Common use of Cost Allocations Clause in Contracts

Cost Allocations. To the maximum extent practicable, Manager and its Affiliates will specifically identify costs associated directly or solely with the Business, which shall be reimbursed by the Company as Out-of-Pocket Expenses in accordance with Section 4(a). To the extent that such specific identification is impracticable, Manager shall charge the Company "Cost Allocations" for those common costs, which benefit the Company (including an appropriate portion of Manager's general overhead costs). Cost Allocations (including without limitation the cost of services directly allocable to the Company that are performed by employees of Manager or its Affiliates) shall be calculated and charged to the Company, except for common costs associated with call center activities or operation, on the basis of licensed POPs for the market(s) sharing in or benefiting from such common costs (other than those associated with the call centers). For purposes of this Agreement, POPs shall mean the number of residents of a licensed area based upon the most current determination of such by the Company and Manager. Common costs associated with call center activities or operation shall be allocated on the basis of subscribers in the market(s) sharing in or benefiting from such costs. With regard to those common costs, which are subject to any specific lease or shared equipment agreements, the cost allocations therein shall control in the event of a difference between those agreements and this Agreement. Manager shall cause to be furnished to the Company, at Company's expense, an accounting of any such Cost Allocations, and the Company shall pay to Manager such amount within thirty (30) days of receipt of such accounting.

Appears in 2 contracts

Sources: Management Agreement (Dobson Communications Corp), Management Agreement (American Cellular Corp /De/)

Cost Allocations. To the maximum extent practicable, the Manager and its Affiliates will specifically identify costs associated directly or solely with the Business, which shall be reimbursed by the Company as Out-of-Pocket Expenses in accordance with Section 4(a5(a). To the extent that such specific identification is impracticable, the Manager shall charge the Company "Cost Allocations" for those common costs, which costs that benefit the Company (including an appropriate portion of the Manager's ’s general overhead costs) (“Cost Allocations”). Cost Allocations (including including, without limitation limitation, the cost of services directly allocable to the Company that are performed by employees of the Manager or its Affiliates) shall be calculated and charged to the Company, except for common costs associated with call center activities or operation, on the basis of licensed POPs or subscribers for the market(s) sharing in or benefiting from such common costs (other than those associated with the call centers). For purposes of this Agreement, POPs “POPs” shall mean the number of residents of a licensed area based upon the most current determination of such by the Company and the Manager. Common costs associated with call center activities or operation operations shall be allocated on the basis of subscribers in the market(s) sharing in or benefiting from such costs. With regard to those common costs, which are subject to any specific lease or shared equipment agreements, the cost allocations therein shall control in the event of a difference between those agreements and this Agreement. The Manager shall cause to be furnished to the Company, at Company's ’s expense, an accounting of any such Cost Allocations, and the Company shall pay to the Manager such amount within thirty (30) days of receipt of such accounting.

Appears in 1 contract

Sources: Management Agreement (Dobson Communications Corp)