Common use of Disposition of Inventory Clause in Contracts

Disposition of Inventory. Strakan shall have the option, exercisable within thirty (30) days following the effective date of such termination, to purchase any inventory of Products affected by such termination at the price for which the Product was sold to Aptalis by Strakan hereunder. Strakan may exercise such option by written notice to Aptalis during such thirty (30)-day period. Upon such exercise, the Parties will establish mutually agreeable payment and delivery terms for the sale of such inventory. If Strakan does not exercise such option during such thirty (30)-day period, or if Strakan provides Aptalis with written notice of its intention not to exercise such option, then Aptalis and its Affiliates will be entitled, during the period ending on the last day of the sixth (6th) full month following the effective date of such termination, to sell any inventory of Products affected by such termination that remain on hand as of the effective date of the termination, so long as Aptalis pays to Strakan the royalties applicable to said subsequent sales, with respect to sales in the Territory, as applicable, in accordance with the terms and conditions set forth in this Agreement.