Common use of Additional Deductions Clause in Contracts

Additional Deductions. In the event that either Party in good faith incurs a Cost related to the development, manufacture, testing, promotion, marketing, sale, or distribution of MS-325 or any corresponding Licensed Product, other than General and Administrative Expenses, and such Cost is either (i) not subject to the sharing of Development Costs pursuant to Section 7.5.3; or (ii) not deductible under the definitions of either Costs of Goods Sold or Sales and Marketing Costs, then (a) if the Cost relates to development it shall be treated as a Development Cost; (b) if the Cost relates to manufacturing or testing it shall be treated as a Cost of Goods Sold; and (c) if the Cost relates to an activity other than development, manufacturing or testing, it shall be treated as a Sales and Marketing Cost if it relates to the United States. Any disputes between the Parties concerning the deductibility of expenses pursuant to this Section 7.13 shall be resolved by the Joint Steering Committee.