It's in the next paragraph: --- Limited Remedy. If Microsoft, or the device manufacturer or installer, breaches its limited warranty, it will, at its election

It's in the next paragraph: --- Limited Remedy. If Microsoft, or the device manufacturer or installer, breaches its limited warranty, it will, at its election, either: (i) repair or replace the software at no charge, or (ii) accept return of the software (or at its election the device on which the software was preinstalled) for a refund of the amount paid, if any. ---