Common use of SCRAP Clause in Contracts

SCRAP. (A) The scrap rates for the Scrap of each type of the Contract Products shall not exceed the corresponding average rates experienced by Motorola at the Chun▇ ▇▇ ▇▇▇ility during 1999 while Motorola owned the Facility. Motorola represents that such average scrap rates are true and correct and have resulted from its normal course of business. ASE shall credit Motorola, at Motorola's selling price for the relevant Contract Product, for Scrap in excess of the applicable average rate. ASE shall use commercially reasonable efforts to continually reduce Scrap rates for Contract Products. (B) ASE shall dispose of any Scrap in accordance with applicable laws and Motorola's written instructions. Upon request, ASE shall ship all Scrap to Motorola separately from any of the Contract Products or Bailed Property in clearly-marked boxes so as to identify the items contained therein. Motorola shall pay for all reasonable shipping costs with respect to such scrap.

Appears in 2 contracts

Sources: Manufacturing Services Agreement (Advanced Semiconductor Engineering Inc), Manufacturing Services Agreement (Advanced Semiconductor Engineering Inc)

SCRAP. (A) The scrap rates for the Scrap of each type of the Contract Products shall not exceed the corresponding average rates experienced by Motorola at the Chun▇ ▇▇ ▇▇▇ility Paju Facility during 1999 while Motorola owned the Facility. Motorola represents that such average scrap rates are true and correct and have resulted from its normal course of business. ASE shall credit Motorola, at Motorola's selling price for the relevant Contract Product, for Scrap in excess of the applicable average rate. ASE shall use commercially reasonable efforts to continually reduce Scrap rates for Contract Products. (B) ASE shall dispose of any Scrap in accordance with applicable laws and Motorola's written instructions. Upon request, ASE shall ship all Scrap to Motorola separately from any of the Contract Products or Bailed Property in clearly-marked boxes so as to identify the items contained therein. Motorola shall pay for all reasonable shipping costs with respect to such scrap.

Appears in 2 contracts

Sources: Manufacturing Services Agreement (Advanced Semiconductor Engineering Inc), Manufacturing Services Agreement (Advanced Semiconductor Engineering Inc)