It is understood that the breakthrough was achieved over one-on-one talks between the two leaders over tea.
Both leaders also held extensive discussions on enhancing cooperation in crucial areas of defence, trade and commerce and climate change.
The ticklish liability issue had stalled the implementation of the nuclear agreement inked in 2005 between then US President George Bush and former Prime Minister Manmohan Singh.
The Indian liability law holds the suppliers directly liable in case of a nuclear accident while countries like France and the US have asked India to follow global norms under which the primary liability lies with the operator.
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