Supply Allocation Clause Samples
The Supply Allocation clause defines how available goods or resources are distributed among parties, especially when supply is limited. It typically outlines the criteria or priorities for allocation, such as proportional distribution based on order size or customer importance, and may specify procedures for notifying affected parties. This clause ensures fairness and transparency in situations where demand exceeds supply, helping to manage expectations and reduce disputes over shortages.
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Supply Allocation. (a) Prior to the occurrence of a Capacity Increase Notice (as defined below), Acusphere agrees to supply Nycomed with all its Binding Purchase Orders for Product, up to the amount set forth in the Updated Unit Forecast. If Nycomed has submitted Binding Purchase Orders in excess of the amount set forth in the Updated Unit Forecast, Acusphere shall use all commercially reasonable efforts to fill those orders.
(b) After the occurrence of a Capacity Increase Notice:
Supply Allocation. The JMC shall, on an ongoing basis, assess demand based on the Baxalta Master Production Schedule (a document prepared by Baxalta with respect to Manufactured Product production,) based upon forecasted demand from the Parties for clinical and commercial needs, and propose allocation of production between or among **, any other CMOs engaged by CTI, on the one hand, and Independent Suppliers, on the other hand. In connection with the foregoing, the JMC shall evaluate production of those suppliers using the performance parameters of cost per unit (as defined below) of Manufactured Product and lead time. Each Party shall have the right to allocate up to fifty percent (50%) of the demand of drug substance per forecast to the CMOs engaged by such Party; provided, however, if either Party is unwilling or unable to supply drug substance through its CMOs in accordance with forecasted demand, the other Party may increase allocation beyond the fifty percent (50%) in order to supply the forecasted demand gap.
Supply Allocation. At any time following Launch in more than one Country, in the event that (a) the GCC and MSC agree that the availability of the Product shall be insufficient whether due to a shortage of Intermediate, or the Compound or otherwise, to meet the forecasted need for Product for the following Calendar Quarter as determined by the CCCs and aggregated by the GCC, or (b) availability of Product is in fact insufficient to fill orders on an ongoing basis, then the GCC and MSC shall confer to resolve such insufficiency. In the event the GCC and MSC cannot resolve such insufficiency, then (i) there shall be no further Launches of Product in any Country until the insufficiency is eliminated, (ii) to the extent the insufficiency continues, then all safety stock and sampling in any Country where the Product is sold will be utilized in sales in such Country, and (iii) to the extent the insufficiency still continues, then unless otherwise agreed, the available Product shall be allocated to the Countries where the Product is sold in proportion with the then-current forecasted sales for the Product in each such Country.
Supply Allocation. To the extent M or an Affiliate of M is responsible for the distribution and supply of Cholesterol Products in countries in the EMEA or ▇▇▇▇ (other than in ▇▇▇▇ Co-Marketing Countries, and Far East Single Presence Countries where S-P has been deemed to have the single presence), each of M and its Affiliates will use commercially reasonable efforts to ensure that the methods used to allocate the supply of Cholesterol Products are the same as the methods used to allocate the supply of other pharmaceutical products supplied by M or its Affiliates in connection with other business in the relevant territory.
Supply Allocation. In the event of a shortage of Product and/or CMV during the Term, Digene shall allocate Product and CMV in a reasonable manner so as to support Abbo▇▇ ▇▇▇ its Affiliates as a supplier of Products and CMV, and at a minimum, Digene shall allocate its manufacturing capability on a unit basis such that Abbo▇▇ ▇▇▇ its Affiliates receive the same percentage of Digene's total output of Products and CMV as Abbo▇▇ ▇▇▇ its Affiliates received on average during the most recent six (6) months prior to the shortage.
Supply Allocation. 44 5.7 Ordering Processing..............................................44 THIS EXHIBIT HAS BEEN REDACTED AND IS THE SUBJECT OF A CONFIDENTIAL TREATMENT REQUEST. REDACTED MATERIAL IS MARKED WITH "*" AND BRACKETS AND HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
Supply Allocation. If Supplier is aware of or anticipates any shortage of supply that is caused by forces beyond Supplier’s reasonable control, Supplier shall allocate available quantities of product among its customers (including Purchaser) in a fair and commercially reasonable manner, wherein Supplier will give Purchaser preference over Supplier’s other customers except for where the DLA or other governmental defense customer demand might take precedence as required by law, regulation, or contract. Supplier shall promptly notify Purchaser of such shortage and its estimated duration. During any such shortage, the parties shall cooperate in good faith to establish a revised delivery schedule. If any material shortage continues for a period of more than 60 days after Purchaser's receipt of notice of the shortage, Purchaser shall have the right to immediately terminate this Agreement upon written notice to Supplier. Supplier shall not be liable for any failure or delay in delivery due to acts of God; flood, fire, earthquake, or other natural disaster; explosions; epidemics; war, invasion, terrorist threats or acts, riots, or other civil unrest; unforeseeable government order, law or action; or other causes beyond its reasonable control and without its fault or negligence (“Force Majeure Event”); provided that (i) Supplier gives reasonably prompt notice to Purchaser of such Force Majeure Event, and (ii) Supplier uses reasonably diligent efforts to mitigate the effects of such Force Majeure Event. Purchaser may terminate this Agreement upon notice to Supplier if Supplier’s failure or delay due to a Force Majeure Event continues for a period of 60 days or longer after the commencement of the Force Majeure Event.
Supply Allocation. In the event of a shortage of i-STAT Product during the portion of the Term in which Abbo▇▇ ▇▇ a co-exclusive distributor of i-STAT Product, i-STAT shall allocate i-STAT Product in a reasonable manner so as to support Abbo▇▇ ▇▇▇ its Affiliates as a supplier of i-STAT Products, and at a minimum, i-STAT shall allocate its manufacturing capability on a unit basis so that Abbo▇▇ ▇▇▇ its Affiliates receive the same percentage of i-STAT's total output of i-STAT Products as Abbo▇▇ ▇▇▇ its Affiliates received on average during the most recent six (6) months prior to the shortage.
Supply Allocation. In the event of Comar’s inability for any reason to supply the total demands for the goods specified in an accepted purchase order, Comar may allocate its available supply among any or all customers, as well as departments and divisions of Comar, on such basis as Comar may deem commercially reasonable and practical, without liability to Customer for any failure of performance that may result therefrom.
Supply Allocation. Seller will not be required to sell a greater quantity of Goods than it has available or has allocated for the Agreement. If Seller is unable to supply ▇▇▇▇▇’s total demands for the Goods, ▇▇▇▇▇ agrees that Seller may allocate its available supply among itself, Buyer, and other customers in any manner Seller, in its sole discretion, deems fair and equitable to all parties. ▇▇▇▇▇▇ IS NEITHER OBLIGATED UNDER ANY CIRCUMSTANCES TO PURCHASE GOODS FROM OTHERS TO MEET ▇▇▇▇▇’S DEMANDS, NOR IS IT LIABLE FOR ANY DAMAGES OR CLAIMS ARISING THEREFROM.