Common use of Tiered Volume Commitment Clause in Contracts

Tiered Volume Commitment. Customer agrees to pay Verizon the amount of Eligible Charges in each Contract Year that is no less than the Tiered Volume Commitment identified in the Agreement, for the number of Contract Years/Volume Commitment Period identified in that Agreement. If the Agreement does not identify a Tiered Volume Commitment or number of Contract Years/Volume Commitment Period, then the applicable number is zero. If, in any Contract Year, Customer's Eligible Charges are less than the Tiered Volume Commitment, then Customer will pay: (a) all accrued but unpaid charges incurred by Customer; and (b) an underutilization charge (which Customer hereby agrees is reasonable) equal to 75% of the difference between Customer's Eligible Charges during such Contract Year and the Tiered Volume Commitment.

Tiered Volume Commitment. Customer agrees to pay Verizon the amount of Eligible Charges in each Contract Year that is no less than the Tiered Volume Commitment identified in the its Agreement, for the number of Contract Years/Volume Commitment Period identified in that the Agreement. If the Agreement Contract does not identify a Tiered Volume Commitment or number of Contract Years/Volume Commitment Period, then the applicable number is zero. If, in any Contract Year, Customer's Eligible Charges are less than the Tiered Volume Commitment, then Customer will shall pay: (a1) all accrued but unpaid charges incurred by Customer; and (b2) an underutilization charge (which Customer hereby agrees is reasonable) equal to 75% of the difference between Customer's Eligible Charges during such Contract Year and the Tiered Volume Commitment.