Common use of Product Testing Clause in Contracts

Product Testing. If UBEI knows, should know or reasonably suspects that any Raw Grains delivered by UBEI to the Plant do not meet the standards set forth in this Agreement, UBEI shall promptly so notify EKAE so that such Raw Grains can be tested before being unloaded at the Plant. If EKAE knows or reasonably suspects that any Raw Grains delivered by UBEI to the Plant do not meet the standards set forth in this Agreement, then EKAE may obtain independent laboratory tests of the affected Raw Grains. If such Raw Grains are tested and found to comply with all warranties made by UBEI herein, then EKAE shall pay all reasonable testing costs and if the Raw Grains are found not to comply with such warranties, UBEI shall pay all reasonable testing costs and EKAE shall be allowed to reject such delivery regardless of whether the affected Raw Grains have been unloaded.

Appears in 3 contracts

Sources: Credit Agreement (East Kansas Agri Energy LLC), Raw Grains Marketing Agreement (East Kansas Agri Energy LLC), Raw Grains Marketing Agreement (East Kansas Agri Energy LLC)