Common use of Alternate Index Clause in Contracts

Alternate Index. If for any reason the CBOT index for Oil should cease to be published, the Parties agree to promptly and in good faith negotiate a mutually acceptable Alternate Index or substitute methodology for calculating the price for Oil (the “Alternate Index.) If, on or before thirty (30) days after the index used to determine the price ceases to be published, the Parties are unable to agree on an Alternate Index upon which to base the calculation of the price, the Parties shall submit such determination to the dispute resolution procedures in accordance with the provisions of Section 13, which dispute resolution procedures will be used in determining the Alternate Index. From the date on which the index price used to determine the price for Oil ceases to be available until the Alternate Index is determined, the price for such Oil shall be the monthly average of the prices in effect (or that would have been in effect) during the twelve (12) months preceding the month in which the index upon which the price was based ceased to be available, which price shall be effective until the effective date of the Alternate Index determined as set forth in this Section 1.5. Upon the determination of an Alternate Index, the applicable prices will be adjusted retroactively to the dates on which the indices upon which the prices previously were based ceased to be available, plus interest thereon at the interest rate described in Section 4.2(b).