Common use of Products and Distribution Clause in Contracts

Products and Distribution. (a) The Litronic Disclosure Schedule sets forth, for each Litronic Product (as defined below), the following: (i) a list of all material contracts and agreements (including without limitation all material development, trademark license, technology license, distribution or other agreements) relating to the Litronic Product (provided, however, that with respect to distribution agreements, clause (iv) shall apply); (ii) whether the Litronic Product has been developed internally (i.e., substantially entirely by employees of Litronic or any of the Litronic Subsidiaries) or externally (i.e., including substantive contributions by one or more independent contractors to Litronic or any of the Litronic Subsidiaries) and, if externally, the Litronic Disclosure Schedule sets forth the identity of the significant independent contractors and a list of the material agreements with those independent contractors; (iii) the material advances paid or payable, and the material royalties payable, to any third parties with respect to that Litronic Product; and (iv) a copy of Litronic's standard distribution agreement used with respect to that Litronic Product together with a description of the territories in which Litronic or any of the Litronic Subsidiaries have granted distribution rights with respect to that Litronic Product.