Common use of Pass-Through Billing Clause in Contracts

Pass-Through Billing. The costs of Services determined by the Pass-Through Billing method shall be equal to the third-party costs and expenses actually incurred by the Party providing the Services (the “Service Provider”) on behalf of the Party receiving the Services (the “Service Recipient”) in providing such Service. If the Service Provider incurs costs or expenses on behalf of the Service Recipient as well as other businesses operated by the Service Provider in connection with the provision of such Services, the Service Provider will allocate any such costs or expenses on a pro rata basis based on the Service Recipient’s proportional share of its use of such Services, as determined in good faith by the Service Provider. Each Party or its agents shall keep and maintain such books and records as may be reasonably necessary to make such allocations. Each Party shall make copies of such books and records available to the other Party for inspection upon request and with reasonable notice.