Common use of PRIORITY OF SALES Clause in Contracts

PRIORITY OF SALES. Payment by Primegg to Golden Oval will be based on the dried whole egg, egg yolk and egg whites ("dried Egg Products solids") sold by Primegg in the following three types of sales and in the following order of priority: (1) sales of dried Egg Product solids in which Golden Oval has taken a position, (herein referred to as "Position Sales"); (2) sales of liquid Egg Products (herein referred to as "Liquid Sales"); and (3) other "spot" sales of dried Egg Product solids, which are for smaller amounts (generally less than 40,000 pounds) and for irnmediate shipment (herein referred to as "Non-Position Sales").