Order Shortfall Payment Sample Clauses
Order Shortfall Payment. Subject to subsection 4.1.3 below, if Customer fails to meet its Purchase Commitment for any calendar quarter, Customer will pay to GF an amount that is equal to [***] (the “Order Shortfall Fee”). Any Order Shortfall Fee will be applied against the Prepayment. Order Shortfall Fees incurred during a calendar year, if any, shall be summed at the end of a calendar year and invoiced in the first quarter of the next year. If there is no Prepayment Credit due by GF in said quarter, GF will issue to Customer an invoice for the Order Shortfall Fee, to be paid by Customer within thirty (30) days of the invoice date.
Order Shortfall Payment. If Customer fails to purchase at least [***] percent ([***]%) of its Purchase Commitment for any calendar year set forth in the Commit Table, Customer will pay to GF an amount equal to: (a) the Order Shortfall (defined below) multiplied by (b) the Average Quarterly Sales Price (the “Order Shortfall Fee”). For clarity, the Order Shortfall Fee applies only to the portion of the Purchase Commitment required to reach the [***]% threshold, and not [***]% of the Purchase Commitment. Any Order Shortfall Fee will be invoiced to Customer, to be paid by Customer within thirty (30) days of the invoice date.