Common use of Customer Default Clause in Contracts

Customer Default. If Customer fails to perform any obligation, Microchip may cancel or suspend further deliveries or terminate the Order and Agreement without affecting any contractual, legal, or equitable rights or remedies that Microchip may have. Without limiting its remedies, Microchip will be entitled to cancellation charges for finished Goods and work in process, which it commenced to reasonably meet the delivery schedule, as well as to quantity price adjustments reflecting volume pricing quoted for quantities ordered but cancelled due to Customer’s default, and all costs, direct and indirect, incurred or committed, plus prorated anticipated profits. Continued shipment of Goods after Customer’s default will not constitute a waiver of Microchip’s rights or remedies.

Customer Default. If Customer fails to perform any performany obligation, Microchip may Microchipmay cancel or suspend further suspendfurther deliveries or terminate the Order and Agreement without affecting any contractual, legal, or equitable rights or remedies that Microchip may Microchipmay have. Without limiting its remedies, Microchip will be entitled to cancellation charges for finished Goods and work in process, which it commenced to reasonably meet the delivery scheduledeliveryschedule, as well as to quantity price adjustments reflecting volume pricing quoted for quotedfor quantities ordered but cancelled due cancelleddue to Customer’s default, and all costs, direct and indirect, incurred or committed, plus prorated anticipated profits. Continued shipment of Goods after Customer’s default will not constitute a waiver of Microchip’s rights or remedies.