Common use of Component Sourcing Clause in Contracts

Component Sourcing. Celltech shall be permitted at any time during the Term on sixty (60) days prior written notice to Orphan Medical to cease purchasing some or all Components from Orphan Medical and purchase some or all of the Components directly from Orphan Medical's suppliers or qualify another Third Party(ies) to supply Components; provided that, subject to Sections 7.7 and 7.12, Celltech must purchase all Components delivered by Orphan Medical pursuant to a firm order regardless of whether such delivery is made after Celltech delivers notice to Orphan Medical of its intent to purchase the Components from Orphan Medical's suppliers or another Third Party(ies). Celltech shall bear any and all costs associated with qualifying any Third Party(ies) to supply Components pursuant to this Section 2.1(d); provided that if Orphan Medical desires to purchase the same Components from such Third Party(ies) as Celltech is purchasing, then Orphan Medical and Celltech shall each bear fifty percent (50%) of any such costs.

Appears in 3 contracts

Samples: License and Distribution Agreement (Orphan Medical Inc), Quality Agreement (Orphan Medical Inc), License and Distribution Agreement (Orphan Medical Inc)

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Component Sourcing. Celltech shall be permitted at any time during the Term on sixty (60) days prior written notice to Orphan Medical to cease purchasing some or all Components from Orphan Medical and purchase some or all of the Components directly from Orphan Medical's ’s suppliers or qualify another Third Party(ies) to supply Components; provided that, subject to Sections 7.7 and 7.12, Celltech must purchase all Components delivered by Orphan Medical pursuant to a firm order regardless of whether such delivery is made after Celltech delivers notice to Orphan Medical of its intent to purchase the Components from Orphan Medical's ’s suppliers or another Third Party(ies). Celltech shall bear any and all costs associated with qualifying any Third Party(ies) to supply Components pursuant to this Section 2.1(d); provided that if Orphan Medical desires to purchase the same Components from such Third Party(ies) as Celltech is purchasing, then Orphan Medical and Celltech shall each bear fifty percent (50%) of any such costs.

Appears in 2 contracts

Samples: License and Distribution Agreement (Celltech Group PLC), License and Distribution Agreement (Orphan Medical Inc)

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