Common use of Use of judgment in making determination Clause in Contracts

Use of judgment in making determination. There may be unusual circumstances or exceptions to the listed characteristics. In making the determination of whether a subrecipient or vendor relationship exists, the substance of the relationship is more important than the form of the agreement. It is not expected that all of the characteristics will be present and judgment should be used in determining whether an entity is a subrecipient or vendor.

Use of judgment in making determination. There may be unusual circumstances or exceptions to the listed characteristics. In making the determination of whether a subrecipient subgrant or vendor contractual relationship exists, the substance of the relationship is more important than the form of the agreement. It is not expected that all of the characteristics will be present and uniformly present. Accordingly, prudent judgment shall be exercised by Subgrantee should be used in determining whether an entity with which it contracts to accomplish its performance under this Agreement is a subrecipient or vendor.