Defective Packaging Clause Samples

The Defective Packaging clause defines the responsibilities and remedies related to packaging that fails to meet agreed standards or specifications. Typically, this clause requires the supplier to ensure that all goods are packaged adequately to prevent damage during transit and storage, and may obligate them to replace or repair items that arrive in defective packaging. Its core practical function is to allocate risk and ensure product integrity by holding the supplier accountable for packaging quality, thereby reducing disputes and losses arising from inadequate packaging.
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Defective Packaging. PCI will, at its option, either re-Package at its cost any Batch of Defective Packaging attributable to PCI Fault (and Client shall be liable to pay the Pricing for either the rejected Batch(es) or the replacement Batch(es), but not both), or credit any payments made by Client for such Batch. THE FOREGOING OBLIGATION OF PCI TO RE-PACKAGE OR CREDIT PAYMENTS MADE BY CLIENT AND REIMBURSE FOR CLIENT MATERIALS IN THE EVENT OF EXCESS LOSS UNDER SECTION 3.1 (i) SHALL BE CLIENT’S SOLE AND EXCLUSIVE REMEDY UNDER THIS AGREEMENT FOR DEFECTIVE PACKAGING AND IS IN LIEU OF ANY OTHER WARRANTY, EXPRESS OR IMPLIED.
Defective Packaging. PCI will, at the sole option of Client after good faith consultation with PCI, either re-Package at its cost any Batch of Defective Packaging attributable to PCI Fault (and Client shall be liable to pay for either the rejected Batch(es) or the replacement Batch(es), but not both), or credit any payments made by Client for such Batch. THE FOREGOING OBLIGATION OF PCI TO RE-PACKAGE (REGARDLESS OF COST) OR CREDIT PAYMENTS MADE BY CLIENT AND REIMBURSE FOR CLIENT MATERIALS IN THE EVENT OF EXCESS LOSS UNDER SECTION 3.1(i) SHALL BE CLIENT’S SOLE AND EXCLUSIVE REMEDY UNDER THIS AGREEMENT FOR DEFECTIVE PACKAGING AND IS IN LIEU OF ANY OTHER WARRANTY, EXPRESS OR IMPLIED. *** Confidential Treatment Requested
Defective Packaging. PCI will, at Zavante’s option, following good faith consultation with PCI, either re-Package at its cost (only if re-packaging is permitted under the Quality Agreement) any Batch of Defective Packaging attributable to PCI Fault (and Zavante shall be liable to pay for either the rejected Batch(es) or the replacement Batch(es), but not both), or reimburse Zavante for all payments made by Zavante for such Batch. In either case, PCI will also reimburse Zavante for the costs incurred by Zavante to provide the unrecoverable Zavante-Supplied Materials for such Batch of Defective Packaging in accordance with Section 3.1(i). EXCEPT FOR PCI’S OBLIGATIONS UNDER SECTION 9.6 OR ARTICLE 13 WITH RESPECT TO DEFECTIVE PRODUCT NOT KNOWN TO CLIENT OR THAT REASONABLY SHOULD NOT HAVE BEEN KNOWN TO CLIENT, THE FOREGOING OBLIGATION OF PCI TO RE-PACKAGE OR REIMBURSE PAYMENTS MADE BY ZAVANTE AND REIMBURSE FOR ZAVANTE-SUPPLIED MATERIALS IN THE EVENT OF EXCESS LOSS UNDER SECTION 3.1(i) SHALL BE ZAVANTE’S SOLE AND EXCLUSIVE REMEDY UNDER THIS AGREEMENT FOR DEFECTIVE PACKAGING AND IS IN LIEU OF ANY OTHER WARRANTY, EXPRESS OR IMPLIED.
Defective Packaging. In the event that defective packaging is caused by the packaging components supplied by SNFI to CPI, CPI assumes no responsibility or liability for defective packaging. In the event that defective product is caused by the process procedures utilized by CPI, CPI shall be responsible and liable for additional costs involved in re-packaging the products using acceptable packaging procedures.