Common use of Payment on Default Clause in Contracts

Payment on Default. If pursuant to this Declaration any Party is compelled or elects to pay any sum of money or do any act or acts which require the payment of money by reason of any other Party’s failure or inability to perform any of the terms and provisions in this Declaration to be performed by such other Party, the defaulting Party shall promptly, upon demand, reimburse the paying Party for such sums, and all such sums shall bear interest at the rate of the prime rate of interest quoted by the W▇▇▇▇ Fargo Bank per annum from the date of expenditure until the date of such reimbursement. Any other sums payable by any Party to any other pursuant to the provisions of this Declaration that shall not by paid when due, shall bear interest at the rate of the prime rate of interest quoted by the W▇▇▇▇ Fargo Bank per annum from the due date to the date of payment thereof. If such repayment shall not be made within ten (10) days after such demand is made, the Party having so paid shall have the right to deduct the amount thereof, together with interest as aforesaid, without liability or forfeiture, from any sums then due or thereafter becoming due from it to the defaulting Party hereunder. Any deduction made by any Party pursuant to the provisions hereinabove from any sums due or payable by it hereunder shall not constitute a default in the payment thereof unless such Party fails to pay the amount of such deduction to the Party to whom the sum is owing within thirty (30) days after final adjudication that such amount is owning. The option given in this section is for the sole protection of the Party so paying and its existence shall not release the defaulting Party from the obligation to perform the term, provisions, covenants, and conditions herein provided to be performed thereby or deprive the Party so paying of any legal rights which it may have by reason of any such default.

Payment on Default. If pursuant to this Declaration any Party is compelled or elects to pay any sum of money or do any act or acts which require the payment of money by reason of any other Party’s failure or inability to perform any of the terms and provisions in this Declaration to be performed by such other Party, the defaulting Party shall promptly, upon demand, reimburse the paying Party for such sums, and all such sums shall bear interest at the rate of the prime rate of interest quoted by the W▇▇▇▇ Fargo Bank per annum from the date of expenditure until the date of such reimbursement. Any other sums payable by any Party to any other pursuant to the provisions of this Declaration that shall not by be paid when due, shall bear interest at the rate of the prime rate of interest quoted by the W▇▇▇▇ Fargo Bank per annum from the due date to the date of payment thereof. If such repayment shall not be made within ten (10) days after such demand is made, the Party having so paid shall have the right to deduct the amount thereof, together with interest as aforesaid, without liability or forfeiture, from any sums then due or thereafter becoming due from it to the defaulting Party hereunder. Any deduction made by any Party pursuant to the provisions hereinabove from any sums due or payable by it hereunder shall not constitute a default in the payment thereof unless such Party fails to pay the amount of such deduction to the Party to whom the sum is owing within thirty (30) days after final adjudication that such amount is owning. The option given in this section is for the sole protection of the Party so paying and its existence shall not release the defaulting Party from the obligation to perform the term, provisions, covenants, and conditions herein provided to be performed thereby or deprive the Party so paying of any legal rights which it may have by reason of any such default.

Payment on Default. (a) If pursuant to this Declaration any Party (i) is compelled or elects to pay any sum of money or do any act or acts which require the payment of money by reason of any other Party’s failure 's Default or inability (ii) does not pay any other sum when due to perform any of other Party pursuant to the terms and provisions in of this Declaration to be performed by such other PartyREA, then the defaulting Defaulting Party shall, provided that said Party shall promptlyhave been served a written delinquency notice from the paying Party, upon demand, promptly reimburse the paying Party for such sums, and all such sums shall bear together with interest thereon at the lesser of (x) the rate of fifteen percent (15%) per annum, and (y) the prime maximum rate of interest quoted permitted by the W▇▇▇▇ Fargo Bank per annum law, compounded annually, from the date that is three (3) business days subsequent to such Defaulting Party's receipt of expenditure the delinquency notice from the paying Party until the date of such reimbursement. Any other sums payable reimbursement by any the Defaulting Party. (b) If the Defaulting Party to any other pursuant to the provisions of this Declaration that shall not by paid when due, shall bear interest at have made the rate of the prime rate of interest quoted by the W▇▇▇▇ Fargo Bank per annum from the due date to the date of payment thereof. If such requested repayment shall not be made within ten (10) days after such demand is madetherefor, the paying Party having so paid (or Person to whom the amount is due) shall have the right to deduct the amount thereof, together with interest as aforesaid, without liability or forfeiture, from any sums then due or thereafter becoming due from it the paying Party to the defaulting Party hereunder. Any Defaulting Party, subject, however, to Sections 4.2 and 9.9 and Article 12 hereof, if the payment amount is in dispute. (c) A Party's deduction made by any Party pursuant to the provisions hereinabove from any sums due or payable by it hereunder pursuant to the provisions of this Section 20.9 shall not constitute a default Default in the payment thereof unless such Party fails to pay the amount of such deduction (with interest thereon at the rate provided above from the respective date of deduction) to the Defaulting Party to whom the sum is owing within thirty (30) days after final adjudication or decision that such amount is owningowing. The option given in this section Section 20.9 is for the sole protection of the paying Party so paying and its existence (or Person to whom such sum is due) but shall not release Release the defaulting Defaulting Party from the its obligation to perform the termterms, provisions, covenants, covenants and conditions herein provided of this REA which are required to be performed thereby or by such Party, nor deprive the paying Party so paying (or Party to whom such sum is due) of any legal or equitable rights which it may have by reason of any such defaultDefault.