Preferred Material Supplier Clause Samples
The Preferred Material Supplier clause designates a specific supplier or group of suppliers from whom materials must be sourced for a project or contract. In practice, this means that the contracting party is required to purchase materials exclusively or primarily from the named supplier, unless otherwise agreed upon or in exceptional circumstances. This clause ensures consistency in material quality, streamlines procurement processes, and can secure favorable pricing or terms due to established supplier relationships.
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Preferred Material Supplier. IM agrees that it will evaluate available ATMI materials for any collaborative development program between IM and an integrated device manufacturer for an integrated circuit (“IC”) or a [*] application that starts from the Amendment Effective Date until the later of [*] or the last extension period elected by ATMI pursuant to Section 4.1 of this Amendment (“Collaboration”). IM will make best commercial efforts to introduce new material opportunities to ATMI and qualify ATMI materials in such Collaborations. IM agrees to recommend ATMI materials to IM customers in Collaborations if the ATMI materials are timely available, meet the customer’s technical requirements; and are cost competitive. IM further agrees to provide written feedback to ATMI on any technical gaps and customer cost requirements. The Parties understand and agree that the selection of material provider is at the sole discretion of the IM customer. The Parties agree to review the progress under this Section at the Operating Committee meetings and work to address any issues through that process. Subject to the foregoing obligations, nothing in this Section shall limit IM from engaging Third Parties in IC or solar applications without ATMI or using materials from a Competitor as part of any such Collaboration.