Common use of Second Source Clause in Contracts

Second Source. DEPOMED shall be entitled to qualify a second source for Product manufacture and related activities provided, however, that upon such qualification DEPOMED shall not purchase more than an amount estimated in good faith to be [***] of its annual requirements of Product from such source during the term of this Agreement. The parties agree that DEPOMED will consider in good faith any proposal from Patheon Inc. or any of its Affiliates to become DEPOMED’s second source supplier. The implementation of this Section 10.8 shall not limit DEPOMED’s rights under Section 10.7. DEPOMED’s rights pursuant to Sections 10.7 and 10.8 shall be cumulative and not in substitution for each other. The manufacturing party used pursuant to Section 10.7 may be the second source qualified by DEPOMED pursuant to this Section 10.8, a different manufacturer, or DEPOMED itself. MOVA shall provide reasonable assistance to DEPOMED in qualifying a second source pursuant to this Section 10.8.

Appears in 2 contracts

Sources: Commercial Manufacturing Agreement, Commercial Manufacturing Agreement (Santarus Inc)

Second Source. DEPOMED shall be entitled to qualify a second source for Product manufacture and related activities provided, however, that upon such qualification DEPOMED shall not purchase more than an amount estimated in good faith to be [*** * *] of its annual requirements of Product from such source during the term of this Agreement. The parties agree that DEPOMED will consider in good faith any proposal from Patheon Inc. or any of its Affiliates to become DEPOMED’s second source supplier. The implementation of this Section 10.8 shall not limit DEPOMED’s rights under Section 10.7. DEPOMED’s rights pursuant to Sections 10.7 and 10.8 shall be cumulative and not in substitution for each other. The manufacturing party used pursuant to Section 10.7 may be the second source qualified by DEPOMED pursuant to this Section 10.8, a different manufacturer, or DEPOMED itself. MOVA shall provide reasonable assistance to DEPOMED in qualifying a second source pursuant to this Section 10.8.

Appears in 1 contract

Sources: Commercial Manufacturing Agreement (Depomed Inc)