Common use of Late Interest Clause in Contracts

Late Interest. In the event that a payment under this Agreement is not made when due, such outstanding payment will accrue interest, beginning on the date when the payment was due, at an annual rate equal to [***], plus the Prime Rate, (or the maximum rate permitted under Applicable Law, whichever is less). Such accrued interest will be compounded annually. Payment of accrued interest will accompany payment of the outstanding payment. “Prime Rate” means the prime rate as reported in The Wall Street Journal, New York Edition, on the date such payment first comes due.

Late Interest. In the event that a payment under this Agreement is not made when due, such outstanding payment will shall accrue interest, beginning on the date when the payment was due, at an annual rate equal to [***]three and one-half percent (3.5%), plus the Prime Rateprime rate as reported in The Wall Street Journal, New York edition, on the first due date of such outstanding payment (or the maximum rate permitted under Applicable Law, whichever is less). Such accrued interest will shall be compounded annually. Payment of accrued interest will shall accompany payment of the outstanding payment. “Prime Rate” means the prime rate as reported in The Wall Street Journal, New York Edition, on the date such payment first comes due.