DELIVERY CAP Clause Samples

A Delivery Cap clause sets a maximum limit on the quantity or value of goods or services that a supplier is obligated to deliver under a contract. In practice, this means that once the specified cap is reached, the supplier is not required to provide additional deliveries, regardless of further demand or requests from the buyer. This clause is commonly used to manage supply risk and prevent over-commitment by the supplier, ensuring that both parties have clear expectations regarding the maximum extent of the supplier's obligations.
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DELIVERY CAP. (a) During each Delivery Period Hauler shall deliver, without penalty or additional cost, the Committed Solid Waste and Committed Recyclables as defined and described in this Agreement and Exhibit B. (b) Subject to the available processing capacity of the Connecticut Solid Waste System and the terms of this section and Section 3 below, the Authority is further willing to accept delivery of the Scheduled Solid Waste and Scheduled Recyclables quantified above in this Exhibit A. Provided the Authority has not declared the processing capacity of the Facility, Transfer Station(s) or Recycling Facility to be impaired, the Authority will accept such deliveries of Scheduled Solid Waste and Scheduled Recyclables without penalty or additional cost. However, the Authority, in its sole judgment, may declare the Facility, Transfer Station(s) or Recycling Facility to be impaired for any operational constraint that limits such facility’s processing capacity and / or causes the Authority to divert Acceptable Solid Waste or Acceptable Recyclables to alternate disposal facilities (“Operational Constraint”). An “Operational Constraint” may include but is not limited to any planned or unplanned Facility, Transfer Station(s) or Recycling Facility shutdown, or outage for major maintenance and/or repair of the Facility, Transfer Station(s) or Recycling Facility, including any component equipment, system or infrastructure, including, but not limited to, boilers, turbines, bag houses, conveyors, sorters, balers, buildings and pavements, rolling stock and other equipment, any drought, flood, earthquake, storm, fire, lightning, explosion, epidemic, war, act of terrorism, civil disturbances, sabotage, work stoppages (e.g., strikes, etc.), power outage, accident, equipment breakdown, financial constraint, unavailability of support services, materials or replacement equipment, restraint by court order or regulatory authority, risk management or anything else in the Authority’s sole judgment that materially affects the Authority’s processing capacity at any of its facilities. Hauler acknowledges that the Authority may declare any maintenance, repair or other work undertaken or not undertaken in furtherance of the planned conversion of the Facility to transfer operations effective July 1, 2022 to be an Operational Constraint. At its discretion, the Authority may endeavor to overcome any Operational Constraint in a manner that does not conflict with such conversion plan and / or secure al...
DELIVERY CAP. During each Delivery Period Hauler may deliver, without penalty or additional cost, Acceptable Solid Waste in excess of the Scheduled Deliveries up to the delivery cap ( the “Delivery Cap”), as presented in Table 1 above.