Payment Supervision Clause Samples
The Payment Supervision clause establishes oversight and monitoring of payment processes between parties. Typically, it outlines procedures for verifying that payments are made accurately and on time, and may designate a third party or specific internal controls to supervise transactions. This clause helps ensure transparency and accountability in financial dealings, reducing the risk of errors, delays, or disputes related to payments.
Payment Supervision. 1. The Borrower agrees that the Lender shall have the right to manage and control the payment of the loan capital through payment on behalf or/and independent payment, to monitor the loan capital to be used according to its purpose hereunder. Payment on behalf represents that the Lender pay the trading partner of the Borrower corresponding to the purpose of the loan hereunder through the Borrower’s account, according to the Borrower’s withdrawal application and payment commission. Independent payment represents that the Borrower pay the trading partner by himself corresponding to the purpose of the loan hereunder after the Lender release the loan capital to the Borrower’s account according to the Borrower’s withdrawal application.
2. The Borrower agrees that when the Borrower and the Lender establish credit relationship for the first time and the credit situation of the Borrower is general, or when the single payment is more than the amount in clause stipulated above (please refer to part I), or other cases in which the Lender identify, the payment method shall be payment on behalf. When the payment method is payment on behalf, the Lender shall have the right to check the compliance among the stipulated clause, payee, amount, business contract and other related materials. The Lender will pay through the Borrower’s account after that.
3. The Borrower shall submit materials as follow (including but not limited) which required by the Lender when applying for the payment:
3.1. Documents in which prove the usage of the payment in accordance with the purpose of the loan as stated in the Agreement;
3.2. Business contract and written documents in which reflect the payment obligations of the Borrower. In case that it is not necessary to sign a contract while the expense is inevitable, the Borrower shall submit the charge policy approved by related departments as evidence;
3.3. Corresponding invoice or receipt, as soon as possible after the payment if the Borrower cannot get it at the same time of that;
3.4. Valid and efficient payment instrument;
3.5. Other document which the Lender requires.
4. The Borrower shall provide the withdrawal form (format in Appendix) before three business days of withdrawal date, and choose the payment method (payment on behalf or independent payment). The Borrower confirms that the Lender shall have the right to check the compliance of the related materials to the stipulated clauses, and the Lender shall have the right to decide the pa...
Payment Supervision. 1. The Borrower agrees that the Lender has the right to manage and control the payment of the loaned fund through the the methods of entrusted payment by Lender or direct payment by Borrower in accordance with this contract, in order to supervise that the loaned capital is used for the purposes stipulated in this contract. Entrusted payment by Lender means that the Lender, upon the Borrower’s withdrawal applications or payment entrustment, pays the loaned fund to the business counterpart of the Borrower with the usage stipulated in this contract through the Borrower’s account. Direct payment by the Borrower means that the Lender grants the loaned fund into the Borrower’s account based on the withdrawal application; the Borrower pays directly to the counterpart with the usage stipulated in this contract.
2. The Borrower agrees that, if the Lender and the Borrower have newly established a credit business relation and the Borrower has a common credit status, or the payee is specific and a single payment amounts over the stipulated amount (refer to Part One of this contract), or other situations confirmed by the Lender, shall apply Entrusted payment by Lender. When Entrusted payment by Lender., the Lender has the right to check whether the payee, paying amount etc. stated by the Lender are in conformity with the certifying documents such as the business contract, in the light of the loan usage stipulated in the loan contract. If it is agreed after the checking, the Lender pays the loaned fund to the business partner of the Lender through the account of the Borrower.
3. When the Borrower applies with the Lender for a outgoing payment, he shall submit the requested certifying documents, including but not limited to:
(1) What certifies the usage of the payment is in conformity with the usage stipulated in this contract;
(2) Business contract and written documents that truly reflects the paying obligations of the Lender;
(3) If a receipt is not obtained at the time of payment, the Borrower shall make the and provide it after the payment is done.
(4) Legal and effective paying certificate.
(5) Other documents to be submitted as requested by the Lender.
4. If a specific circulating fund account is not opened, the Borrower shall submit a withdrawal application to the Lender 3 banking days before the planned withdrawal, and indicate to apply entrusted payment by Lender or direct payment by the Borrower. The Borrower agrees that, the Lender has the right to check wheth...
Payment Supervision. 5.1 Party A agrees that Party B has the right to monitor and control the entrusted payment or direct payment, to ensure the use of the loan is within the scope of agreed purpose. Entrusted payment is the payment method where Party B will, upon and in accordance with drawdown application and payment entrustment issued by Party A, pay the proceeds of the financing to the relevant payees of Party A for agreed purposes. Direct payment is the payment method where Party B will, upon the drawdown application issued by Party A, pay the proceeds of the financing to Party A’s account and Party A will make the payment directly to the relevant payees of Party A for agreed purposes.
5.2 Party A agrees that if the credit relationship is newly set up and Party A has normal credit standing, or the payment exceed the agreed amount (see Part I)under this Contract, or any other possible situation, the entrusted payment method will be used. In relation to entrusted payment, Party A shall, upon each drawdown, provide Party B with information of its own designated account to receive the financing and payee's account, payment amount and relevant supporting documents to prove that such drawdown is for the agreed purposes. Party B will carry out review on information provided by Party A to ensure all the information is consistent with the commercial Contract. When the review completed, Party B shall, through the account designated by Party A, transfer relevant amount to the accounts of Party A's payees as required
5.3 Party A shall submit the certified materials required by Party B when payment is applied.
5.3.1 Document to certify that the payment is within the scope of purpose.
5.3.2 Commercial Contract or the written documents which reflects the payment obligation of Party A. As for the payment without Contract, Party A shall submit the payment policy or standard approved by authorized department.
Payment Supervision. 1. The Borrower agrees that the Lender shall have the right to manage and control payments with the loan amount through the entrusted payment by the Lender and/or direct payment by the Borrower, to supervise the use of the loan for the purposes as specified herein. Entrusted payment by the Lender means that the Lender, according to the Borrower's withdrawal application and payment entrustment, pays the loan amount, through the Borrower's account, to the counterparty of the Borrower in a transaction that meets the purposes as specified herein. Direct payment by the Borrower means that, after the Lender disburses the loan amount to the Borrower's account according to the Borrower's withdrawal application, the Borrower pays the loan amount to the counterparty in a transaction that meets the purposes as specified herein.
2. The Borrower agrees that if the Borrower with an average credit standing establishes a new credit business relationship with the Lender, or if the payee is specific and the amount of a single payment with the loan amount exceeds the amount as specified herein (see Part I hereof), or under any other circumstances determined by the Lender, the mode of entrusted payment by the Lender shall be adopted. Under the mode of entrusted payment by the Lender, the Lender shall have the right to examine, according to the purposes of the loan as specified herein, whether the payee, payment amount and other information indicated on the Payment Application Form provided by the Borrower are consistent with the relevant business contract and other supporting materials. If the Lender approves such application after examination, it will pay the loan amount to the Borrower's counterparty through the Borrower's account.
3. When applying to the Lender for an external payment with the loan amount, the Borrower shall submit supporting materials that meet the Lender's requirements, including but not limited to:
(1) a document proving that the purpose of payment complies with the purposes as specified herein;
(2) a business contract and a written document truthfully reflecting the Borrower's payment obligation; or charging policies and standards approved by the competent authority in case of necessary payment without signing a contract;
(3) the corresponding invoice or receipt (if such invoice or receipt cannot be obtained at the time of payment, the Borrower shall promptly provide the same after completion of payment);
(4) a legal and valid payment voucher; and
(5) ...