Payment Convention Clause Samples
A Payment Convention clause defines the rules and methods by which payments are calculated and made under a contract. It typically specifies the timing of payments, such as whether payments are due on business days or calendar days, and how to handle payments that fall on weekends or holidays. For example, the clause may state that if a payment date falls on a non-business day, the payment will be made on the next business day. The core practical function of this clause is to ensure consistency and clarity in payment schedules, thereby preventing disputes or confusion over when payments are due.
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Payment Convention. Unless otherwise expressly provided for in this Agreement (a) if any payment due date under this Agreement falls on a Saturday or non-Monday weekday that is not a Business Day, such payment shall be made on the immediately preceding Business Day and (b) if the payment due date falls on a Sunday or Monday which is not a Business Day, such payment shall be made on the immediately following Business Day.
Payment Convention. (a) If an Interest Payment Date is not a Business Day, it shall be deemed to be:
(i) in respect of a Fixed Rate Loan with a sole Repayment Date, the preceding Business Day with adjustment but only to the amount of interest that accrued over the last interest period;
(ii) in respect of a Fixed Rate Loan with more than one Repayment Date, the following Business Day, without adjustment to the interest due; or
(iii) in respect of a Floating Rate Loan, the following Business Day in that month, or, failing that, the nearest preceding Business Day, in all cases with corresponding adjustment to the interest due.
(b) If the date on which any payment other than principal or interest is due to be paid is not a Business Day, such payment shall be made on the next Business Day in that calendar month (if there is one) or the preceding Business Day (if there is not), in all cases with a corresponding adjustment to the amount of such payment.
Payment Convention. Any payment due on a non-Business Day shall instead be due on the first preceding Business Day, except that payments due on a Sunday or a Monday that is not a Business Day shall be due on the first following Business Day.
Payment Convention. Interest on the Notes shall be computed on the basis of the actual number of days in the period for which interest is being calculated and the actual number of days from and including the last date on which interest was paid on the Notes (or from October 2, 2019, if no interest has been paid on the Notes), to but excluding the next scheduled interest payment date. This payment convention is referred to as ACTUAL/ACTUAL (ICMA) as defined in the rulebook of the International Capital Market Association.
Payment Convention