Expansion of Production Clause Samples

The Expansion of Production clause defines the terms under which a party may increase the scale or capacity of manufacturing or service output under an agreement. Typically, this clause outlines the procedures for notifying the other party, obtaining necessary approvals, and any adjustments to pricing, delivery schedules, or resource allocation that may result from the expansion. Its core function is to provide a clear framework for scaling operations, ensuring both parties understand their rights and obligations if production needs to grow, thereby preventing disputes and facilitating business growth.
Expansion of Production. ‌ In the event that there is an expansion of production during the life of this agreement and additional dozer or sidewinder boats are introduced, crew requirements will be jointly discussed by the Parties.
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Expansion of Production. Products to be sold by Grower to M▇▇▇▇▇▇▇▇▇▇ are intended to include the entire production capacity of the Facility. The Parties agree that any products that arise as a result of the direct or indirect expansion in growing acreage or growing operations by Grower in any or all of the geographical location that encompasses [***], including any Affiliates or Persons under common control (collectively, “Additional Products”), will first be offered to M▇▇▇▇▇▇▇▇▇▇ as a first right of refusal. The right of first refusal shall be provided to M▇▇▇▇▇▇▇▇▇▇ in writing (in each case, a “RFR Notice”), in which case and at M▇▇▇▇▇▇▇▇▇▇’▇ election to be made within [***] of receipt of a RFR Notice, M▇▇▇▇▇▇▇▇▇▇ shall have the right to elect to include such Additional Products with the Products of this Agreement (“RFR Election”) for the greater of, (i) ten years from the date of first commercial production of the Additional Products, or (ii) the remainder of the Term. Grower’s failure to g▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇ any right of first refusal shall be deemed a breach of the exclusivity provisions of this Agreement, and for each failure Grower shall pay to M▇▇▇▇▇▇▇▇▇▇ for the remainder of the Term liquidated damages in the sum of $[***] US dollars for [***] used to grow the Additional Products for the growing season in which the breach occurs, and for each remaining growing season thereafter for which such exclusivity is violated on a per acre basis. Any partial breach in exclusivity of an acre shall be deemed a breach of the entire acre. The remedies in this section are in addition to any other actions or remedies M▇▇▇▇▇▇▇▇▇▇ may be entitled to under applicable law. Certain information has been excluded from this agreement (indicated by “[***]”) because such information (i) is not material and (ii) would be competitively harmful if publicly disclosed. /s/ JW Initials /s/ PM
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Expansion of Production. In the event that the monthly market demand for Product exceeds the initial production capacity of 100,000 lbs of the ANP facility, then expansion of production will be considered and discussed. This expansion may be discussed and planned at any time between Customer and ANP, and the expansion may be initiated by ANP in its own discretion or by agreement between Customer and ANP. The financial and certification responsibility for the expansion of the facility will rest with ANP only. In the event expansion of the facility is agreed upon, ANP must use its commercially reasonable efforts to obtain capital necessary to fund such expansion so as to increase production capacity up to 1,000,000 lbs of Product per month; provided, that ANP shall be under no obligation to incur any debt obligation in connection with the expansion. 3.4.1. First Right of Refusal for Expansion. Customer agrees to provide ANP with the first right of refusal to build and operate further manufacturing plants for Customer up to a total capacity of 1,000,000 lbs of Product per month, under the same terms and conditions as set forth in this Agreement. 3.4.2. In the event Customer requires additional product beyond 100,000 lbs per month up to 1,000,000 lbs per month, Customer shall be required to provide ANP with written notice. The written notice (the “Notice”) shall specify forecast and product requirements. ANP shall have a period of seventy-five (75) days, from receipt of the Notice, within which to exercise its first right of refusal on the plant specified in the Notice. Exercise of the option shall be made by written notice delivered to Customer. Absent exercise of the option by ANP, Customer may then find manufacturing capacity elsewhere. 3.4.3. ANP will require Customer to sign a mutually agreed upon amendment to this contract to support any increased volumes as a result of the above described expansions.
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Expansion of Production. In the event that there is an expansion of produ ction during the life of this ag reement and additional dozer or sidewi nder boats a re i ntrodu ced, crew requi rements will be jointly discussed by the Pa rties.
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Related to Expansion of Production

  • Completion of Project This Grant Agreement shall terminate upon completion of the project and payment of the last invoice.

  • Conformity of production 8.1. Procedures concerning conformity of production shall comply with those set out in the 1958 Agreement, Schedule 1 (E/ECE/TRANS/505/Rev.3) and meet the following requirements: 8.2. A vehicle approved pursuant to this Regulation shall be so manufactured as to conform to the type approved by meeting the requirements of paragraph 5. above; 8.3. The Type Approval Authority which has granted approval may at any time verify the conformity of control methods applicable to each production unit. The normal frequency of such inspections shall be once every two years.

  • Marketing of Production Except for contracts listed and in effect on the date hereof on Schedule 7.19, and thereafter either disclosed in writing to the Administrative Agent or included in the most recently delivered Reserve Report (with respect to all of which contracts the Borrower represents that it or its Subsidiaries are receiving a price for all production sold thereunder which is computed substantially in accordance with the terms of the relevant contract and are not having deliveries curtailed substantially below the subject Property’s delivery capacity), no material agreements exist which are not cancelable on 60 days notice or less without penalty or detriment for the sale of production from the Borrower’s or its Subsidiaries’ Hydrocarbons (including, without limitation, calls on or other rights to purchase, production, whether or not the same are currently being exercised) that (a) pertain to the sale of production at a fixed price and (b) have a maturity or expiry date of longer than six (6) months from the date hereof.

  • Construction of Project 11.1.1 Developer agrees to cause the Project to be developed, constructed, and installed in accordance with the terms hereof and the Construction Provisions set forth in Exhibit D, including those things reasonably inferred from the Contract Documents as being within the scope of the Project and necessary to produce the stated result even though no mention is made in the Contract Documents.

  • Supply of Product Salix shall use reasonable efforts to supply the Product during the Co-Promotion Period in sufficient quantities to satisfy the levels of Product sales forecasted in the then current Marketing Plan. Salix shall maintain reasonable inventory levels of the Product in order to ensure their ability to fulfill this obligation. Salix shall have the sole responsibility and right to fill orders with respect to the Product. Altana shall not solicit orders for the Product but, if for any reason, Altana shall receive an order for the Product, Altana shall promptly forward to Salix any such orders. All orders for Product shall be subject to acceptance by Salix, in its sole discretion, which acceptance shall not be unreasonably withheld. Salix may cancel any order for Product at any time after acceptance without incurring any liability to Altana. Salix shall be solely responsible for responding to requests from Target Physicians for individual patients who need the Product but are unable to afford it. Any such request shall be forwarded by Altana to Salix for processing. Salix shall have the sole right and responsibility for establishing and modifying the terms and conditions of the sale of the Product, including (a) the price at which the Product will be sold, (b) whether the Product will be subject to trade or quantity discounts, (c) whether any discount will be provided for payments on accounts receivable, (d) whether the Product will be subject to rebates, returns and allowances or retroactive price reductions, (e) the channels of distribution of the Product, and (f) whether credit [*] Confidential treatment requested; certain information omitted and filed separately with the SEC. is to be granted or refused in connection with any sale of Product. In the event that Salix fails to supply the Product as required pursuant to this Agreement for any reason other than a Force Majeure, which such failure results in lost sales for Altana, the Parties shall meet and attempt to negotiate a mutually agreeable and commercially reasonable solution. If the Parties cannot reach such an agreement within a reasonable period of time, the issue will be dealt with as contemplated under Section 4.4 of this Agreement.