Quality Cost Sharing Sample Clauses

Quality Cost Sharing. Except in the case of Epidemic Defects, Supplier shall compensate Buyer in the event Buyer or Buyer’s authorized third party incurs reasonable costs resulting directly from in-warranty defects with Products under this SOW and such costs exceed one hundred thousand dollars ($100,000 USD) per Product(s) on an annual basis. Such compensation shall be fifty percent (50%) of Buyer’s or Buyer’s authorized third party’s reasonable costs, which may include but are not limited to; repair, replacement, rework, field labor, logistics, problem diagnosis, and field and finished goods inventory related costs (“Excess Failure Costs”). Supplier will make payments to Buyer within * days of receiving an invoice from Buyer for such Excess Failure Costs. For avoidance of doubt, the section of this SOW entitled “Epidemic Defects”, and not this section, will apply in the instance of an Epidemic Defect. The remedy provided in this section is in addition to any other remedies available to Buyer under the Agreement, at law and in equity.