Common use of Duty to Replace or Reimburse Clause in Contracts

Duty to Replace or Reimburse. In the event of a Claim pursuant to any actual or alleged infringement or misappropriation of any third party’s intellectual property rights by any of the Supplier-provided products or services, or Supplier’s performance, Supplier shall, at its expense and option, either (a) procure the right to continue use of such infringing products or services, or any components thereof; or (b) replace or modify the infringing products or services, or any components thereof, with non-infringing products or services satisfactory to DMAS. In the event that DMAS cannot use the affected Deliverable, Product, Licensed Services, or Services, including any Components, then Supplier shall reimburse DMAS for the reasonable costs incurred by DMAS in obtaining an alternative product or service.