Anyone ever challenge a MFN clause? How would you even know what other purchasers are being charged for a product? Imagine this is inapplicable for custom goods?

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Challenge in court to have it enforced. So, all in all, it kinda sounds like MFN clauses are generally pretty irrelevant given the cost of enforcement/litigation and the probability of the purchaser knowing what the supplier is charging another company

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Depends how it is written as to the custom goods. Also, if prices to others are made public… it happens.

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Sometimes MFNs can have related audit rights. It depends how it’s worded as to custom goods (it’s common to see it apply to “materially the same or similar products and services” - which is fuzzy on the edges). If you mean challenge the MFN as in litigate, that’s going to be pricey but may open a path to some proof in discovery. Unless lots of money is at stake, litigation is likely not viable. Perhaps sending a demand letter reminding of the MFN obligation is an option but it won’t have much as far as teeth.

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Challenge as in….? Court? Or “this clause is dumb”?

In court it’s just a damages claim. Open question whether it’s collectible.

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