Expenditures and Payment Clause Samples
The Expenditures and Payment clause defines how costs incurred under the agreement will be handled and the procedures for making payments. It typically outlines what types of expenses are eligible for reimbursement, the documentation required to support payment requests, and the timeline for payment processing. By establishing clear rules for financial transactions, this clause helps prevent disputes over costs and ensures both parties understand their financial obligations.
Expenditures and Payment. The estimated cost for the purchase and installation of the Automated Filling Equipment and Facility Modifications and the support and SAT for the installation of the Automated Filling Equipment for the project are set forth in Schedule A. Notwithstanding any other provisions of this Agreement, the individual amount of each item on Schedule A may be increased or decreased to reflect Patheon’s actual cost but the aggregate amount contributed by Indivior for the Facility Modifications and support of the installation and SAT of the Automated Filling Equipment will not exceed $[***] unless there are modifications or changes in the Services or related assumptions or subsequent changes requested by Client. If this occurs, the parties will agree on revised cost estimates and a revised maximum aggregate amount to be contributed by Indivior. No change in the aggregate cost of the Facility Modifications will be made without Indivior’s prior written consent. Patheon will give Indivior a final Schedule A with the actual costs for each item. Subject to these limitations, Indivior hereby agrees to to be invoiced by Patheon for $[***] towards the Facility Modifications shown on Schedule A immediately upon execution of this Agreement (the “Initial Payment”) and Indivior directs Patheon to incur, on its behalf, pre-approved, direct, out-of-pocket costs for the Facility Modifications listed on Schedule A. Patheon will give Indivior copies of third party invoices for these items (where applicable) within 30 days after Patheon’s receipt thereof and will issue its invoice to Indivior. Indivior will pay all invoiced amounts owing to Patheon within 45 days of the date of Patheon’s invoice after the Initial Payment has been spent to enable Patheon to pay all amounts owed under the third party invoices. Indivior’s payment of these costs in advance of the performance of the Services is made in contemplation of those Services to be performed by Patheon.
Expenditures and Payment. The estimated cost ranges for the purchase and installation of the Pozen Funded Capital for the project are set forth in Schedule A. Notwithstanding any other provisions of this Agreement, the individual amount of each item on Schedule A may be increased or decreased to reflect Patheon’s actual cost but the aggregate amount contributed by Pozen for the Dedicated Equipment, Non-Dedicated Equipment and Facility Modifications will not exceed $*** unless there are further modifications or changes in the processes or requirements for the Services or if the assumptions underlying the estimated costs change. If this occurs, the parties will agree on revised cost estimates and a revised maximum aggregate amount to be contributed by Pozen. Patheon has reviewed the capacity of its existing ***, which will be used for Pozen and also for other Patheon clients, to determine if additional *** will be required to perform the Services for Pozen. Based on the current long range forecasts for the Product and for third party products, Patheon anticipates being able to support most, if not all of the Pozen’s projected forecast for the Product using the existing *** If an additional *** is required to perform the Services, the cost for this ***, associated engineering and the Facility Modifications shown in Schedule A will be provided by Pozen. If for some unforeseen reason, additional capacity beyond *** is required, the Parties will negotiate responsibility for the additional capital in good faith. Subject to these limitations, Patheon will inform Pozen in writing when the purchase of the Pozen Funded Capital is necessary and Pozen will give written notice to Patheon to incur, on its behalf, pre-approved direct out of pocket costs for the Pozen Funded Capital as set forth in Schedule A. Patheon will give Pozen copies of third party invoices for these items (where applicable) within 30 days after Patheon’s receipt thereof and will issue its invoice with respect to the items set forth in Schedule A to Pozen. Pozen will pay all amounts owing to Patheon within 30 days of the date of the Patheon invoice to enable Patheon to pay all amounts owed under the third party invoices.