Common use of Payments to Affiliates Clause in Contracts

Payments to Affiliates. 3.8. In the event the expenditures incurred by the Contractor in transactions with Affiliated legal entities exceed the national and international market prices for the same services and properties, under free competition conditions, one of the effective methods provided for in the Applicable Laws and Regulations, especially those described in article 18 of Law No. 9,430/1996, shall apply to calculate the amount acceptable for recognition as Cost Oil.