Common use of Escalation/De-escalation Clause Clause in Contracts

Escalation/De-escalation Clause. In the event of a product cost increase, an escalation request will be reviewed by this office and approved by State Purchasing on an individual basis. Please be aware this measure is not intended to allow any increase in profit margin, only to compensate for an actual cost increase. Price decreases as well shall apply. If the vendor’s prices are reduced for any reason, users shall receive the benefit of such reductions. Price increases and/or decreases will not be retroactive to orders already in-house or back-ordered. Orders will be filled at the price in effect of the date of the receipt of the order by the awarded vendor. All requests for price increases must include the following information from the vendor:

Escalation/De-escalation Clause. In the event of a product cost increase, an escalation request will be reviewed by this office the Xxxxxx County Road Department and approved by State Purchasing Xxxxxx County on an individual basis. Please be aware this measure is not intended to allow any increase in profit margin, only to compensate for an actual cost increase. Price decreases as well shall apply. If the vendor’s prices are reduced for any reason, users shall receive the benefit of such reductions. Price increases and/or decreases will not be retroactive to orders already in-house or back-orderedbackordered. Orders will be filled at the price in effect of the date of the receipt of the order by the awarded vendor. All requests for price increases must include the following information from the vendor: