Special Tooling Clause Samples

The Special Tooling clause defines the ownership, use, and handling of unique tools, dies, molds, or equipment that are specifically designed or acquired for manufacturing goods under a contract. Typically, this clause outlines whether the buyer or seller retains ownership of such tooling, who is responsible for its maintenance, and what happens to the tooling upon contract completion or termination. For example, it may require the supplier to use the tooling exclusively for the buyer’s products and to return or dispose of it as directed. The core function of this clause is to clarify rights and responsibilities regarding specialized production assets, thereby preventing disputes over ownership and use after the contract ends.
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Special Tooling. To the extent that Seller, including any subcontractor thereof, uses special tooling, either furnished to or acquired by Seller under this Contract, in the performance of this Contract, Seller shall manage such tooling in accordance with clause E223, which is incorporated by reference into this Contract.
Special Tooling. If the Agreement includes special tooling, payment of Seller’s invoices for said special tooling is contingent upon Buyer’s inspection, testing and acceptance the first piece produced by the special tooling.
Special Tooling. If special tooling used in the performance of this purchase order has been charged to this order, or to this order and other orders placed by the Buyer, title to such special tooling shall vest in the Buyer, at the option of the Buyer. Such tooling is to be used only in the performance of such Purchase Orders unless otherwise approved by Buyer. The Seller agrees that it will follow normal industrial practice in the identification and maintenance of property control records on all such tooling, and will make such records available for inspection by the Buyer at all reasonable times. After the termination or completion of such Order(s) and upon the request of the Buyer, the Seller shall furnish a list of such tooling in the form requested and shall make such tooling available for disposition by the Buyer.
Special Tooling. If special tooling used in the performance of an order has been charged to an order, or to an order and other orders placed by this Buyer, title to such special tooling shall vest in the Buyer, at the option of the Buyer. Such tooling is to be used only in the performance of such Purchase Orders unless otherwise approved by the Buyer. The Seller agrees that it will follow normal industrial practice in the identification and maintenance of the property control records on all such tooling and will make such records available for inspection by the Buyer or the Government at all reasonable times. After the termination or completion of such order(s) and upon the request of the Buyer, the Seller shall furnish a list of such tooling in the form requested and shall make such tooling available for disposition by the Buyer. Seller shall provide Buyer with written notice, at least sixty (60) days in advance, of Seller's intention to acquire or fabricate special test equipment in support of the requirements under this Purchase Order. If property/material is provided for use on this Purchase Order (or charged to a cost reimbursement or time and materials order), Seller shall maintain and administer, in accordance with FAR part 45.5, a program for the utilization, maintenance, protection, preservation and accountability of such property/material, and Seller shall comply with all applicable provisions of FAR part 45 regarding the use, control, and responsibility for such Government property.
Special Tooling. Special Tooling" shall mean all special tools, tooling, tooling aids, jigs, dies, special dies, molds, fixtures, drawings, designs, patterns and similar items acquired or utilized by Seller to produce any materials for Buyer. All Special Tooling and any other property that is paid for by Buyer or its customer and/or furnished to Seller by Buyer or its customer and/or made available to Seller by Buyer or its customer ("Buyer Provided Special Tooling") is and shall remain the property of Buyer or its customer. Buyer shall also have the right (at its option) to purchase at cost at any time all Special Tooling that does not qualify as Buyer Provided Special Tooling ("Other Special Tooling"), and upon Buyer electing or agreeing to purchase any Other Special Tooling, such Other Special Tooling shall become Buyer Provided Special Tooling. Buyer may condition its purchase of Other Special Tooling upon Buyer accepting, as conforming to requirements hereunder, the first run of parts made by the use thereof and until Seller has furnished to Buyer an itemized list of such Other Special Tooling and such records as may be necessary to enable Buyer to audit the cost thereof. Seller shall (i) be responsible for all losses or damages to Special Tooling while in its possession, and insure all Special Tooling against loss or destruction, in an amount equal to the full replacement cost thereof, at all times while in Seller's possession; (ii) mark and number all Special Tooling to correspond to the number of the part made by use thereof; (iii) keep all Special Tooling in good working order, and to the extent necessary repair and/or replace such Special Tooling; (iv) not modify any Special Tooling in any way without Buyer prior written consent; (v) use Special Tooling exclusively for the production of material for Buyer hereunder at no cost to Buyer; (vi) keep such Special Tooling free from security interests or other liens and encumbrances; (vii) cause all Buyer Provided Special Tooling to remain and be conspicuously identified as Buyer's property, and cause all Special Tooling to be segregated from the property of Seller and others; (viii) ensure that no Special Tooling is moved to a different location without Buyer's prior written consent (ix) cause all Special Tooling to be subject to inspection and removal by Buyer at any time and for any reason whatsoever. Seller acknowledges that its failure to return the Special Tooling and parts to Buyer on demand shall cause Buyer to ...
Special Tooling. Special Tooling includes but is not limited to tooling, jigs, fixtures and associated manufacturing equipment acquired or necessary to manufacture Products. A tooling charge may be imposed for any Special Tooling. Such Special Tooling shall be and remain Seller's property notwithstanding payment of any charges by ▇▇▇▇▇. In no event will Buyer acquire any interest in Special Tooling belonging to Seller that is utilized in the manufacture of the Products, even if such Special Tooling has been specially converted or adapted for such manufacture and notwithstanding any charges paid by Buyer. Unless otherwise agreed, Seller has the right to alter, discard or otherwise dispose of any Special Tooling or other property in its sole discretion at any time.
Special Tooling. Seller at its own expense shall furnish, keep in good condition, and replace when necessary, all dies, tools, gauges, fixtures and patterns necessary for the production of any products ordered hereunder. Buyer may, at its option take possession of, and title to, any dies, tools, gauges, fixtures and patterns that are special to the production of products ordered hereunder, and shall pay to Seller the unamortized cost thereof; provided, however, that this option to purchase shall not apply where Seller is producing with the tooling a substantial quality of like products for sale to others.
Special Tooling. A charge may be made for the design and manufacture of any tools specially bought or made for the purpose of the contract. Such tools shall, despite such payment, remain the property of the Seller, who may dispose of them if they have not been used for 2 years.
Special Tooling. (a) Unless otherwise herein agreed, special tools, dies, jigs, fixtures and patterns (“Special Tooling”) used in the manufacture of said articles shall be furnished by and at the expense of Seller, shall be kept in good condition and, when necessary, shall be replaced by Seller without expense to Buyer. Buyer may at any time reimburse Seller for the cost of the special tooling and replacements and become the owner and entitled to the possession of same; (b) If the price stated on the face hereof includes separately the cost of any special tooling fabricated or acquired by Seller for the specific purpose of filing this order, such special tooling shall become the property of Buyer and, to the extent feasible, shall be properly identified by Seller as such. Seller shall at its own expense maintain such special tooling in proper working conditions during the period it is required for the performance of this order. When this order has been completed, such special tooling shall be disposed of as Buyer may direct.
Special Tooling. Any tooling charge listed separately represents the total cost of special tooling required to produce the Goods ordered. Special tooling shall be and remain the property of Seller, but for a reasonable period shall be maintained in good condition for use without additional charge in connection with subsequent orders by Buyer to Seller for similar goods.