Overbilling Clause Samples

The Overbilling clause is designed to prevent a party, typically a contractor or service provider, from charging more than what is rightfully owed under the terms of an agreement. In practice, this clause sets clear boundaries on how invoices should be calculated, often requiring supporting documentation or periodic audits to verify the accuracy of billed amounts. Its core function is to protect the paying party from financial loss due to inflated or erroneous charges, ensuring transparency and fairness in the billing process.
Overbilling. The Supplier shall be obliged to reimburse any excess amount paid by the Customer. This obligation shall apply for up to three years after the payment in question has taken place. The Supplier shall pay interest on overdue payments in accordance with Act no. 100 of 17 December 1976 relating to Interest on Overdue Payments, etc. (“Forsinkelsesrenteloven”) on the overbilled amount, calculated from the payment date to the date of repayment.