Common use of Exclusivity Minimum Clause in Contracts

Exclusivity Minimum. The exclusive marketing rights and ownership rights in the Product and the intellectual property related to the Product granted to DRG shall remain exclusive for fourteen months from the first air date of the final version of the Infomercial (“Initial Term of Exclusivity”). Thereafter, the exclusivity rights granted to DRG hereunder shall continue if DRG sells a minimum of Fifty Thousand (50,000) Basic Units per year (the “Exclusivity Minimum”). At the time that DRG has achieved the Fifty percent (50%) Ownership Interest as set forth in Section 5.2, DRG’s exclusivity rights shall become permanent. If DRG fails to sell the Exclusivity Minimum to retain the rights granted by Owner under this Agreement, then upon written notice to DRG from Owner, DRG’s ownership interest in the intellectual property rights to the Product and Patent shall terminate and revert to Owner; and DRG’s marketing rights hereunder shall become non-exclusive for the duration of the Term, excepting that for the balance of the Term DRG shall retain the right to exclusively market to domestic consumers and accounts then existing and to internationally market in those countries where it has established a successful market for the Product.