Common use of SHORTAGE OF MATERIALS AND SUPPLIES Clause in Contracts

SHORTAGE OF MATERIALS AND SUPPLIES. If the Supplier becomes aware of shortages of materials or other supplies endangering the supply of Products in the quantities and on the dates specified in any accepted (or deemed accepted) delivery schedule issued by the Recipient due to a Force Majeure Event or other event outside of the Supplier’s reasonable control, the Supplier shall: (a) inform the Recipient about such circumstances without undue delay; and (b) notwithstanding any other remedy the Recipient may have under this Agreement, allocate available materials and supplies to the Recipient and its other (internal and external) customers in a non-discriminatory (“fair share”) way according to historic purchasing volumes (or – where historic purchasing volumes are not available – according to allocation principles applicable within BorgWarner group before the Effective Date; and provided that the allocation principles applied to the Recipient at any time under this Article V shall in no case be less favorable than the allocation principles applied to the relevant part of the business of BorgWarner group before the Effective Date).

Appears in 6 contracts

Samples: Supply Agreement (Phinia Inc.), Supply Agreement (Phinia Inc.), Supply Agreement (Phinia Inc.)

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SHORTAGE OF MATERIALS AND SUPPLIES. If the Supplier becomes aware of shortages of materials or other supplies endangering the supply of Products in the quantities and on the dates specified in any accepted (or deemed accepted) delivery schedule issued by the Recipient due to a Force Majeure Event or other event outside of the Supplier’s reasonable control), the Supplier shall: (a) inform the Recipient about such circumstances without undue delay; and (b) notwithstanding any other remedy the Recipient may have under this Agreement, allocate available materials and supplies to the Recipient and its other (internal and external) customers in a non-discriminatory (“fair share”) way according to historic purchasing volumes (or – where historic purchasing volumes are not available – according to allocation principles applicable within BorgWarner group before the Effective Date; and provided that the allocation principles applied to the Recipient at any time under this Article V VII shall in no case be less favorable than the allocation principles applied to the relevant part of the business of BorgWarner group SpinCo Business before the Effective Date).

Appears in 4 contracts

Samples: Contract Manufacturing Agreement (Phinia Inc.), Contract Manufacturing Agreement (Phinia Inc.), Contract Manufacturing Agreement (Phinia Inc.)

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SHORTAGE OF MATERIALS AND SUPPLIES. If the Supplier becomes aware of shortages of materials or other supplies endangering the supply of Products in the quantities and on the dates specified in any accepted (or deemed accepted) delivery schedule issued by the Recipient due to a Force Majeure Event or other event outside of the Supplier’s reasonable control, the Supplier shall: (a) inform the Recipient about such circumstances without undue delay; and (b) notwithstanding any other remedy the Recipient may have under this Agreement, allocate available materials and supplies to the Recipient and its other (internal and external) customers in a non-discriminatory (“fair share”) way according to historic purchasing volumes (or – where historic purchasing volumes are not available – according to allocation principles applicable within BorgWarner group before the Effective Date; and provided that the allocation principles applied to the Recipient at any time under this Article V shall in no case be less favorable than the allocation principles applied to the relevant part of the [SpinCo Business] / [business of BorgWarner group group] before the Effective Date).

Appears in 1 contract

Samples: Supply Agreement (Phinia Inc.)

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