Common use of Failure to Meet Quality Specifications Clause in Contracts

Failure to Meet Quality Specifications. In the event any substance delivered hereunder to Buyer fails to meet the Quality Specifications, Buyer shall have the right to waive such failure, either by written notice to Seller, or by continuing to accept and receive such substance. However, Buyer, shall also have the right to refuse to accept such substance, in whole or part, and may require Seller to immediately cease or reduce deliveries of such substance to Buyer hereunder. Buyer, subject to the provisions hereof, shall have no obligation to receive or purchase any volumes of substance which fail to meet Quality Specifications at the Delivery Point under this Contract. If Seller has so reduced or ceased deliveries hereunder, then Seller may elect, after written notice from Buyer as provided above, to remedy the cause of such failure and, if Seller so elects, Seller shall proceed with all due diligence, to timely effect such remedy. Notwithstanding anything herein to the contrary, if Seller does not satisfactorily remedy such defect in ninety (90) Days after written notice to Seller of any failure of the substance to meet Quality Specifications, the Buyer, by written notice to Seller, may cancel this Contract. As to such cancellation, the respective duties and obligations of Seller and Buyer hereunder shall terminate without further duties, obligations and liabilities to either party, subject to settlement of previously incurred duties, obligations and liabilities.

Appears in 3 contracts

Samples: Product Sale and Purchase Contract (Resolute Energy Corp), Product Sale and Purchase Contract (Resolute Energy Partners, LP), Product Sale and Purchase Contract (Resolute Energy Corp)

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Failure to Meet Quality Specifications. In the event any substance Volumes delivered hereunder to Buyer fails fail to meet the Quality Specifications, Buyer shall have the right to waive such failure, either failure by written notice to Seller, or by continuing Seller and to continue to accept and receive such substanceVolumes. However, Buyer, Buyer shall also have the right to refuse to accept such substance, Volume in whole or part, at any time including after a waiver of such failure in accordance with the prior sentence, and may require Seller to immediately cease or reduce deliveries of such substance Volume to Buyer hereunder. Buyer, subject Subject to the provisions hereof, Buyer shall have no obligation to receive or purchase any volumes of substance which fail to meet Quality Specifications at the Delivery Point under this Contract. If Seller has so reduced or ceased deliveries hereunder, then Seller may elect, after written notice from Buyer as provided above, to remedy the cause of such failure and, if Seller so elects, Seller shall proceed with all due diligence, to timely effect such remedy. Notwithstanding anything herein to the contrary, if Seller does not satisfactorily remedy such defect in within ninety (90) Days after written notice to Seller of any failure of the substance to meet Quality Specifications, the Buyer, Buyer may cancel this Contract by written notice to Seller, may cancel this Contract. As to such cancellation, the respective duties and obligations of Seller and Buyer hereunder shall terminate without further duties, obligations obligations, and liabilities to either party, subject to settlement of previously incurred duties, obligations and liabilities. The cancellation of this Contract as herein provided shall not serve to alter Buyer’s obligations to pay for Product received. Any such termination shall be without waiver of any remedy to which the party not in default may be entitled for violation of this Contract.

Appears in 1 contract

Samples: Purchase Contract (Rancher Energy Corp.)

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