Common use of Correlative Adjustments Clause in Contracts

Correlative Adjustments. If pursuant to a Final Determination there is a Correlative Adjustment attributable to a Pre-Distribution Non-Income or Non-U.S. Tax Audit that causes a Party or its Affiliate to become entitled to a tax benefit, such Party shall pay to the Party that experiences, or whose Affiliates experience, a tax detriment in an amount equal to the lesser of (a) the Tax Benefit Actually Realized or (b) the amount of the tax detriment as a result of such Correlative Adjustment.

Correlative Adjustments. If pursuant to a Final Determination there is a Correlative Adjustment attributable to a Pre-Distribution Non-U.S. Income or Non-U.S. Tax Audit results in a Final Determination that causes a Correlative Adjustment to one Party (or its Affiliate Subsidiary) and a corresponding Tax Benefit to become entitled to a tax benefitthe other Party (or its Subsidiary), such other Party shall pay to the Party that experiences, or whose Affiliates experience, a tax detriment in an amount equal to the lesser of (a) the Tax Benefit Actually Realized or (b) the amount of the tax detriment as a result of such Correlative AdjustmentTax Benefit to the first Party.