Common use of BULK PURCHASES Clause in Contracts

BULK PURCHASES. Each party may assist the other in obtaining goods and services useful to the other party, including, without limitation, fuel, uniforms, supplies and ground equipment, in a more economical manner. If United identifies opportunities for cost savings as a result of bulk purchasing on behalf of Contractor, unless it provides a reasonable reason for not participating Contractor is obligated to participate in the new cost saving initiative. Prior to implementing such initiative, Contractor and United shall agree on a case-by-case basis how to share the benefits of any cost savings initiatives; provided, however, that absent such agreement in a timely manner and so as to preclude unnecessary delay in implementation of such initiatives, United and Contractor shall equally share any monetary savings.

Appears in 2 contracts

Sources: United Express Agreement (Mesa Air Group Inc), United Express Agreement (Mesa Air Group Inc)