Common use of Buyer’s Right of Termination Clause in Contracts

Buyer’s Right of Termination. Buyer’s orders for non-standard Products are non- cancelable and non-returnable after Buyer places its purchase order with Seller. Buyer may terminate any other purchase order in whole or in part only upon fifteen (15) days advance written notice to Seller. Seller shall thereupon, as directed, cease work and transfer to Buyer title to all completed and partially completed Products and to any raw materials or supplies acquired by Seller especially for the purpose of performing the Agreement, and Buyer shall pay to Seller the sum of the following: (a) the contract price for all Products which have been completed prior to termination; (b) the cost to Seller of the material or work in process as shown on the books of Seller in accordance with the accounting practice consistently maintained by Seller plus a reasonable profit thereon, but in no event more than the contract price; (c) the cost F.O.B. Seller’s plant of materials and supplies acquired especially for the purpose of performing this contract; and (d) reasonable cancellation charges, if any, paid by Seller on account of any commitment(s) made hereunder. The provisions of this paragraph shall be without prejudice to the rights of either party for failure on the part of the other party to comply with the provisions of the Agreement.

Buyer’s Right of Termination. Buyer’s orders for non-standard Products are non- cancelable and non-returnable after Buyer places its purchase order with Seller. Buyer may terminate any other purchase order in whole or in part only upon fifteen (15) 15 days advance written notice to Seller. Seller shall thereupon, as directed, cease work and transfer to Buyer title to all completed and partially completed Products and to any raw materials or supplies acquired by Seller especially for the purpose of performing the Agreement, and Buyer shall pay to Seller the sum of the following: (a) the contract price for all Products which have been completed prior to termination; (b) the cost to Seller of the material or work in process as shown on the books of Seller in accordance with the accounting practice consistently maintained by Seller plus a reasonable profit thereon, but in no event more than the contract price; (c) the cost F.O.B. Seller’s plant of materials and supplies acquired especially for the purpose of performing this contract; and (d) reasonable cancellation charges, if any, paid by Seller on account of any commitment(s) made hereunder. The provisions of this paragraph shall be without prejudice to the rights of either party for failure on the part of the other party to comply with the provisions of the Agreement.