Reaction to discussion below: Melodee Lane Lingerie Co. was a tenant in a building where alarm systems were maintained by the ADT company. When the systems were defective and allowed water into the building, it damaged Melodee’s property; Then Melodee decided to sue ADT and their defense was that the service contract limited the liability to 10% of the annual service charge given to the customers. The limitation can be valid since the ADT company did not provide much liability protection. The ADT company can offer another protection plan to Melodee, which would cover her property but at a higher price rate. This case limitation of liability clauses will be enacted since ADT company was not fully liable for Melodee's property, which only would cover the limited 10%. A limitation of liability clauses contract states that one of the parties is not fully liable for damages in case of a breach. The ADT company is at fault for the malfunctions in their systems they should offer a higher protection liability plan to Melodee to avoid having liability limits in the contract.

Reaction to discussion below: Melodee Lane Lingerie Co. was a tenant in a building where alarm systems were maintained by the ADT company. When the systems were defective and allowed water into the building, it damaged Melodee’s property; Then Melodee decided to sue ADT and their defense was that the service contract limited the liability to 10% of the annual service charge given to the customers. The limitation can be valid since the ADT company did not provide much liability protection. The ADT company can offer another protection plan to Melodee, which would cover her property but at a higher price rate. This case limitation of liability clauses will be enacted since ADT company was not fully liable for Melodee's property, which only would cover the limited 10%. A limitation of liability clauses contract states that one of the parties is not fully liable for damages in case of a breach. The ADT company is at fault for the malfunctions in their systems they should offer a higher protection liability plan to Melodee to avoid having liability limits in the contract.