Common use of Royalties and Payment Terms Clause in Contracts

Royalties and Payment Terms. 3.1. Licensee shall pay to Licensor the royalty on Net Sales of Licensed Products as specified in the attached Schedule D. Licensee’s obligation to pay royalties under this Agreement will be triggered by the invoice date or the shipping date of the Licensed Products, whichever occurs first. Royalty payments are due thirty (30) days after the end of each calendar quarter. 3.2. Licensee shall keep accurate and complete records containing all information required for the computation and verification of the payments due under Paragraph 3.1. Licensee shall keep records for a period of at least three years. On a quarterly basis and upon five days advance written notice, Licensor shall have the right to inspect such records during Licensee’s ordinary business hours to verify the accuracy of any royalty payments made under this Agreement. If an audit by Licensor uncovers a deficiency in any royalty payment Licensee must immediately remit the amount due, including a ten percent (10.0%) per annum finance charge, compounded every thirty (30) days. 3.3. Any past due royalty payments will carry an interest rate of one percent (1.0%) per month commencing on the due date and compounding every thirty (30) days thereafter. 3.4. Except for calendar year 2004, within thirty (30) days after the end of each calendar quarter, Licensee will have paid to Licensor at least the following cumulative royalty payment amounts: First Quarter: 20% of the total minimum annual royalty for that year. Second Quarter: 40% of the total minimum annual royalty for that year. Third Quarter: 60% of the total minimum annual royalty for that year. Fourth Quarter: 100% of the total minimum annual royalty for that year. If any of the above cumulative royalty payment amounts is not met by Licensee, or if Licensee is late for any quarterly royalty payment, Licensee will be deemed to have defaulted. Upon written notice of such default, Licensee shall have ninety (90) days to cure such default; otherwise Licensor may immediately terminate this Agreement.

Royalties and Payment Terms. 3.1. Licensee shall pay to Licensor the royalty on Annual Net Sales of Licensed Products as specified in the attached Schedule SCHEDULE D. Licensee’s 's obligation to pay royalties under this Agreement will be triggered by the invoice date or the shipping date of the Licensed Products, whichever occurs first. Royalty payments are due thirty (30) days after the end of each calendar quarter. 3.2. Licensee shall keep accurate and complete records containing all information required for the computation and verification of the payments due under Paragraph 3.13. 1. Licensee shall keep records for a period of at least three years. On a quarterly basis and upon five days advance written notice, Licensor shall have the right to inspect such records during Licensee’s 's ordinary business hours to verify the accuracy of any royalty payments made under this Agreement. If an audit by Licensor uncovers a deficiency in any royalty payment payment, Licensee must pay the cost of such audit and immediately remit the amount due, including a ten two percent (10.02.0%) per annum month finance charge, compounded every thirty (30) days. 3.3. Any past due royalty payments will carry an interest rate of one two percent (1.01.5%) per month commencing on the due date and compounding every thirty (30) days thereafter. 3.4. Except for calendar year 2004, within Within thirty (30) days after the end of each calendar quarter, Licensee will have paid to Licensor at least the following cumulative royalty payment amounts: First Quarter: 20% [*] of the total minimum annual royalty for that year. Second Quarter: 40% [*] of the total minimum annual royalty for that year. Third Quarter: 60% [*] of the total minimum annual royalty for that year. Fourth Quarter: 100% [*] of the total minimum annual royalty for that year. If any of the above cumulative royalty payment amounts is not met by Licensee, or if Licensee is late for any quarterly royalty payment, Licensee will be deemed to have defaulted. Upon written notice of such default, Licensee shall have ninety (90) days to cure such default; , otherwise Licensor may immediately terminate this Agreement.. [*] Redacted Information

Royalties and Payment Terms. 3.1. Licensee shall pay to Licensor the royalty on Net Sales of Licensed Products as specified in the attached Schedule SCHEDULE D. Licensee’s 's obligation to pay royalties under this Agreement will be triggered by the invoice date or the shipping date of the Licensed Products, whichever occurs first. Royalty payments are due thirty (30) days after the end of each calendar quarter. 3.2. Licensee shall keep accurate and complete records containing all information required for the computation and verification of the payments due under Paragraph 3.13. 1. Licensee shall keep records for a period of at least three years. On a quarterly basis and upon five days advance written notice, Licensor shall have the right to inspect such records during Licensee’s 's ordinary business hours to verify the accuracy of any royalty payments made under this Agreement. If an audit by Licensor uncovers a deficiency in any royalty payment exceeding twenty-five percent (25%) of the payments due under Paragraph 3.1, Licensee must pay the cost of such audit. If an audit by Licensor uncovers a deficiency in any royalty payment Licensee must immediately remit the amount due, including a ten two percent (10.02.0%) per annum month finance charge, compounded every thirty (30) days. 3.3. Any past due royalty payments will carry an interest rate of one two percent (1.02.0%) per month commencing on the due date and compounding every thirty (30) days thereafter. 3.4. Except for calendar year 2004, within Within thirty (30) days after the end of each calendar quarter, Licensee will have paid to Licensor at least the following cumulative royalty payment amounts: First Quarter: 20% of the total minimum annual royalty for that year. Second Quarter: 40% of the total minimum annual royalty for that year. Third Quarter: 60% of the total minimum annual royalty for that year. Fourth Quarter: 100% of the total minimum annual royalty for that year. If any of the above cumulative royalty payment amounts is not met by Licensee, or if Licensee is late for any quarterly royalty payment, Licensee will be deemed to have defaulted. Upon written notice of such default, Licensee shall have ninety (90) days to cure such default; , otherwise Licensor may immediately terminate this Agreement. Termination of this Agreement is the sole remedy available to Licensor.

Royalties and Payment Terms. 3.1. Licensee shall pay to Licensor the royalty on Net Sales of Licensed Products as specified in the attached Schedule SCHEDULE D. Licensee’s 's obligation to pay royalties under this Agreement will be triggered by the invoice date or the shipping date of the Licensed Products, whichever occurs first. Royalty payments are due thirty (30) days after the end of each calendar quarter. 3.2. Licensee shall keep accurate and complete records containing all information required for the computation and verification of the payments due under Paragraph 3.13. 1. Licensee shall keep records for a period of at least three years. On a quarterly basis and upon five days advance written notice, Licensor shall have the right to inspect such records during Licensee’s 's ordinary business hours to verify the accuracy of any royalty payments made under this Agreement. If an audit by Licensor uncovers a deficiency in any royalty payment exceeding twenty-five percent (25%) of the payments due under Paragraph 3.1, Licensee must pay the cost of such audit. If an audit by Licensor uncovers a deficiency in any royalty payment Licensee must immediately remit the amount due, including a ten two percent (10.02.0%) per annum month finance charge, compounded every thirty (30) days. 3.3. Any past due royalty payments will carry an interest rate of one two percent (1.02.0%) per month commencing on the due date and compounding every thirty (30) days thereafter. 3.4. Except for calendar year 2004, within Within thirty (30) days after the end of each calendar quarter, Licensee will have paid to Licensor at least the following cumulative royalty payment amounts: First Quarter: 20% [*] of the total minimum annual royalty for that year. Second Quarter: 40% [*] of the total minimum annual royalty for that year. Third Quarter: 60% [*] of the total minimum annual royalty for that year. Fourth Quarter: 100% [*] of the total minimum annual royalty for that year. [*] Redacted Information If any of the above cumulative royalty payment amounts is not met by Licensee, or if Licensee is late for any quarterly royalty payment, Licensee will be deemed to have defaulted. Upon written notice of such default, Licensee shall have ninety (90) days to cure such default; , otherwise Licensor may immediately terminate this Agreement. Termination of this Agreement is the sole remedy available to Licensor.