Common use of Quantity and Duration Clause in Contracts

Quantity and Duration. 2.1 Seller acknowledges and agrees that Seller is obligated to provide Goods to Purchaser in the quantity specified in any Purchase Order or Release issued by Purchaser. If the quantity is not specified on the Purchase Order, the quantity is for one hundred percent (100%) of Purchaser’s requirements. 2.2 Unless stated otherwise on the face of the Purchase Order, the duration of each Purchase Order shall be the period of time in which Purchaser uses certain Goods in production of Purchaser Products (the “Production Period”) and for ten (10) years thereafter (the “Service Period”). For the avoidance of doubt, however, this Section 2.3 If Seller’s ability to deliver any Products is or is reasonably likely to be constrained, Seller shall immediately notify Purchaser setting forth the cause for the anticipated delay and use best efforts to resolve the issue causing the constraint. Any oral communication shall be immediately confirmed in writing. During the period of any delay, Seller shall fulfill Releases prior to fulfilling orders for the same or similar products for any of Seller’s other customers for the period in which Seller’s production is constrained, using existing on-hand stock and Seller’s actual output. The foregoing is in addition to, and not in limitation of, Seller’s other obligations under the Contract and Purchaser’s other rights and remedies at law, in equity, and in the Contract. 2.4 Unless otherwise agreed in writing by the Parties, Seller shall build and maintain at all times during the Contract a safety stock of Products at an agreed location at no additional charge to Purchaser that consists of a quantity sufficient to meet at least two weeks of forecast deliveries under the Contract (“Safety Stock”). Seller will retain title to, and Purchaser will not have any obligations for, Safety Stock unless and until delivered in accordance with the Contract. Without Purchaser’s prior written consent, which Purchaser may withhold in its sole discretion, Seller may not sell, transfer, encumber or use any Safety Stock for any purpose other than to meet Seller’s obligations under the Contract. 2.5 PURCHASER MAKES NO WARRANTIES REGARDING THE QUANTITY OF PRODUCTS THAT IT WILL ORDER, IF ANY. PURCHASER IS NOT REQUIRED TO ISSUE ANY PURCHASE ORDERS, AND PURCHASER IS NOT OBLIGATED TO ISSUE ANY RELEASE UNDER A PURCHASE ORDER.

Quantity and Duration. 2.1 Seller acknowledges and agrees that Seller is obligated to provide Goods to Purchaser in the quantity specified in any Purchase Order or Release issued by Purchaser. If the quantity is not specified on the Purchase Order, the quantity is for one hundred percent (100%) of Purchaser’s requirements. 2.2 Unless stated otherwise on the face of the Purchase Order, the duration of each Purchase Order shall be the period of time in which Purchaser uses certain Goods in production of Purchaser Products (the “Production Period”) and for ten (10) years thereafter (the “Service Period”). For the avoidance of doubt, however, this SectionSection 2.2 shall not affect or otherwise modify or limit Purchaser’s rights of termination set forth herein. 2.3 If Seller’s ability to deliver any Products is or is reasonably likely to be constrained, Seller shall immediately notify Purchaser setting forth the cause for the anticipated delay and use best efforts to resolve the issue causing the constraint. Any oral communication shall be immediately confirmed in writing. During the period of any delay, Seller shall fulfill Releases prior to fulfilling orders for the same or similar products for any of Seller’s other customers for the period in which Seller’s production is constrained, using existing on-hand stock and Seller’s actual output. The foregoing is in addition to, and not in limitation of, Seller’s other obligations under the Contract and Purchaser’s other rights and remedies at law, in equity, and in the Contract. 2.4 Unless otherwise agreed in writing by the Parties, Seller shall build and maintain at all times during the Contract a safety stock of Products at an agreed location at no additional charge to Purchaser that consists of a quantity sufficient to meet at least two weeks of forecast deliveries under the Contract (“Safety Stock”). Seller will retain title to, and Purchaser will not have any obligations for, Safety Stock unless and until delivered in accordance with the Contract. Without Purchaser’s prior written consent, which Purchaser may withhold in its sole discretion, Seller may not sell, transfer, encumber or use any Safety Stock for any purpose other than to meet Seller’s obligations under the Contract. 2.5 PURCHASER MAKES NO WARRANTIES REGARDING THE QUANTITY OF PRODUCTS THAT IT WILL ORDER, IF ANY. PURCHASER IS NOT REQUIRED TO ISSUE ANY PURCHASE ORDERS, AND PURCHASER IS NOT OBLIGATED TO ISSUE ANY RELEASE UNDER A PURCHASE ORDER.