Major Spare Parts Costs Sample Clauses

Major Spare Parts Costs. TSP shall be entitled to payment on a monthly basis for its Major Spare Parts Costs incurred following the expiration of the General Warranty Period applicable to such Major Spare Parts in accordance with the Spare Parts Inventory Plan and the then applicable annual Budget. Major Spare Parts Costs incurred prior to the expiration of the General Warranty Period are included in the Total Toll Collection System Capital Price and TSP shall not be entitled to any additional compensation therefor. “Major Spare Parts Costs” means (except as otherwise provided below) (a) those actual, reasonable direct Costs incurred by TSP (without markup or overhead by TSP or any Affiliate of TSP) for capital equipment and materials furnished by TSP in the course of performing the Work to replace items set forth in the list of reimbursable Major Spare Parts included in Exhibit V, reduced by any applicable discounts, rebates and refunds and excluding the Cost of performing or causing to be performed any warranty repair, correction or replacement with respect to such equipment and materials, plus (b) any applicable sales or use taxes with respect to such items. Notwithstanding the foregoing, the Major Spare Parts Costs of equipment and materials set forth in the List of Reimbursable Major Spare Parts Costs which are manufactured directly by TSP or an Affiliate of TSP and either not acquired from third party vendors or acquired from a third party vendor that is an Affiliate of TSP shall be deemed to be TSP’s best pricing made available to its most preferred customers for similar order quantities for such equipment and materials (without further markup or overhead by TSP or any Affiliate of TSP), except with respect to lane controllers manufactured by TSP for which the Major Spare Parts Cost shall be deemed to be TSP’s best pricing made available to its most preferred customers (including large quantity orders).