Common use of Maximum Price Increase Clause in Contracts

Maximum Price Increase. In a single year of the Contract, the maximum price increase for each individual Product on Contract shall not exceed the percent increase in the latest available National Consumer Price Index - All Urban Consumers (CPI- U), Not Seasonally Adjusted, Northeast Region, All Items (Series Id: CUUR0100SA0); as published by the U.S. Department of Labor, Bureau of Xxxxx Xxxxxxxxxx, Xxxxxxxxxx, X.X. 00000. CPI-U data may be obtained at xxx.xxx.xxx. The following example illustrates the computation of percent change: CPI for current period 230.000 Less CPI for previous period 225.000 Equals index point change 5.000 Divided by previous period CPI 225.000 Equals 0.022 Result multiplied by 100 0.022 x 100 Equals percent change 2.2 The “CPI for current period” shall be the index in effect at the time the Contract pricelist update request is received; “CPI for previous period” shall be the index in effect when the Contract pricelist was last updated. Increases are not cumulative. Price increases are limited to the prior year prices only. This price escalation cap does not apply to Visa, Mastercard, Discover, American Express, as well as any other card network as required by the Authorized User, and debit network authorization and Interchange fees, assessments, dues and other Card Association fees and charges which are passed through to Authorized Users at cost, and provided with verification of such costs at time of increase.