Common use of Compound and/or Collaboration Product Manufactured by a Party Clause in Contracts

Compound and/or Collaboration Product Manufactured by a Party. If the Manufacture of Compound and/or Collaboration Product is performed directly by a Party, the Party conducting such activities may propose to the other Party a methodology to determine the Cost of Goods pursuant to a cost accounting system based on standard costs, and the Parties shall negotiate in good faith to agree upon such methodology. The Parties agree and acknowledge that, if New River undertakes to Manufacture Compound and/or Collaboration Product directly, [*] by the Parties in determining New River’s Cost of Goods. Similarly, if Shire undertakes to Manufacture Collaboration Product directly (pursuant to Shire’s rights under the Agreement), [*] by the Parties in determining Shire’s Cost of Goods.