Net Obligation Sample Clauses
The Net Obligation clause defines how parties calculate the total amount owed between them by offsetting mutual obligations, resulting in a single net payment. In practice, this means that if both parties owe each other money under a contract, their respective debts are combined and only the difference is paid by the party with the larger obligation. This approach streamlines settlement, reduces administrative complexity, and minimizes the risk of default by ensuring that only the net amount is exchanged.
Net Obligation. Net Obligation is the amount owed to PJMSettlement and PJM for purchases from the PJM Markets, Transmission Service, (under both Part II and Part III of the O.A.T.T.), and other services pursuant to the Agreements, after applying a deduction for amounts owed to a Participant by PJMSettlement as it pertains to monthly market activity and services. Should other markets be formed such that Participants may incur future Obligations in those markets, then the aggregate amount of those Obligations will also be added to the Net Obligation.
Net Obligation. Each Schedule constitutes the Lessee's absolute and unconditional obligation to pay Rent and is not subject to any abatement, reduction, set-off, defense, counterclaim, interruption, deferment or recoupment for any reason whatsoever. Subject to Section 6.2. if Lessee is required by law or regulation to make any deduction or withholding, Lessee shall pay to Lessor an amount sufficient to assure that Lessor receives a net amount equal to the Rent.
Net Obligation. The Company's obligation hereunder shall be a "net obligation," and the Company shall pay absolutely net during the term of this Agreement the purchase price payments and other payments specified herein, without abatement, deduction or set-off other than those herein expressly provided.
Net Obligation. Tenant therefore covenants and agrees to pay and discharge on a timely basis, as additional rental hereunder, all costs, expenses, and obligations of every kind and nature whatsoever relating to the Leased Personal Property which may arise or become due during the Term (or which arose or became due prior to the Term and were not paid as of the Effective Date), including, without limitation, all Taxes and all interest or penalties related thereto. Tenant will furnish to Landlord, promptly upon receipt of Landlord’s written request, proof of payment of such amounts. If any such assessment may legally be paid in installments, Tenant may pay such assessment in installments; in such event, Tenant shall be liable only for installments which become due and payable with respect to any tax period occurring in whole or in part during the Term hereof (or which became due prior to the Term).