Common use of Meet or Release Clause in Contracts

Meet or Release. If at any time during the period of this Agreement Buyer can purchase commodity of like quality at a price which will result in a delivered cost to Buyer that is lower than the delivered cost of the material purchased hereunder, Buyer may notify Seller of such delivered cost and Seller shall have an opportunity of pricing material hereunder, within a reasonable time, but not more than 90 days, on such a basis as to result in the same delivered cost to Buyer. If Seller fails to do so or cannot legally do so, Buyer may purchase from the supplier of the lower delivered cost material, and any purchase made shall be held to apply on this Agreement, and the obligation of Buyer and Seller shall be reduced accordingly.