Sample Clauses

Performance Obligations

Defines the specific duties and standards of performance required by the parties to fulfill the contract.

Drafting Tips

Specify each party's obligations in clear, measurable terms. Include deadlines, quality standards, and detailed descriptions of duties.
Sample Clauses
Source Semiannual Report (Regulation A) [20/20 GENESYSTEMS, INC.]
(2020-09-28) - DE - Services-Testing Laboratories

Performance Obligations - Performance obligations for two different types of services are discussed below: ● OneTest - Revenue from the sale of OneTest is recognized when returned testing kits are processed in the laboratory and the results are reported. Due to the nature of OneTest, revenue per test is recorded based on historical average receipts from patients and insurance companies. ● BioCheck - Revenues for kits is recognized when purchase orders are processed and kits are shipped to customers. ● Covid-19 Antibody Tests - Revenues for Covid-19 tests is recognized when purchase orders are processed, and tests are shipped to customers.
Source Semiannual Report (Regulation A) [20/20 GENESYSTEMS, INC.]
(2020-09-28) - DE - Services-Testing Laboratories

Performance Obligations - Performance obligations for two different types of services are discussed below:
Source Supply Agreement [AGRIFY CORP]
(2021-01-13) - NV - Agricultural Services

The Company typically satisfies its performance obligations for equipment sales when equipment is made available for shipment to the customer. The Company typically satisfies its performance obligations for services sales as services are rendered to the customer. We enter contracts that can include various combinations of equipment and services, which are generally capable of being distinct and accounted for as separate performance obligations.
Source Annual Report (Form 10-K) [AMYRIS, INC.]
(2019-10-01) - DE - Industrial Organic Chemicals

Revenues are allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The Company's contracts may contain multiple performance obligations if a promise to transfer the individual goods or services is separately identifiable from other promises in the contracts and, therefore, is considered distinct. For contracts with multiple performance obligations, the Company determines the standalone selling price of each performance obligation and allocates the total transaction price using the relative selling price basis.
Source Software Development and Licensing Agreement [ELECTROMEDICAL TECHNOLOGIES, INC]
(2020-01-15) - DE - Surgical & Medical Instruments & Apparatus

The [Company.Name] agrees to perform the services in a professional manner and in accordance with the performance specifications set forth in this Agreement. The [Company.Name] will address issues brought forth by the [Customer.Name] as soon as possible, generally within 24 hours. However, the [Company.Name] cannot guarantee a turnaround time.
Source Right of First Refusal and Co-Sale Agreement [EYENOVIA, INC.]
(2017-12-19) - DE - Pharmaceutical Preparations

of the essence in the performance of its obligations under this Agreement. Failure of [Customer] to meet required project timelines could result in a project delay or the inability of The Party to timely perform its required Services hereunder.
Source Intellectual Property Rights License Agreement [GDS HOLDINGS LTD]
(2020-04-17) - Services-Computer Programming, Data Processing, Etc.

We account for individual performance obligations separately if they are distinct or as a series of distinct obligations if the individual performance obligations meet the series criteria. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. The transaction price is allocated to the separate performance obligation on a relative standalone selling price basis. The standalone selling price is determined based on overall pricing objectives, taking into consideration market conditions, geographic locations and other factors.
Source Quarterly Report (Form 10-Q) [GIGA TRONICS INC]
(2019-08-08) - CA - Instruments For Meas & Testing of Electricity & Elec Signals

A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in ASC Topic 606. The Company's performance obligations include: ● Design and manufacturing services ● Product supply - Distinct goods or services that are substantially the same ● Engineering services The majority of the Company's contracts have a single performance obligation as the promise to transfer the individual goods or services is not separately identifiable from other promises in the contracts and, therefore, not distinct.
Source Form F-4 Registration Statement [HUYA INC.]
(2020-11-10) - E9 - Services-Computer Programming, Data Processing, Etc.

The performance obligations have already been satisfied in the past year, but the corresponding revenue is only recognized in a later year. [Company.Name] does not disclose the information about the remaining performance obligations as the performance obligations of [Company.Name] have an expected duration of one year or less. As of [Date], the aggregate amount of the transaction price allocated to the remaining performance obligation is [Amount] and expected to be recognized as revenue within 12 months.
Source Office Sublease Agreement [JAGUAR HEALTH, INC.]
(2020-11-16) - DE - Pharmaceutical Preparations

Subtenant shall have three (3) fewer days to perform the obligation or one-half the time period permitted under the Master Lease, whichever allows Sublandlord the greater amount of time.
Source Spinoff Announcement Letter [KONTOOR BRANDS, INC.]
(2019-04-01) - NC - Men's & Boys' Furnishgs, Work Clothg, & Allied Garments

Disclosure is required for the aggregate transaction price allocated to performance obligations that are unsatisfied at the end of a reporting period, unless the optional practical expedients are applicable. The Company
Source Quarterly Report (Form 10-Q) [MERIX BIOSCIENCE INC]
(2018-11-19) - DE - Pharmaceutical Preparations

As of [Date], there are performance obligations related to the Lummy HK License Agreement of $[Amount] that are unsatisfied. The remaining $[Amount] in performance obligations were to be satisfied and recognized as revenue on a straight-line basis over the estimated remaining license period from [Date] to [Date]. As of [Date] and [Date], the Company had deferred revenue from the Lummy HK License Agreement of $[Amount] and $[Amount], respectively.
Source Hotel & Casino Ground Lease [MGM RESORTS INTERNATIONAL]
(2017-03-01) - DE - Hotels & Motels

Guarantor unconditionally and absolutely guarantees all other obligations and performance of Tenant under the Lease that are not Payment Obligations or Completion Obligations until the last date that any of Guarantor's obligations expire under any guaranty provided in connection with the Gaming License (collectively, the 'Performance Obligations', together with the Completion Obligations and Payment Obligations, the 'Guaranteed Obligations'). In no event shall this Guaranty cover consequential, unforeseeable or punitive damages of Landlord unless such damages are brought in connection with a third-party claim for which Tenant or Guarantor is obligated to indemnify Landlord.
Source Office Lease Agreement [MIRUM PHARMACEUTICALS, INC.]
(2019-12-27) - DE - Pharmaceutical Preparations

For the performance of (i) any obligation to remit money or deliver credit enhancement, (ii) any obligation under Section 10 or 25.3, or (iii) any of Tenant's obligations whose breach would interfere with another occupant's use, occupancy or enjoyment of its premises or the Project or result in any liability on the part of any Landlord Party.
Source Quarterly Financial Report (Form 10-Q) [MYR GROUP INC]
(2019-05-01) - DE - Water, Sewer, Pipeline, Comm & Power Line Construction

The Company expects a vast majority of the remaining performance obligations to be recognized within twenty-four months, although the timing of the Company's performance is not always under its control. Additionally, the difference between the remaining performance obligations and backlog is due to the exclusion of a portion of the Company's MSAs under certain contract types from the Company's remaining performance obligations as these contracts can be canceled for convenience at any time by the Company or the customer without considerable cost incurred by the customer. Additional information related to backlog is provided in 'Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.'
Source Annual Report (Form 10-K) [NATERA, INC.]
(2019-03-15) - DE - Services-Medical Laboratories

A performance obligation represents a promise in a contract to transfer a distinct good or service to a customer, which represents a unit of accounting in accordance with ASC 606. A portion of the consideration should be allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The Company evaluates its contracts with insurance carriers, laboratory partners and patients and identifies a single performance obligation in those contracts, which is the delivery of the test results.
Source Annual Report (SEC Form 10-K) [NUTRIBAND INC.]
(2019-04-19) - NV - Orthopedic, Prosthetic & Surgical Appliances & Supplies

For the Company's different revenue service types, the performance obligation is satisfied at different times. Our performance obligations include providing products and professional services in the area of research. We recognize product revenue performance obligations in most cases when the product has shipped to the customer. When we perform professional service work, we recognize revenue when we have the right to invoice the customer for the work completed, which typically occurs on a monthly basis for work performed during that month.
Source Annual Report (SEC Form 10-K) [NUTRIBAND INC.]
(2019-04-19) - NV - Orthopedic, Prosthetic & Surgical Appliances & Supplies

A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account in the new revenue standard. The contract transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is
Source Registration Statement [OPEN LENDING CORP]
(2020-05-13) - Personal Credit Institutions

The Company generates revenue primarily by providing services to lending institutions and insurance carriers.
Source Information Statement [POLISHED.COM INC.]
(2021-04-12) - DE - Retail-Home Furniture, Furnishings & Equipment Stores

The revenue that [Company.Name] recognizes arises from orders it receives from contracts with customers. [Company.Name]'s performance obligations under the customer orders correspond to each sale of merchandise that it makes to customers and each order generally contains only one performance obligation based on the merchandise sale to be completed. Control of the delivery transfers to customers when the customer can direct the use of, and obtain substantially all the benefits from, [Company.Name]'s products, which generally occurs when the customer assumes the risk of loss. The transfer of control generally occurs at the point of pickup, shipment, or installation, depending on the type of order. Once this occurs, [Company.Name] has satisfied its performance obligation and [Company.Name]'s recognizes revenue.
Source Financial Statements [RICE ENERGY INC.]
(2017-09-27) - DE - Crude Petroleum & Natural Gas

The contract includes performance obligations, which include (1) [Description of Performance Obligation 1], (2) [Description of Performance Obligation 2], (3) [Description of Performance Obligation 3], (4) [Description of Performance Obligation 4], and (5) [Description of Performance Obligation 5]. The Company anticipates adopting the standard using the modified retrospective approach at adoption. The Company is currently evaluating individual customer contracts within each of our business segments and documenting changes to our accounting policies and controls as we continue to evaluate the impact of the adoption of this standard.