Common use of Underutilization Charges Clause in Contracts

Underutilization Charges. If, in any Contract Year during the Initial Term, Customer’s Total Service Charges do not meet or exceed the AVC, then Customer shall pay: (a) all accrued but unpaid usage and other charges incurred under this Agreement; and (b) an “Underutilization Charge” in an amount equal to [ * ] the difference between the AVC and Customer’s Total Service Charges during such Contract Year. If in any Annual Extended Term, Customer’s Total Service charges do not meet or exceed the AVC then Customer shall pay: (a) all accrued but unpaid usage and other charges turned under this Agreement, and (b) an “Underutilization Charge” equal to the difference between the AVC and Customer’s Total Service Charges during such period.

Underutilization Charges. If, in any Contract Year during the Initial Term, Customer’s Total Service Charges do not meet or exceed the AVC, then Customer shall pay: (a) all accrued but unpaid usage and other charges incurred under this Agreement; and (b) an “"Underutilization Charge” " in an amount equal to [ * ] 25% of the difference between the AVC and Customer’s 's Total Service Charges during such that Contract Year. If If, in any Annual monthly billing period during the Extended Term, Customer’s Total Service charges Charges do not meet or exceed 1/12 of the AVC then Customer shall pay: (a) all accrued but unpaid usage and other charges turned incurred under this Agreement, Agreement and (b) an “Underutilization Charge” equal to 25% of the difference between 1/12 of the AVC and Customer’s Total Service Charges during such monthly billing period.