Common use of Payment Priority Clause in Contracts

Payment Priority. All Client Net Tuition and Fees Revenue of Client in any Fiscal Year will be allocated and/or paid as follows: 5.1.1 First, to pay the Priority Cost Amount to Client; and 5.1.2 Second, to pay the Services Fees to Provider as set forth in Section 5.2 below. The net amount of Client Net Tuition and Fees Revenue remaining after allocation to or payment of the foregoing amounts is referred to herein as the “Residual Amount”. The Residual Amount may be used or distributed by Client in any manner determined by Client, in its sole discretion.

Payment Priority. All Client Net Tuition and Fees Revenue of Client in any Fiscal Year Contract Period will be allocated and/or paid as follows: 5.1.1 First, to pay the Priority Cost Amount to Client; and 5.1.2 Second, to pay the Services Fees to Provider as set forth in Section 5.2 below. The net amount of Client Net Tuition and Fees Revenue remaining after allocation to or payment of the foregoing amounts is referred to herein as the “Residual Amount”. The Residual Amount may be used or distributed by Client in any manner determined by Client, in its sole discretion.