Common use of Competitive Pricing Clause in Contracts

Competitive Pricing. 51.1.1 The Service Provider must ensure that the Charges will not, during the Term, be higher than the prices it charges to any other entity or Agency for supplying services substantially similar to the Services and in substantially similar circumstances (Similar Services) for any contracts it enters into after the Commencement Date. 51.1.2 If the Service Provider does charge lower prices to any entity for any Similar Services: (a) the Service Provider must assist Health for a 3 Month period to determine the causes of uncompetitive pricing; and (b) on and from the conclusion of the 3 Month period, the Service Provider must lower the Charges to match the prices of the Similar Services. 51.1.3 The Service Provider must charge the lower Charges referred to in clause 51.1.2 even if a dispute has arisen between the Parties about the reduced Charges until (at least) the dispute is resolved in accordance with this Services Agreement. 51.1.4 Within 30 days after each anniversary of the Commencement Date, the Service Provider must certify in writing to Health that the Service Provider has complied with this clause 51 during that previous year, and must provide the information reasonably requested by Health to verify that compliance. Health acknowledges that confidentiality obligations may apply to the information referred to in this clause 51.1.4. The Service Provider acknowledges and agrees that it will not withhold or otherwise prevent the release of any third party information if the third party consents to the release to Health of that information. 51.1.5 The Parties acknowledge and agree that the provision of the Services allows the Service Provider to meet the Outcomes and consequently, the requirement for the Service Provider to meet the Outcomes does not: (a) deprive a service from being a Similar Service; or (b) constitute a unique requirement of Health. 51.1.6 This clause 51 is not intended to require the Service Provider to adopt unbundled pricing comparisons where contracts for Similar Services have been formulated and priced on a bundled basis.