DISCO's Compensation Policy for Customers Using DISCO Products

DISCO CORPORATION (including its subsidiaries and affiliates, hereinafter collectively "DISCO") will, in the event that a product sold or leased by DISCO (hereinafter "DISCO Product") or a service provided by DISCO (including but not limited to installation and maintenance of DISCO Products, hereinafter “Service”) to the customer causes the damage, loss, or defectiveness (hereinafter collectively "Defects") of the customer's products, products in progress, etc. and results in the customer incurring damages or losses (hereinafter collectively “Damages”), provide compensation for Damages in accordance with the “Terms of Liability” below, regardless of whether or not said DISCO Products are within the applicable warranty period.

However, Damages will not include loss of opportunity, loss of profit, damages caused by exceptional circumstances, incidental damages, consequential damages, etc., and DISCO will not be liable for the compensation of such losses or damages under any circumstances. In any case, DISCO’s liabilities shall be limited up to the total amount paid by the customer to DISCO for the individual transaction specific to the DISCO Product or Service which caused the Damages. Even if there are multiple claims made or multiple causes of damage found with regards to a specific DISCO Product or Service, the aforementioned liability limit shall not be increased.

In addition, DISCO will only be liable for compensation under and subject to the Defects objectively being proved that they were due to reasons attributable to DISCO (initial failure, improper design, unachieved specification, obvious deficiencies in Service, evident violation of customer’s instructions, etc.).

Notwithstanding the foregoing, in the case that customer and DISCO agree in writing to different terms and conditions relating to the Damages on or after August 14, 2015 (the publication date of this policy on this website), said terms and conditions will be applied.

Terms of Liability

DISCO will compensate the amount which DISCO’s liability ratio for Defects is multiplied to actual Damages of the devices in the defective wafers up to, whichever lower, the total amount of the price of the first twenty five (25) pieces of wafers or the total amount of the price of the wafers in the first cassette processed on or after the occurrence of the Defects in the customer’s products, products in progress, etc.

However, under no circumstances, shall the amount of compensation for Damages exceed ten (10) percent of the purchase price of the DISCO Product which caused the Defects (excluding precision processing tools), or the purchase price of the Service which caused the Defects, or if the precision processing tools which caused the Defects were blades, the purchase price of two hundred (200) blades, or if the precision processing tools which caused the defects were wheels, the purchase price of ten (10) wheels.

In addition, DISCO will only be liable for the compensation under and subject to the following terms:

  1. Not using DISCO Products in erroneous environment, condition, or methods;
  2. DISCO Products were not transported or moved by customer itself after those installation or start-up by DISCO;
  3. Customer using the precision diamond tools (eg; blades, wheels) manufactured and sold by DISCO;
  4. Customer not using the parts other than genuine DISCO brand, which were manufactured by or purchased from any other parties than DISCO;
  5. Seven (7) years have not passed from the shipment or thirty (30) days have not passed from the provision of Service of the defective DISCO Products;
  6. Defective DISCO Products have not been repaired or modified (excluding the repair or modification by DISCO or that with written consent of DISCO);
  7. DISCO Products have never been maintained by any other parties than DISCO, and the Defects are arisen despite of customer making the proper maintenance for the DISCO Products according to the manuals provided by DISCO and such fact is proved by objectively recorded evidence;
  8. Defects are not caused by customer's failure in replacement of lifetime parts and consumables due to exhaustion, abrasion, deterioration etc;
  9. Defects are caused even though customer checked condition of the DISCO Products properly (including but not limited to checking DISCO Products run or operate normally or DISCO Products run or operate as customer expected) after the Service, and customer promptly notified DISCO of such Defects;
  10. Defects are not caused by customer's own processing methods/conditions and usage of DISCO Products without written consent of DISCO;
  11. Customer not continuing the use of the defective DISCO Products despite realizing the Defects;
  12. Customer's process is objectively confirmed as appropriate from the point of prevention or discovery of the Defects and avoidance of increase in the damages; and
  13. Defects are not unforeseeable from perspective of science and technology standards at the time of shipment from DISCO side and/or provision of the Service.

Revision date: June 19, 2026

In case DISCO Products are not covered by ISO9001, please refer to the following link: About Products Not Covered by ISO9001