Common use of Transfer of Title to Manufacturers Clause in Contracts

Transfer of Title to Manufacturers. The parties recognize that, during the processing and reprocessing of Nuclear Material before and after its utilization in the Generating Facility for the production of power, the Manufacturer performing services on the Nuclear Material may require that title thereto be transferred to such Manufacturer and/or that the Nuclear Material be commingled with other nuclear material, with an obligation for the Manufacturer, upon completion of the services, to reconvey a specified amount of nuclear material. The standard enrichment contracts of the Department of Energy contain such provisions. Therefore, the parties agree that (i) Nuclear Material may become subject to such a contract provision and that the action contemplated by such a provision may be taken, notwithstanding any provision of this Lease Agreement to the contrary, (ii) as between the Lessor and the Lessee, such Nuclear Material shall be deemed to remain leased under this Lease Agreement while title thereto is in the Manufacturer, and (iii) the nuclear material exchanged by the Manufacturer upon completion of its services shall be automatically leased under this Lease Agreement in substitution for the Nuclear Material originally delivered to the Manufacturer.

Transfer of Title to Manufacturers. The parties recognize that, during the processing and reprocessing of Nuclear Material before and after its utilization in the Generating Facility for the production of power, the Manufacturer performing services on the Nuclear Material may require that title thereto be transferred to such Manufacturer and/or that the Nuclear Material be commingled with other nuclear material, with an obligation for the Manufacturer, upon completion of the services, to reconvey a specified amount of nuclear material. The standard enrichment contracts of the Department of Energy contain such provisions. Therefore, the parties agree that (ia) Nuclear Material may become subject to such a contract provision and that the action contemplated by such a provision may be taken, notwithstanding any provision of this Lease Agreement to the contrary, (iib) as between the Lessor and the Lessee, such Nuclear Material shall be deemed to remain leased under this Lease Agreement while title thereto is in the Manufacturer, and (iiic) the nuclear material exchanged by the Manufacturer upon completion of its services shall be automatically leased under this Lease Agreement in substitution for the Nuclear Material originally delivered to the Manufacturer.