Common use of DG Specifications Clause in Contracts

DG Specifications. Producer covenants that it shall produce DG that, upon delivery to RPMG at the Ethanol Facility, meets the respective specifications (“Specifications”) set forth in Exhibit C. RPMG shall have the right to test each shipment of DG to ascertain that the Specifications are being met. If the DG provided by Producer to RPMG is shown, by independent testing or analysis of a representative sample or samples taken consistent with industry standards, to not meet the Specifications through no fault of RPMG or any third party engaged by RPMG, then RPMG may, in its sole discretion, (i) reject such DG and require Producer to promptly replace such non-conforming DG with DG that complies with the Specifications, or (ii) accept such DG for marketing and, if necessary, adjust the price to reflect the inferior quality, as provided in Exhibit A. Payment and acceptance of delivery by RPMG shall not waive RPMG’s rights if DG does not comply with the terms of this Agreement, including the Specifications.

Appears in 4 contracts

Samples: Distillers Grains Marketing Agreement (Highwater Ethanol LLC), Distillers Grains Marketing Agreement (Red Trail Energy, LLC), Distillers Grains Marketing Agreement (Granite Falls Energy, LLC)

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