Common use of Minimum Purchase Obligation Clause in Contracts

Minimum Purchase Obligation. CareDx shall purchase at least the following amounts of Supplied Products for each Contract Year listed in the table below, subject to the following: (a) Royalties paid under Section 9.3 in a Contract Year shall count towards the minimum amounts required in the table below for such Contract Year; (b) If in a Contract Year, CareDx exceeds the minimum amount set forth below for such Contract Year, the amount in excess shall be counted towards future Contract Years until it is exhausted; and (c) If CareDx fails to meet the minimum amount set forth below in a Contract Year, it shall have until [...***...] after the expiration of the applicable Contract Year to remedy such shortfall (in addition to the minimum amount set forth for the following Contract Year). (d) The minimum purchase obligations under this Section may terminate earlier pursuant to Section 4.2(c) above. (e) Illumina may, in its sole discretion any time after the third anniversary of the Effective Date, terminate the minimum purchase obligations under this Section by providing written notice to CareDx. Contract Year Minimum Amount 1 $[...***...] 2 $[...***...] 3 $[...***...] 4 $[...***...] 5 $[...***...]