Cost of Manufacture Clause Samples
The 'Cost of Manufacture' clause defines how the expenses associated with producing goods or materials are calculated and allocated between parties in a contract. Typically, this clause outlines which specific costs—such as raw materials, labor, overhead, and sometimes administrative expenses—are included in the calculation, and may set standards or formulas for determining the total manufacturing cost. Its core practical function is to ensure transparency and agreement on what constitutes the cost basis for pricing, reimbursement, or profit-sharing, thereby preventing disputes over financial responsibilities related to production.
Cost of Manufacture. Cost of Manufacture shall be Kos' actual fully allocated manufacturing cost directly related to the Product calculated in accordance with GAAP, and determined consistent with Kos' cost accounting method as set forth by example in Appendix C, and consistent with "cost of sales" as disclosed in Kos' public financial statements for the respective period, plus a ▇▇▇▇-up of ***************** on such costs; provided that such ▇▇▇▇-up shall not be charged on the cost of lovastatin in excess of $***** per kilogram. DuPont reserves the right to audit Kos' Cost of Manufacture twice per Year. In the event Kos requires services from Third Party providers for manufacture or distribution of the Product, Kos shall first offer DuPont the option to provide such services.
Cost of Manufacture. 17 8. Regulatory, Safety and Surveillance.....................................17 8.1
Cost of Manufacture. With respect to each calendar year subsequent to ------------------- 1997, GW shall pay such prices as are mutually agreed to by the parties prior to November 30 of the year which immediately precedes the calendar year for which a determination is being made. It is understood and agreed that prices for any year subsequent to 1997 are to be determined based on IGI's Cost of Manufacture of the Products. For purposes of this Agreement, the term "Cost of Manufacture" ------------------- shall mean all of IGI's costs and expenses for (i) materials used in connection with the manufacture of the Products, (ii) direct and indirect labor used in connection with the manufacture of the Products, and (iii) overhead incurred in the manufacture of the Products, all as included by IGI in a manner consistent with its historical cost allocation methods in deterring its cost of goods sold and as determined in accordance with generally accepted accounting principles consistently applied as between the periods ending prior to the Effective Date and the periods ending subsequent to the Effective Date. It is understood and agreed, however, that with respect to the determination of Cost of Manufacture by the parties for any year subsequent to 1997, (i) any proposed increases in the costs of materials or direct labor components which are greater than ***************** higher than Confidential materials omitted and filed separately with the Securities and Exchange Commission. Asterisks denote such omissions. such components in the prior year, shall be documented and presented by IGI to GW prior to the determination of the Cost of Manufacture for such year, and (ii) any proposed increases in the costs of indirect labor or overhead components shall be documented and presented by IGI for GW's approval, (which GW agrees will not be unreasonably withheld) prior to the determination of the Costs of Manufacture for such year.
Cost of Manufacture. The term "Cost of Manufacture" shall mean the fully allocated cost of manufacturing the Licensed Product, including the direct and indirect cost of any raw materials, packaging materials and labor utilized in such manufacturing (including formulation, filling, finishing, labeling and packaging, as applicable) plus an appropriate share of all factory overhead, both fixed and variable, allocated to the Licensed Product being
Cost of Manufacture. With respect to each calendar year subsequent to 1998, IMX shall pay such prices as are mutually agreed to by the parties prior to November 30 of the year which immediately precedes the calendar year for which a determination is being made. It is understood and agreed that prices for any year subsequent to 1998 are to be determined based on IGI's Cost of Manufacture of the Products. For purposes of this Agreement, the term "Cost of Manufacture" shall mean all of IGI's costs and expenses for (i) materials used in connection with the manufacture of the Products, (ii) direct and indirect labor used in connection with the manufacture of the Products, and (iii) overhead incurred in the manufacture of the Products, all as included by IGI in a manner consistent with its historical cost allocation methods in determining its costs of goods sold and as determined in accordance with generally accepted accounting principles consistently applied as between the periods ending prior to the Effective Date and the periods ending subsequent to the Effective Date. All Products are manufactured FOB Buena, New Jersey. IMX is solely responsible for all transportation costs.
Cost of Manufacture. The design and construction methods of the Program Elements should not significantly raise their cost. ● Maintenance Cost and Practices: The design of new Program Elements shall aim to reduce the level of maintenance effort and costs from current practices. ● SMART Technologies: All STAP designs shall accommodate universal SMART technologies.
Cost of Manufacture. The term “