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LIMITED WARRANTY FOR REMANUFACTURED ENGINES

PanStone, Inc. guarantees their remanufactured engines are free from all defects in material and workmanship.  PanStone, Inc., at their sole discretion, will repair or replace any defective engine when properly installed under normal use, and proper maintenance requirements are met as set forth by the manufacturer and subject to the following terms and limitations:

A.      DEFINITIONS:
         
Remanufactured engines are sold as long block (basic block, cylinder 
        head, and internal components) or short block (basic block and internal
        components only).

B.      TERMS:
        1.     Standard Warranty:  12 months.
        2.     Optional Warranty:  Additional 3 month coverage available.

C.      AUTHORIZED REPAIR OR REPLACEMENT:

        1.     In case of mechanical defect, the buyer must notify PanStone,
                Inc. for instructions and authorization prior to making any
                repairs or replacements.  
        2.     Cost of parts will be reimbursed or parts will be supplied at our
                cost.  
        3.     If any repair exceeds fifty percent of the total value of the unit,
                the defective engine must be returned. 
        4.     Any unauthorized repairs and/or replacements will void this
                warranty.

D.      RETURN POLICY
        1.     If it is deemed that the engine is to be returned, the buyer
                must first obtain an Authorized Return Code (ARC) from
                PanStone, Inc.  
        2.     The defective unit must be returned as received, completely 
                assembled.  
        3.     After examination of defective unit, PanStone, Inc. will replace 
                the engine with a good identical unit, providing the terms and
                conditions of this warranty have been met.
        4.     Any engine returned without an ARC will not be accepted.
        5.     Buyer is responsible for all shipping costs.

E.      STANDARD:
        PanStone, Inc., at their sole discretion, will repair or replace the
        defective engine without charge to the buyer, subject to the limitations
        and conditions listed herein.

F.      LIMITATIONS:
        This warranty is voided by:
        1.     Any misuse, negligence, alterations, tampering, vandalism,
                accidents, or fire.
        2.     Improper installation, repair, or adjustments.
        3.     Use of the engine in commercial vehicles, competitive events,
                or any related/equivalent purpose.
        4.     Failure to follow recommended maintenance requirements.
        5.     Failure to perform Owner/User Obligations as outlined below.
        6.     Overheating, lack of oil/lubrication, or incorrect type of
                oil/lubrication used.
        7.     Any repair, replacement, disassembly, and/or modifications not
                authorized by PanStone, Inc.

        This warranty does not cover:
        1.     Damage caused by use of any external accessories or parts, or
                the improper installation of these parts.
        2.     Any damage to or failure of any parts not supplied by
                PanStone, Inc.
        3.     The labor cost of any installation, removal, reinstallation, or
                repair of the engine or external parts.
        4.     Any other expenses relating to turnover, freight, handling,
                downtime, towing, car rental, loss of work, etc.

G.      ADDITIONAL LIMITATIONS AND OWNER/USER OBLIGATIONS:
          IMPORTANT! 
          Failure to perform these operations will void warranty.

        1.     Upon engine start up, engine valves must be readjusted to
                manufacturer’s specifications after engine reaches normal
                operating temperature.
        2.     Abrupt acceleration while engine is cool must be avoided within
                the first 500 miles.
        3.     Oil and oil filter must be changed after the first 500 miles.
        4.     Radiator must be flow and pressure checked.  Repair and
                replace if necessary.
        5.     Check all timing belts.  Replace as necessary.
        6.     Front and rear crank seals must be replaced.
        7.     Transmission cooler lines must be flushed, and transmission oil
                and gear oil must be filled prior to installation.

H.      LIMITED LIABILITY:
        1.     PanStone, Inc.’s liability under this warranty is limited solely to
                the repair or replacement of defective parts.  The labor required
                to repair an engine and/or to remove and/or reinstall the engine,
                and any other expenses or incidental charges are not
                reimbursable.
        2.     PanStone, Inc. is not liable for any consequential, incidental,
                accidental, or any special damages, or for any special services
                relating to or arising from remanufactured engines sold by
                PanStone, Inc.

I.      LIMITED WARRANTY:
        1.     This warranty is in lieu of any and all other expressed or implied
                warranties of PanStone, Inc.  PanStone, Inc. does not assume
                or authorize any distributor, dealer, agent, or employee to
                enlarge, extend, or modify this warranty or to assume any other
                obligations on its behalf.
        2.     The buyer may have other rights that vary from state to state,
                and some of the above limitations may not apply according to
                the buyers state laws.
        3.     This warranty begins from the date of the original invoice and
                may be extended only for a specific period because of warranty
                repairs.  If a defect exists within the warranty period, the
                warranty will not expire until the defect has been fixed.  If the
                defect has not been fixed after a reasonable number of
                attempts, then upon return of the defective unit PanStone, Inc.,
                at its sole discretion, will repair or replace the defective unit.  In
                either case, a reasonable charge for usage will be deducted.

J.      ADDITIONAL CONDITIONS:
        1.     All returns subject to a minimum 15% restocking fee.
        2.     Special orders are non-refundable and special order deposits are
                not returned.
        3.     Buyers are responsible for all shipping fees including cancelled
                and refused orders.

K.      By purchasing an engine from PanStone, Inc., the buyer agrees to all
         terms, conditions, and limitations listed herein.

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