Common use of Most Favored Distributor Clause in Contracts

Most Favored Distributor. If during the Term, BlueArc sells any Products or Support, or any functional equivalents thereof, to any similarly situated distributor or reseller, with substantially similar projected or actual Product sales volume as HDS and its Affiliates, upon substantially similar terms and conditions when considered in their entireties, and charges such distributor or reseller a fee lower in the aggregate than the fees payable by HDS or its Affiliates to BlueArc pursuant to this Article 5, BlueArc shall promptly notify HDS. Distributor or a Regional Affiliate, as applicable, may elect to substitute such lower fee for the fees set forth in this Agreement, but BlueArc will not be required to refund any amounts previously paid under this Agreement. This requirement will not apply to one-time End User transactions involving a distributor or reseller.