LATE PAYMENT/DEFAULT Sample Clauses
The Late Payment/Default clause establishes the consequences and procedures that apply when a party fails to make payments on time or defaults on their obligations under the agreement. Typically, this clause outlines the imposition of interest charges or penalties for overdue payments, and may specify a grace period before such penalties apply. It can also detail the steps the non-breaching party may take, such as suspending services or accelerating the remaining balance due. The core function of this clause is to incentivize timely payment, provide remedies for non-payment, and allocate the risk of financial default between the parties.
POPULAR SAMPLE Copied 4 times
LATE PAYMENT/DEFAULT. A failure to make payment for a period in excess of ten (10) days from the due date shall be deemed a material breach of this Contract. If payment is not made when due, Contractor may suspend work on the job until such time as all payments due have been made without breach of the Contract pending payment or resolution of any dispute. Owner agrees to pay a late charge of 1% of all payments that are more than ten (10) days late plus interest at the rate of 1% per month.
LATE PAYMENT/DEFAULT. Homeowner agrees to pay a late charge of 5% of all late payments which are more than ten (10) days late plus all costs of collection including reasonable attorney’s fees in the event payment is not made in accordance with the terms of this contract.
LATE PAYMENT/DEFAULT. Owner agrees to pay a late charge of 1% of all payments, which are more than ten (10) days late, plus all costs of collection including reasonable attorneys fees in the event payment is not made in accordance with the terms of this contract.