Common use of EPIDEMIC DEFECT Clause in Contracts

EPIDEMIC DEFECT. If more than [***] of the aggregate of any Product delivered to LGIT during any thirty (30) days period fails to meet any of the Product warranties given in Article 7.2(a), as measured in accordance with LGIT’s testing and evaluation processes (“Epidemic Defect”), the Seller and LGIT shall immediately cooperate to find appropriate countermeasures, and, LGIT may, at its sole option, in addition to and without any other rights or remedies that it may have at law or in equity, or pursuant to this Agreement, take any or all of the following action: (i) cancel or suspend any outstanding Contract for the affected Products; and (ii) return all affected Products, including any Products purchased hereunder that are compatible with or used in connection with the defective Products, and to the extent LGIT has paid the Seller for the returned Products, the Seller shall reimburse LGIT the price paid with interest and return costs for the Products, which shall be payable by the Seller within twenty (20) days after the receipt of the returned Products. In the event LGIT elects to cancel or suspend any Contract in accordance with this Article, and afterwards LGIT wishes to reinstate such Contract, then such Contract shall be automatically reinstated in accordance with the original terms and conditions of such Contract (including, without limitation, the applicable schedule but taking into consideration the period of time that such orders or deliveries were suspended) upon a written notice from LGIT to the Seller. * [***]: Certain information in this document has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions.

EPIDEMIC DEFECT. If more than [***] of the aggregate of any Product delivered to LGIT [***] during any thirty (30) days period fails to meet any of the Product warranties given in Article 7.2(a), as measured in accordance with LGIT’s [***] testing and evaluation processes (“Epidemic Defect”), the Seller and LGIT [***] shall immediately cooperate to find appropriate countermeasures, and, LGIT [***] may, at its sole option, in addition to and without any other rights or remedies that it may have at law or in equity, or pursuant to this Agreement, take any or all of the following action: (i) cancel or suspend any outstanding Contract for the affected Products; and (ii) return all affected Products, including any Products purchased hereunder that are compatible with or used in connection with the defective Products, and to the extent LGIT [***] has paid the Seller for the returned Products, the Seller shall reimburse LGIT [***] the price paid with interest and return costs for the Products, which shall be payable by the Seller within twenty (20) days after the receipt of the returned Products. In the event LGIT [***] elects to cancel or suspend any Contract in accordance with this Article, and afterwards LGIT [***] wishes to reinstate such Contract, then such Contract shall be automatically reinstated in accordance with the original terms and conditions of such Contract (including, without limitation, the applicable schedule but taking into consideration the period of time that such orders or deliveries were suspended) upon a written notice from LGIT [***] to the Seller. * [***]: Certain information in this document has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions.