Common use of PRICE REVISION Clause in Contracts

PRICE REVISION. If a price revision index is provided in Article I.5.2, this Article applies to it. Prices are fixed and not subject to revision during the first year of the FWC. At the beginning of the second and every following year of the FWC, each price may be revised upwards or downwards at the request of one of the parties. A party may request a price revision in writing no later than three months before the anniversary date of entry into force of the FWC. The other party must acknowledge the request within 14 days of receipt. At the anniversary date, the contracting authority must communicate the final index for the month in which the request was received, or failing that, the last provisional index available for that month. The contractor establishes the new price on this basis and communicates it as soon as possible to the contracting authority for verification. The contracting authority purchases on the basis of the prices in force at the date on which the specific contract enters into force. The price revision is calculated using the following formula: Ir Pr = Po x ( — ) Io where: Pr = revised price; Po = price in the tender; Io = index for the month in which the FWC enters into force; Ir = index for the month in which the request to revise prices is received. European Asylum Support Office xxx.xxxx.xxxxxx.xx Tel: +000 0000 0000 xxxx@xxxx.xxxxxx.xx MTC Block A, Winemakers Wharf Valletta, MRS 1917, MALTA