component part has failed during the first 30 days of initial startup and within 12 months from date of manufacture. Proof of startup required. No labor allowance will be given for thermostats or other accessories. Freight charges for replacement parts are not covered under this program. 1. Allowance(s) must be submitted directly to VERI-DRY, LLC within 30 days from the date of the repair work. 2. These allowances are maximum amounts. Labor charges of greater value will not be considered for allowance beyond the stated dollar amounts below. Note: Failure to follow proper filing procedures does not extend the allowance grace period beyond 30 days from the date of the repair. If the allowance is not filed directly with VERI-DRY, LLC strictly in accordance to the following procedure and within 30 days from the date of the repair, all charges will be denied with no further consideration. NO EXCEPTIONS! Replacement / Repair Required Allowance [ ] Compressor 1/2-5 tons $220.00 [ ] Compressor 6 tons and above $220.00

[ ] Air Coil / Water Coil $220.00 [ ] Expansion Valve / Cap Tube $110.00 [ ] Reversing Valve $165.00 [ ] Blower Motor $55.00 [ ] All other electrical components $30.00 [ ] Unit Replacement * $250.00 [ ] Refrigerant circuit leak $110.00 [ ] Water circuit leak $55.00 Refrigerant reclaim is Included in the above Trip Charge One per Claim $30.00 * Unit replacement must have written authorization from the factory/manufacturer prior to replacement; factory reserves the right to accept or deny any claim. Filing for Warranty Labor Allowance: 1. Complete the request form 2. Attach contractor's invoice for repairs. 3. Return to VERI-DRY, LLC via mail or fax. This policy is not given in lieu of any other express warranties or policies, whether oral or written. We are the manufacturer/supplier; we are not the installation contractor. There are no warranties expressed or implied, which extend beyond the warranty duration set forth in the 'Limited Product Warranty'. VERI-DRY, LLC expressly disclaims any liability for and excludes any liability for special, consequential or incidental damage arising from any defective product, breach of any express or implied warranty, breach of contract, negligence or any other legal theory. Such disclaimed damages include, but are not limited to: loss of use of the equipment or any associated equipment, loss of capital, loss of facility use time; travel time and or expenses, cost of any substitute equipment, facilities or services and downtime costs or claims of customers of the purchaser for such damages caused by any defect in the product, any condition within the building, including mold and/or mildew and/or any chemical or toxin secreted there from or damage resulting from mold, fungus or bacteria The agents, dealers and employees of factory and/or are not authorized to make any modifications to this policy or any additional warrantees or policies, and any additions or statements, whether oral or written, do not constitute warranties or policies and should not be relied upon. This document is subject to limitations set forth in the factory Limited Product Warranty. Warranty and Warranty Labor is subject to change without notice, upgraded, or discontinued at any time by manufacturer. LIMITED PRODUCT WARRANTY WARRANTY TERMS Subject to the limitations set forth below, factory warrants product against defects in material or workmanship under normal use and with proper maintenance for the time periods specified below ("Duration of Warranty/Statute of Limitations"). Under this Warranty we will replace or repair any defective part, or portion thereof, within a reasonable time after receipt of the defective part. An exchanged (replacement) part will be warranted for only the unexpired portion of the original Warranty. This Warranty does not cover the cost of diagnosis, transportation, shipping, labor or any other incidental costs involved in the removal of the defective parts or the installation of the replacement part. Any part damaged in shipping by carriers is not considered under warranty and the appropriate claims must be filed by client for these costs. DURATION OF WARRANTY: STATUTE OF LIMITATIONS The Warranty shall only cover defects occurring during the following time periods: in the case of compressors, for a minimum of five (5) years from the date of manufacture, proof of certificate of occupancy date within 60 days of required installation date, or proof of certified start up date to a maximum of five (5) years; in the case of all other parts, the shorter of: (i) one year following installation of the product; or (ii) eighteen (18) months following date of manufacture of the product. HOW TO OBTAIN WARRANTY SERVICE You must timely notify VERI-DRY, LLC/installer of any problems with the system. In the event that the problem is determined to be the result of a factory product, your installer must notify VERI-DRY, LLC directly within thirty (30) days of discovery of the problem. At factory's option, any defective parts shall be returned to factory in Ft. Lauderdale, Florida at your expense. All notices of Warranty claims and /or questions about the Warranty are to be directed to: VERI-DRY, LLC Inc. via phone call or email sales@dxair.com. VERI-DRY, LLC & factory will make every effort to correct any problem covered by this Warranty as quickly as possible; however, VERI-DRY, LLC is not responsible for any default or delay in its performance that is caused by war, governmental restrictions or restraints, strikes, material shortages, or any other occurrences that are beyond the control of VERI-DRY, LLC or factory. EXCEPTIONS TO WARRANTY THIS WARRANTY DOES NOT APPLY TO: (1) Air filters, fuses, refrigerant, glycol and oil; (2) Products that have been relocated after original installation; (3) Any portion of the system not supplied by VERI-DRY, LLC; (4) Products or component parts on which the tags or nameplates have been removed, altered or defaced.; (5) Scratches in or discoloration of finishes; (6) Products damaged during shipment or by improper service, products which have defects or damage which results from improper installation, wiring, electrical imbalance characteristics or maintenance or caused by accident, misuse or abuse, fire, flood, alteration, misapplication or modification of the product, breakage or

rupture of water tubing and/or water condenser coil when subjected to freezing conditions, use during construction, or acts of God.; (7) Products which have defects or damage which result from a contaminated or corrosive air or liquid supply, the addition of unapproved chemicals, corrosion due to improper chemistry and pool balance, operation at abnormal temperatures, pressures or flow rates, unauthorized opening of the refrigerant circuit or any attachment, accessory or component not authorized and approved by VERI-DRY, LLC; (8) Any condition within the building, including mold and/or mildew and/or any chemical or toxin secreted there from or damage resulting from mold, moisture, fungus or bacteria; (9) Electricity or fuel costs, or any increases or unrealized savings in same, for any reason whatsoever; downtime or non-usable facility during repair/replacement time; building materials; (10) Products on which payment to VERI-DRY, LLC is or has been in default. (2) Factory determines whether product is defective or has failed due to improper installation, wiring, usage, lack of preventive maintenance or pool chemistry/corrosion issues. Final approval comes from factory, not Veri-Dry, LLC.As these are pass-through warranties on all equipment and parts, If factory does not approve the warranty claim, Veri-Dry, LLC does not remit payment and must charge client for parts. LIMITATIONS OF REMEDIES Notwithstanding the above VERI-DRY, LLC will only be obligated, at VERI-DRY, LLC s option, to furnish a new or rebuilt part or unit in exchange for the part or unit that has failed. If, after written notification to VERI-DRY, LLC and/or factory of each defect and a reasonable attempt by factory to correct the defect, malfunction or other failure and the remedy fails to resolve the problem the factory shall refund the purchase price paid to factory in exchange for the return of the said good(s). Said refund shall be the maximum liability of VERI-DRY, LLC. LIMITATIONS ON WARRANTY THIS WARRANTY IS GIVEN IN LIEU OF ALL OTHER EXPRESS WARRANTIES, WHETHER ORAL OR WRITTEN. THERE ARE NO WARRANTIES EXPRESS OR IMPLIED, WHICH EXTEND BEYOND THE WARRANTY DURATION SET FORTH ABOVE. FHP EXPRESSLY DISCLAIMS AND EXCLUDES ANY LIABILITY FOR SPECIAL, CONSEQUENTIAL OR INCIDENTAL DAMAGE ARISING FROM ANY DEFECT IN THE PRODUCT, BREACH OF ANY EXPRESS OR IMPLIED WARRANTY, BREACH OF CONTRACT, NEGLIGENCE, IMPROPER INSTALLATION OF ANY PORTION OF SYSTEM, IMPROPER OPERATION OF SYSTEM; OR ANY OTHER LEGAL THEORY. Such disclaimed damages include, but are not limited to, loss of profit or revenue, loss of use of the equipment or any associated equipment, loss of capital, cost of any substitute equipment, facilities or services and downtime costs or Claims of customers of the purchaser for such damages caused by any defect in the product. The agents, dealers and employees of VERI-DRY, LLC are not authorized to make any modifications to this Warranty or any additional warranties, and any additions or statements, whether oral or written, do not constitute warranties and should not be relied upon. OTHER NOTE: This Warranty gives you specific legal rights, and you may also have other rights, which vary from state to state. Some states do not allow exclusion of consequential or incidental damages, so the foregoing exclusions and limitations may not apply to you. In addition, some states do not allow limitations on how long an implied warranty lasts, so the above limitation may not apply to you. This Warranty applies to all DXAIR products installed in the Continental United States and Canada only. This warranty is currently under review and VERI-DRY, LLC acknowledges that there are changes to the warranty policies forthcoming. All warranty and warranty labor policies, costs, parts pricing etc. is subject to change without notice. Contact Veri-Dry, LLC for additional information or assistance with warranty and nonwarranty claims. 800-514-7051 Fax: 239-790-5190 Email: sales@dxair.com