Common use of Records and Audit Right Clause in Contracts

Records and Audit Right. 16.1 Buyer shall have the right to examine and audit the books, records and documents of the Supplier at any reasonable time. Such documents include, but are not limited to, financial documents, written policy guidelines and procedures, original price lists, work lists, correspondence, change order files, and all other supporting evidence necessary for documenting actual or compensable costs in conjunction with the Order (all of the above to be referred to hereinafter as: “Documents”). 16.2 For the purposes of such audits, inspections, investigations and evaluations, the Buyer will have access to the Documents and such books and records will be maintained for five (5) years in accordance with generally accepted accounting principles and will be adequate to enable determination and substantiation of: (1) the accuracy of any payments required to be made under the relevant Order; and (2) compliance with the provisions of the relevant Order.