Non-Conforming Shipments. If Endo considers any such shipment not to conform to the applicable Specifications, Endo shall notify Penwest as provided in Section 7.2 hereof and provide Penwest with the relevant analysis. PENWEST'S SOLE OBLIGATION AND ENDO'S EXCLUSIVE REMEDY FOR ANY SUCH NONCONFORMITY SHALL BE AS FOLLOWS: (i) Penwest shall at its own expense accept return of any shipment not accepted, or else reimburse Endo for the cost of disposal or destruction; (ii) Penwest shall use its Best Commercial Efforts to replace the non-conforming shipment with conforming Formulated TIMERx; and (iii) Section 7.4 hereof shall apply if in any circumstances set out in that Section Penwest shall be unable to supply replacement conforming Formulated TIMERx.
Appears in 2 contracts
Sources: Strategic Alliance Agreement (Endo Pharmaceuticals Holdings Inc), Strategic Alliance Agreement (Penwest Pharmaceuticals Co)