Common use of Default Penalty Clause in Contracts

Default Penalty. The Company may charge the Customer a Default Penalty on any moneys due but unpaid under the Contract which will be calculated on a daily basis at a rate of 1.5 per cent per month. The Default Penalty is payable from the date payment is due until the date the Company receives payment. The Company’s right to charge the Default Penalty is without prejudice to any of the Company’s rights, powers or remedies arising after the Customer’s payment default.