Common use of Supply Allocation Clause in Contracts

Supply Allocation. At any time following Launch in more than one Country, in the event that (a) the GCC and MSC agree that the availability of the Product shall be insufficient whether due to a shortage of Intermediate, or the Compound or otherwise, to meet the forecasted need for Product for the following Calendar Quarter as determined by the CCCs and aggregated by the GCC, or (b) availability of Product is in fact insufficient to fill orders on an ongoing basis, then the GCC and MSC shall confer to resolve such insufficiency. In the event the GCC and MSC cannot resolve such insufficiency, then (i) there shall be no further Launches of Product in any Country until the insufficiency is eliminated, (ii) to the extent the insufficiency continues, then all safety stock and sampling in any Country where the Product is sold will be utilized in sales in such Country, and (iii) to the extent the insufficiency still continues, then unless otherwise agreed, the available Product shall be allocated to the Countries where the Product is sold in proportion with the then-current forecasted sales for the Product in each such Country.