Common use of Consigned Components Clause in Contracts

Consigned Components. VOLCANO reserves the right to supply through consignment, at its discretion and upon EI’s consent, any Components to EI related to the production of Product. VOLCANO will retain all rights, title, interest, and obligation (including but not limited to, warranty related issues) in the Components furnished to EI as consigned inventory. VOLCANO will retain ownership of all such Consigned Components including during the time such Components are used by EI in the manufacturing of VOLCANO’s Products. EI will manufacture the Product using its normal manufacturing practices. EI will care for VOLCANO consigned materials in the same manner as it own materials. Each party shall bear the financial loss of its materials that are yielded, consumed, or damaged during the manufacturing process at EI. EI will provide VOLCANO with inventory reports on a monthly basis or as requested for all consigned materials.