Common use of Buffer Clause in Contracts

Buffer. (a) Off-site Buffer. Tandberg will maintain, in stock at its facilities, a number of Tandberg TC 2000 buffer units ("Buffer Units") which, in the event of at Avistar's urgent request for advance replacement of failed Tandberg TC 2000 units *, and shall be adjusted, if necessary, based on Avistar's installed base and the reported failure rates. Avistar shall not pay for such Buffer Units provided Avistar shall, *, return the failed units to Tandberg in exchange for the Buffer Units. Tandberg's obligation to provide Avistar with such Advance Replacement units shall not exceed a maximum of * units simultaneously, except where, Tandberg at its sole discretion wishes to do so. * Confidential portions omitted pursuant to a confidential treatment request and filed separately with the Securities and Exchange Commission.

Appears in 2 contracts

Sources: Preferred Supplier Agreement (Avistar Communications Corp), Preferred Supplier Agreement (Avistar Communications Corp)