Material Procurement Clause Samples

Material Procurement. (a) Seller shall purchase materials to manufacture Products necessary to comply with its obligations to supply Products specified in Exhibit C. Seller shall use in its production of Products such parts and components of a type, quality, and grade as were used in the Products when they were initially qualified under this Agreement. Seller shall make no substitution of any components, raw materials or vendors which would affect the reliability of the Products without Buyer's written consent. In the event such substitution is requested by Seller, Seller shall provide documented evidence of the qualification of such components, raw materials or vendors in accordance with Buyer's Component Qualification Procedures identified in Exhibit K. Seller shall not use materials with date codes older than one (1) year without Buyer's consent. (b) Buyer's accepted Orders will constitute authorization for Seller to procure, using the purchasing practices set forth in this Agreement, the components, materials and supplies necessary for the manufacture of Products ("Inventory") covered by such purchase orders. ***** Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. (c) In addition, Buyer may authorize Seller to purchase, in amounts beyond the amount necessary to fill accepted Orders, the components, materials, and supplies: (i) with lead times greater than ***** days at the time the Order is placed ("Long Lead Time Components") plus ***** days to account for the order, shipment, receipt and manufacturing time and, (ii) purchased in quantities above the required amount in order to achieve price targets ("Economic Order Inventory"), and (iii) purchased in excess of requirements because of minimum lot sizes available from manufacturers ("Minimum Order Inventory"). Together these are called "Special Inventory". Seller shall notify Buyer's Purchaser Representative of its intent to Purchase Special Inventory at least ten (10) days prior to such purchase. Such notice shall contain a detailed identification of the Special Inventory to be purchased, the proposed purchase price, the vendor supplying the Special Inventory, and a reference to Buyer's obligations under this Section. During the ten day period, Buyer shall notify Seller whether or not the purchase of such Special Inventory is authorized. In the event Buyer notifies Seller that Se...

Material Procurement. Customer’s accepted purchase orders will constitute authorization for VEM to procure, using standard purchasing practices, the labor, and the “Inventory” necessary for the manufacture of Products covered by such purchase orders. The Inventory includes components, materials and supplies. In addition, Customer authorizes VEM to purchase, components, materials, and supplies: (i) with lead times exceeding the period covered by the accepted purchase orders for the Products to the extent necessary for the manufacture of additional Product covered by the Customer’s forecast (“Long Lead Time Components”) and, (ii) purchased in quantities above the required amount for purchase orders to achieve price targets (“Economic Order Inventory”), and (iii) purchased in excess of requirements for purchase orders because of minimum lot sizes available from manufacturers (“Minimum Order Inventory”). Together these are called “Special Inventory”.

Material Procurement. 13.1 Material procured by the customer, regardless of its type, shall be delivered to us free domicile in perfect condition. Receipt shall be confirmed without assumption of warranty for the correctness of the quantity and quality designated as delivered. In the case of larger items, the costs associated with the payment or weight check and the storage expenses shall be reimbursed. 13.2 The client shall bear the risk of processing the material provided by him. We shall be entitled to reject material if it appears to us from the outset to be unsuitable for the execution of the order. 13.3 In the event of employment or loss of the material provided by the customer, we shall only be liable if we or our vicarious agents have acted with intent or gross negligence. 13.4 We do not assume any warranty for spice mixtures according to recipes provided by the customer with regard to their compatibility under food law.

Material Procurement. 4.1 Solectron is authorized to purchase materials using standard purchasing practices including, but not limited to, acquisition of material recognizing Economic Order Quantities, ABC buy policy and long lead time component management in order to meet the PO and long lead time requirements of Brocade, solely in accordance with the authorization procedures set forth in Section 4.2. Brocade recognizes its financial responsibility for the material purchased by Solectron on behalf of Brocade. 4.2 Solectron will purchase specified quantities of long lead time material and Brocade unique material as authorized by Brocade in advance and in writing. Solectron will compile and maintain (and provide an updated version to Brocade on a monthly basis that reflects Brocade's current requirements) a report concerning this long lead time material which will contain: * Brocade part number * Solectron part number * Manufacturer name * Manufacturer part number * Manufacturer description * Lead time * Where used * Quantity per unit of Product * Purchase quantity authorized by Brocade * Purchase price authorized by Brocade * Extended price It is understood and agreed that if Brocade orders Solectron to stop production of Products for Brocade's convenience, prior to the consumption of all material authorized for purchase by Brocade pursuant to this Section 4.2, Brocade will purchase all material as provided in Section 4.3. It is the intention of both parties that Solectron effectively manages the long lead time and Brocade unique material inventory such that the inventory will be completely consumed by the end-of-support of the Products, and Brocade will consequently not have any such material inventory liability.

Material Procurement. Supplier is authorized to purchase materials required to provide Products ordered in writing by Netr▇; ▇▇rategic Materials as requested by Netr▇; ▇▇d long lead time materials agreed to by Netr▇ ▇▇ a Long Lead Authorization Form. The parties will work together on a best efforts basis to reduce material leadtimes. Netr▇ ▇▇▇lizes its financial responsibility for material purchased on behalf of Netr▇. ▇▇ the event of a cancellation of a Purchase Order or revision of Long Lead Authorization, or excess material created by an engineering change, or revision of Strategic Materials quantities requested by Netr▇, ▇▇tr▇ ▇▇▇ees to compensate Supplier for reasonable costs associated with the cancellation for Products and material inventory and Strategic Materials purchased per the terms of the Agreement and to fill Netr▇'▇ ▇▇▇chase orders as follows: (i) the contract price of all finished Products in Supplier's possession, (ii) the burdened cost of material inventory and/or labor whether in raw form or work in process, and not returnable to the vendor or usable for other customers, (iii) the burdened cost of material on order which cannot be canceled, and (iv) any actual vendor cancellation charges incurred with respect to material re-allocation, customer cancellations or returns to the vendor. Supplier shall undertake best efforts to cancel all applicable component purchase orders and reduce component inventory through return for credit programs or allocate components for alternate programs if applicable. Netr▇ ▇▇▇l pay the mutually agreed upon cancellation charges, if any, within thirty (30) days of receipt of invoice. Netr▇ ▇▇▇ll have the right to any or all material received by or paid for by Netr▇ ▇▇▇er this clause.

Material Procurement. The Trade Contractor will order and procure materials as required to maintain the Project schedule. If alternate materials are requested by the Authority or Team, Trade Contractor will advise of any alleged time impacts.

Material Procurement. EI is authorized to purchase Components pursuant to Orders for Products. VOLCANO shall submit Orders on a quarterly basis. EI will follow prudent procurement practices to ensure supply while minimizing total inventory exposure. VOLCANO may provide input to EI regarding prudent supply chain practices, and EI will in good faith take such input into account. “Prudent Procurement Practices” are hereby defined to include, but are not limited to, the following:

Material Procurement. The material procurement undertaking, pursuant to this Agreement, will be carried-out by the Contractor. 6.1 Contractor is authorized to purchase materials using standard purchasing practices including, but not limited to acquisition of materials recognizing Economic Order Quantity, ABC buy policy and long lead time components management, in order to meet the requirements of Customer’s orders and forecasts.

Material Procurement. Purchase orders issued by Handspring or its' designated 3rd party distribution partners in conformance to this Agreement will constitute authorization for Flextronics to procure, using standard purchasing practices, the components, subassemblies, materials and supplies necessary for the manufacture of Products ("Inventory") covered by such purchase orders.