Common use of Costs & Compensation Clause in Contracts

Costs & Compensation. 9.1. Except as set forth in Sections 9.2, 9.3 and 9.7 below, each Party shall bear its own costs and expenses incurred in connection with such Party’s performance under this Agreement. 9.2. As payment for the work to be performed by HOKU pursuant to Section 4 above, NISSAN shall pay HOKU Three Million U.S. Dollars ($3,000,000), as follows: 9.2.1. Cash payment of Two Million Seven Hundred Sixty Thousand U.S. Dollars ($2,760,000), upon execution of this Agreement as an engineering expense. NISSAN is responsible for any taxes, fees, or government charges due in Japan. 9.2.2. Additional aggregate cash payment of Two Hundred Forty Thousand U.S. Dollars ($240,000), as an engineering expense upon execution by HOKU and NISSAN of the Step Completion Verification. NISSAN is responsible for any taxes, fees, or government charges due in Japan. 9.3. NISSAN shall pay HOKU for all HOKU Products that are ordered by NISSAN. The price per unit of HOKU Product shall be equal to the price quoted on Exhibit D or Exhibit E, as applicable. The pricing for any HOKU Product that is not specifically listed on Exhibit D or Exhibit E shall be negotiated and agreed by the Parties in good faith. 9.4. With regard to payment by NISSAN set forth in Section 9.2.1, HOKU shall deliver to NISSAN an invoice and NISSAN shall immediately pay HOKU the amount specified in the invoice. 9.5. With regard to payment by NISSAN set forth in Sections 9.2.2 and 9.3, HOKU shall deliver to NISSAN an invoice and NISSAN shall, within sixty (60) days after receipt of such invoice from HOKU, pay HOKU the amount specified in the invoice.

Costs & Compensation. 9.1. Except as set forth in Sections 9.2, 9.3 and 9.7 below, each Party shall bear its own costs and expenses incurred in connection with such Party’s performance under this Agreement. 9.2. As payment for the work to be performed by HOKU pursuant to Section 4 above, NISSAN shall pay HOKU Three Two Million Nine Hundred Fifty Thousand U.S. Dollars ($3,000,0002,950,000), as follows: 9.2.1. Cash payment of Two Million Seven Hundred Sixty Thousand U.S. Dollars ($2,760,000)2,710,000, upon execution of this Agreement as an engineering expense. NISSAN is responsible for any taxes, fees, or government charges due in Japan. 9.2.2. Additional aggregate cash payment of Two Hundred Forty Thousand U.S. Dollars ($240,000), as an engineering expense upon execution by HOKU and NISSAN of the Step Completion Verificationon July 31, 2006. NISSAN is responsible for any taxes, fees, or government charges due in Japan. 9.3. NISSAN shall pay HOKU for all The payments described above do not include HOKU Products that are to be ordered by NISSAN. The price per unit of HOKU Product shall be equal to the price quoted on Exhibit D C or Exhibit ED, as applicable. The pricing for any HOKU Product that is not specifically listed on Exhibit D C or Exhibit E D shall be negotiated and agreed by the Parties in good faith. 9.4. With regard to payment by NISSAN set forth in Section 9.2.1, HOKU shall deliver to NISSAN an invoice and NISSAN shall immediately pay HOKU the amount specified in the invoice. 9.5. With regard to payment by NISSAN set forth in Sections 9.2.2 and 9.3, HOKU shall deliver to NISSAN an invoice and NISSAN shall, within sixty (60) days after receipt of such invoice from HOKU, pay HOKU the amount specified in the invoice.