Common use of Milestone Extensions Clause in Contracts

Milestone Extensions. If, despite its diligent efforts and continued development activities, LICENSEE is unable to achieve the milestones in paragraph 5.02 above, LICENSEE may extend the deadlines for such milestones for a period of no more than eighteen (18) months by making extension fee payments of One Thousand Dollars ($1,000) per month. LICENSEE shall have the opportunity to purchase such an extension only once for any one of the above milestones, and shall be able to purchase no more than three extensions during the term of this Agreement. In order to effect such extension, LICENSEE shall provide a written request to SYSTEM identifying the length of the extension requested, and remit to SYSTEM payment of the fee for the first month of the extension no less than thirty (30) days prior to the deadline for the milestone, which if extended for more than one month, payments for the additional months of the extension shall be due thirty (30) days prior to the first day of each month of the extension.