Humidity Control System Clause Samples

Humidity Control System. (a) Promptly following the Effective Date and before the [***] thereof, Mikart shall purchase, install, qualify and maintain a Humidity Control System (which shall be owned by Mikart) in pharmaceutical manufacturing room [***] of the Facility (the “Blending Room”) to enable it to manufacture Products under appropriate relative humidity conditions of [***]. Thereafter and during the Term, Mikart shall maintain and ensure the full function of such Humidity Control System for the Blending Room. Subject to Section 2.10(c) below, Mikart shall only use the Blending Room for the manufacture of Product(s) for Transcept or its designees. (b) In consideration for Mikart’s performance of the activities and assumption of the obligations described in Section 2.10(a), Transcept shall pay to Mikart a fee of [***] as detailed in Exhibit F, payable as follows: (i) [***] payable by Transcept upon execution of the Agreement by both parties; (ii) [***] payable by Transcept on or before the date that is [***] following the execution of this Agreement by both parties; (iii) [***] payable by Transcept on or before the date that is [***] following the execution of this Agreement by both parties; (iv) [***] payable by Transcept on or before the date that is [***] following the execution of this Agreement by both parties; and (v) [***] payable by Transcept upon both (x) Mikart’s installation and qualification of the Humidity Control System in the Blending Room and completion of the Qualification Services and (y) Transcept’s reasonable satisfaction that the Blending Room maintains the appropriate humidity and other conditions for the manufacture of Product in accordance with the Specifications. (c) If Mikart wishes to use the Blending Room containing the Humidity Control System for other customers during the Term and such use is not reasonably likely to result in a Supply Failure (as defined in Section 6.4(a) below) or to otherwise interfere with Mikart’s obligations to Transcept hereunder, and such use is to manufacture products for customers whose products require the use of the Humidity Control System, the parties will negotiate in good faith an arrangement in which Mikart reimburses Transcept for its use of such room in the form of a credit or payment of [***] for each batch of third party product produced in such room, until Mikart has reimbursed to Transcept the mutually agreed-upon, estimated value of the Humidity Control System (taking into account the Humidity Control Syste...