Common use of Commercial Occupancy Fee Clause in Contracts

Commercial Occupancy Fee. In consideration of Catalent’s agreement to make available the hormone suite in the Facility to manufacture Product, Client shall pay to Catalent an annual fee of [***] (“Commercial Occupancy Fee”). The Commercial Occupancy Fee is payable commencing on January 1st of the year that commercial manufacture of the Product occurs (including manufacture of Validation Batches for commercial sale) and each subsequent January 1st during the term of this Agreement. In the event that this Agreement begins on a date other than January 1 or is terminated prior to the expiration of the term, then the Commercial Occupancy Fee shall be prorated based on the Effective Date of this Agreement or the effective date of termination for the applicable year unless such termination occurs based on Client’s breach of this Agreement for which no such pro-ration shall occur.

Commercial Occupancy Fee. In consideration of Catalent’s 's agreement to make available the hormone suite in the Facility to manufacture Product, Client shall pay to Catalent an annual fee of [***] (“"Commercial Occupancy Fee”"). The Commercial Occupancy Fee is payable commencing on January 1st of the year that commercial manufacture of the Product occurs (including manufacture of Validation Batches for commercial sale) and each subsequent January 1st during the term of this Agreement. In the event that this Agreement begins on a date other than January 1 or is terminated prior to the expiration of the term, then the Commercial Occupancy Fee shall be prorated based on the Effective Date of this Agreement or the effective date of termination for the applicable year unless such termination occurs based on Client’s 's breach of this Agreement for which no such pro-ration shall occur.