Common use of Royalty Reduction for Generic Competition Clause in Contracts

Royalty Reduction for Generic Competition. If, on a Shared Product-by-Shared Product, country-by-country and Calendar Quarter-by-Calendar Quarter basis, (i) A Generic Product(s) has a market share of greater than [***] percent ([***]%) but less than or equal to [***] percent ([***]%); or (ii) A Generic Product(s) has a market share of more than [***] percent ([***]%); then, subject to Section 9.4, the royalties payable with respect to Annual Net Sales of such Shared Product pursuant to Section 9.3(a) in such country during such Calendar Quarter shall be reduced by [***] percent ([***]%) if subsection (i) applies and [***] percent ([***]%) if subsection (ii) applies, respectively, of the royalties otherwise payable pursuant to Section 9.3(a). Market share shall be based on the aggregate market in such country of such Shared Product and all applicable Generic Products (based on sales of units of such Shared Product and such Generic Product(s) in the aggregate, as reported by IMS International, or if such data are not available, such other reliable data source as reasonably agreed by the Parties).

Royalty Reduction for Generic Competition. If, on a Shared Product-by-Shared Product, country-by-country and Calendar Quarter-by-Calendar Quarter basis, (i) A Generic Product(s) has a market share of greater than [***] percent ([***]%) but less than or equal to [***] percent ([***]%); or (ii) A Generic Product(s) has a market share of more than [***] percent ([***]%); then, subject to Section 9.49.4(f), the royalties payable with respect to Annual Net Sales of such Shared Product pursuant to Section 9.3(a9.4(a) in such country during such Calendar Quarter shall be reduced by [***] percent ([***]%) if subsection (i) applies and [***] percent ([***]%) if subsection (ii) applies, respectively, of the royalties otherwise payable pursuant to Section 9.3(a9.4(a). Market share shall be based on the aggregate market in such country of such Shared Product and all applicable Generic Products (based on sales of units of such Shared Product and such Generic Product(s) in the aggregate, as reported by IMS International, or if such data are not available, such other reliable data source as reasonably agreed by the Parties).