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Clause · USI_LIB_03

Consequential Damages Exclusion (enforceability flag)

Liability
STANDARD+
medium risk
US-IN

Clause body

Subject to the carve-outs in USI_LIB_01, neither party shall be liable to the other for any indirect, incidental, special, consequential, exemplary, or punitive damages, or for any loss of profits, revenue, anticipated savings, goodwill, or business opportunity, arising out of or in connection with this Agreement, whether in contract, tort, or otherwise, even if advised of the possibility of such damages. The parties acknowledge that the enforceability and characterization of damages exclusions is determined under applicable law, and that under Indian law (Indian Contract Act 1872 s.73) recoverable damages are those arising naturally from the breach or reasonably within the parties' contemplation, so the practical effect of this exclusion may be assessed against that standard rather than applied as an absolute bar.

Sources

U.S.-India Software Services Statement of Work Clause Library (June 2, 2026 draft)

Last verified: Pending review.

Library version: 2026.06.02