Defective Inventory definition

Defective Inventory means “Defective Inventory” as defined in the Accounting “DIP Agreement” means that certain debtor in possession Financing Agreement, dated as of January 16, 2004, between and among the Seller and its Debtor Affiliates, certain lenders and Citicorp USA, Inc. as collateral agent, administrative agent and documentation agent and documents executed in connection therewith (each as may be amended, restated or otherwise modified from time to time in connection therewith).

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Defective Inventory means the aggregate of all (i) excess Inventory, (ii) ------------------- obsolete or substandard Inventory, and (iii) Inventory that is not Traceable Inventory, in each case determined in accordance with the procedures and criteria set forth on Schedule 1.6(a).

Defective Inventory means such items of inventory that are non-first quality inventory, such as parts, inventory unsaleable in its current physical condition, incomplete sets of inventory intended to be sold as a set, mismatched sets, and used or previously owned, damaged, shopworn or soiled inventory.

Examples of Defective Inventory in a sentence

• No separate inventory carrying costs or handling fees will be incurred by SGI for SGI Defective Inventory held at RSP’s site.

• Seller shall reimburse Purchaser for all liabilities, obligations and responsibilities relating to voluntary and involuntary recalls of the PRENATE Product which occur after the Closing Date to the extent that such PRENATE Product was sold by Seller prior to the Closing Date or to the extent such PRENATE Product constitutes Defective Inventory.

• In addition to the foregoing, if the Purchaser has selected the Full Service Inventory Service Level, the Supplier shall also provide a distinct area to stage and store Defective Inventory and track warranties for Defective Inventory to ensure that credits are issued to the Purchaser for any inventory purchased by the Purchaser and labour utilized by direct payment within thirty (30) days.

• Items of Deferred Business Inventory that are Defective Inventory (as reasonably determined by the Seller based on procedures mutually agreed by the applicable Purchaser and Seller acting reasonably and in good faith) shall be identified as such during such physical inventory.

• Merchandise" shall not include any (i) Out-of-Date Pharmacy Inventory; and (ii) Defective Inventory, Display Inventory, Out-of-Date Merchandise or Out-of-Season Merchandise, for which Merchant and Agent do not mutually agree on a Cost Value.

• Items of Deferred Business Inventory that are Defective Inventory (as reasonably determined by the Purchaser based on procedures mutually agreed by the applicable Purchaser and Seller acting reasonably and in good faith) shall be identified as such during the such physical inventory.

More Definitions of Defective Inventory

Defective Inventory means any item of inventory agreed upon and identified by Buyer and Sellers as damaged or defective or otherwise not salable in the ordinary course because it is dented, worn, scratched, broken, broken sets, faded, torn, mismatched, non-redeemed or layaway altered merchandise or merchandise affected by other similar defects rendering it not first quality (such as, for example, watches that are not running, watches without boxes, watches without applicable instructions, and pierced earrings without backs).

Defective Inventory has the meaning ascribed thereto in section 12.02;

Defective Inventory means (i) any item of Deferred Business Inventory that is defective or otherwise not saleable in the ordinary course of business because it is worn, scratched, broken, faded, torn, mismatched, tailored, or affected by other similar defects (including but not limited to damaged packaging) rendering it not of first quality or (ii) any item of Deferred Business Inventory that has been marked out of stock, set aside for return to vendor, or received a similar designation.

Defective Inventory means any Inventory with a Defect.

Defective Inventory means "Defective Inventory" as defined ------------------- in the Accounting Principles.