Maximum Inventory Levels Clause Samples
The Maximum Inventory Levels clause sets a cap on the amount of inventory that one party may hold at any given time under the agreement. Typically, this clause specifies a numerical limit or a formula for calculating the maximum allowable stock, and may require regular reporting or inventory checks to ensure compliance. By establishing clear boundaries on inventory holdings, the clause helps prevent overstocking, reduces financial risk, and ensures efficient supply chain management.
Maximum Inventory Levels. Notwithstanding any transfer of title to ▇▇▇▇ to all such Crude Oil or Products, ▇▇▇▇ shall not be obligated at any time to pay for any quantity of Crude Oil or Product under Section 10.1 or 10.2 or otherwise hereunder to the extent such payment would relate to an aggregate quantity of Crude Oil or such Products in the Included Locations in excess of the then applicable maximum level as set forth on Schedule D or as may have been temporarily adjusted under Section 7.9.
Maximum Inventory Levels. Notwithstanding any transfer of title to Aron to all such Crude Oil or Products, Aron shall not be obligated at any time to pay for any quantity of Crude Oil or Product under Section 10.1 or 10.2 or otherwise hereunder to the extent such payment would relate to an aggregate quantity of Crude Oil or such Products in the Included Locations in excess of the then applicable maximum level as set forth on Schedule D or as may have been temporarily adjusted under Section 7.9; provided that (i) from and after the Second Restatement Effective Date to June 1, 2022, the maximum level set forth in Schedule D shall be no more than 6,000,000 Barrels; and (ii) from and after June 1, 2022, if the Leverage Ratio for the fiscal quarter ended March 31, 2022 is greater than or equal to 3.50:1.00, the maximum level set forth in Schedule D shall be 5,000,000 Barrels until such time the Leverage Ratio for any fiscal quarter ending thereafter is less than 3.50:1.00 at which time the maximum level set forth in Schedule D for the Specified Period (as defined below) shall be increased to 6,000,000 Barrels for so long as the Leverage Ratio for such fiscal quarter most recently ended is less than 3.50:1.00 (it being agreed that the Leverage Ratio shall be tested on April 1 (in respect of the fiscal quarter ended December 31 of the previous year), June 1, September 1 and December 1 (in respect of each other fiscal quarter most recently ended) in determining the maximum level set forth in Schedule D for the applicable period). For purposes hereof “Specified Period” means each of the following periods of each calendar year: (i) June 1 to August 31; (ii) September 1 to November 30; (iii) December 1 to March 31; and (iv) April 1 to May 31.
Maximum Inventory Levels. Notwithstanding any transfer of title to Aron to all such Crude Oil or Products, Aron shall not be obligated at any time to pay for any quantity of
Maximum Inventory Levels. Notwithstanding any transfer of title to Macquarie to any Permitted Feedstock or Renewable Products or the quantity of any Eligible Renewables Lien Inventory in a Company Storage Location, Macquarie shall not be obligated at any time to pay for any quantity of Permitted Feedstock or Renewable Product under Section 12.1 or otherwise hereunder to the extent such payment would relate to an aggregate quantity of Renewable Products in the Included Storage Locations in excess of the then applicable maximum inventory level as set forth on Schedule D or as may have been temporarily adjusted under Section 8.8.
Maximum Inventory Levels. Notwithstanding any transfer of title to Macquarie to any Crude Oil or Products or the quantity of any Eligible Hydrocarbon in a Specified Company Location, Macquarie shall not be obligated at any time to pay for any quantity of Crude Oil or Product under Section 10.1 or 10.2 or otherwise hereunder to the extent such payment would relate to an aggregate quantity of Crude Oil or such Products in the Included Locations and Specified Company Locations in excess of the then applicable maximum inventory level as set forth on Schedule D or as may have been temporarily adjusted under Section 7.9. In the event that Crude Oil or Products or the quantity of any Eligible Hydrocarbon in a Specified Company Location exceeds the maximum inventory level as set forth on Schedule D, Macquarie will hold title to all Barrels located in Crude Storage Tanks and the Included Product Tanks at the time without making payment for the same, and Fuels and/or LW will dispose of such Barrels of Crude Oil and Products as soon as reasonably possible.
Maximum Inventory Levels. Notwithstanding any transfer of title to Macquarie to any Permitted Feedstock or Renewable Products or the quantity of any Eligible Renewables Inventory in a Specified Company Location, Macquarie shall not be obligated at any time to pay for any quantity of Permitted Feedstock or Renewable Product under Section 10.1 or 10.2 or otherwise hereunder to the extent such payment would relate to an aggregate quantity of Permitted Feedstock or such Renewable Products in the Included Locations and Specified Company Locations in excess of the then applicable maximum inventory level as set forth on Schedule D or as may have been temporarily adjusted under Section 7.9. In the event that Permitted Feedstock or Renewable Products or the quantity of any Eligible Renewables Inventory in a Specified Company Location exceeds the maximum inventory level as set forth on Schedule D, Macquarie will hold title to all Barrels of Permitted Feedstock and Renewable Products located in Included Permitted Feedstock Storage Tanks and the Included Renewable Product Tanks at the time without making payment for the same, and the Company will dispose of such Barrels of Permitted Feedstock and Renewable Products as soon as reasonably possible. 10.4 Invoices. (a) Invoices shall be provided to the Company by Macquarie not later than 6:00 pm EST on a Business Day (and if delivered thereafter shall be deemed delivered on the next succeeding Business Day)
Maximum Inventory Levels of the Supply and Offtake Agreement is hereby amended such that the references therein to “Eligible Hydrocarbon” shall be references to “Eligible Hydrocarbon Inventory”.