Common use of Pallets Clause in Contracts

Pallets. (a) Anchor agrees to use pallets supplied by AB to package and deliver all of AB's Packed Bottle Requirements pursuant to the terms of this Agreement. Anchor and AB agree that until further notice all such pallets shall be AB's standard 32 x 37 pallet. Both parties agree that the user fee Anchor owes AB for such pallets has been reflected in the Selling Price for Packed Bottles and, as a result, Anchor shall not be required to send any payments to AB in consideration for its use of such pallets. Anchor shall not take title to any such pallets. Anchor shall exercise reasonable care in the use of such pallets, but shall otherwise not be responsible for the replacement or maintenance and repair of such pallets should any of them be lost or damaged due to no fault of Anchor. *** shall be responsible for arranging and paying for transportation necessary to transport any and all such pallets to the Production Facilities, subject to a limit of *** shall be entitled to seek reimbursement from *** for any such transportation charges in excess of *** agrees to work with *** to help *** minimize the freight costs *** under this Section 5.3(a). At the expiration or earlier termination of the Term Anchor shall return all such pallets in its possession to AB. (b) Anchor shall purchase on its own account 100% of the pallets, top frames, tier sheets, and all other materials required by Anchor to package and deliver AB's Bulk Bottle Requirements in accordance with the Specifications. Attachment 3.1 specifies the amount Anchor shall be entitled to add to the Base Prices for Bulk Bottles to account for the cost of such pallets, top frames, tier sheets, and other materials and other packaging costs associated solely with Bulk Bottles.

Pallets. (a) Anchor agrees to use pallets supplied by AB to package and deliver all of AB's Packed Bottle Requirements pursuant to the terms of this Agreement. Anchor and AB agree that until further notice all such pallets shall be AB's standard 32 x 37 pallet. Both parties agree that the user fee Anchor owes AB for such pallets has been reflected in the Selling Price for Packed Bottles and, as a result, Anchor shall not be required to send any payments to AB in consideration for its use of such pallets. Anchor shall not take title to any such pallets. Anchor shall exercise reasonable care in the use of such pallets, but shall otherwise not be responsible for the replacement or maintenance and repair of such pallets should any of them be lost or damaged due to no fault of Anchor. .*** shall be responsible for arranging and paying for transportation necessary to transport any and all such pallets to the Production Facilities, subject to a limit of *** shall be entitled to seek reimbursement from *** for any such transportation charges in excess of *** agrees to work with *** to help *** minimize the freight costs *** under this Section 5.3(a). At the expiration or earlier termination of the Term Anchor shall return all such pallets in its possession to AB. (b) Anchor shall purchase on its own account 100% of the pallets, top frames, tier sheets, and all other materials required by Anchor to package and deliver AB's Bulk Bottle Requirements in accordance with the Specifications. Attachment 3.1 specifies the amount Anchor shall be entitled to add to the Base Prices for Bulk Bottles to account for the cost of such pallets, top frames, tier sheets, and other materials and other packaging costs associated solely with Bulk Bottles.