Retroactive Price Reduction definition
Retroactive Price Reduction means an effective reduction in the selling price for Products that occurs after Distributor’s Third Party customer purchases the Product, provided the reduction is consistent with industry practices relating to shelf stock adjustments and in-transit adjustments and is documented by a credit memo issued by Distributor to its customer (or by the customer to Distributor) or implemented by any other form of payment, such as a check or free goods.