Common use of Supply Management Clause in Contracts

Supply Management. 6.3.1 Seller's procurement Process must cover all reasonable activities related to the purchase of components and materials used in the finished Product including the selection of Seller approved suppliers and the acceptance by Seller of the material. Seller shall ensure through its procurement Process that only Seller qualified components and materials from Seller approved suppliers are used in the manufacture of Product at Seller's manufacturing facilities. 6.3.2 Seller's supply management Processes, excluding any specific supplier information, are subject to reasonable inspection by Nortel to assess their effectiveness and ensure corrective and preventive actions are taken internally by Seller. Nortel's inspection of the Processes may be held, upon reasonable prior notice, within [*] of evidence of receiving Products from Seller that do not comply with the particular Specification. 6.3.3 Where Nortel reasonably determines that certain components used in Products contain potential problem areas, it shall notify Seller in writing, and the Parties shall discuss the matter with a view to confirming a problem area exists, and then mutually agreeing to ways to resolve such problem areas.

Supply Management. 6.3.1 Seller's procurement Process must cover all reasonable activities related to the purchase of components and materials used in the finished Product including the selection of Seller approved suppliers and the acceptance by Seller of the material. Seller shall ensure through its procurement Process that only Seller qualified components and materials from Seller approved suppliers are used in the manufacture of Product at Seller's manufacturing facilities. 6.3.2 Seller's supply management Processes, excluding any specific supplier information, are subject to reasonable inspection by Nortel to assess their effectiveness and ensure corrective and preventive actions are taken internally by Seller. Nortel's inspection of the Processes may be held, upon reasonable prior notice, within [*] thirty (30) calendar days of evidence of receiving Products from Seller that do not comply with the particular Specification. 6.3.3 Where Nortel reasonably determines that certain components used in Products contain potential problem areas, it shall notify Seller in writing, and the Parties shall discuss the matter with a view to confirming a problem area exists, and then mutually agreeing to ways to resolve such problem areas.