Progress payment and Draw Schedule Sample Clauses
The "Progress payment and Draw Schedule" clause defines how and when payments will be made to a contractor or service provider as work on a project advances. Typically, this clause outlines a schedule of payments tied to the completion of specific project milestones or phases, such as after the foundation is poured or once framing is complete. By establishing clear payment intervals based on measurable progress, this clause ensures that the contractor receives compensation as work is completed, while also protecting the client from paying for unfinished work, thereby managing cash flow and reducing financial risk for both parties.
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Progress payment and Draw Schedule. Purchaser shall make progress payment to the Seller and to follow the draw payment schedule as outlined in the attached exhibit. All payments are due and payable upon substantial completion. Purchasers shall pay the Contract Sum to Contractor in accordance with the Draw Schedule attached hereto. The progress payments shall be promptly made to Seller or Seller’s designated Contractor within five (5) days of invoicing via electronic mail provider by Purchasers hereto. Purchaser shall be responsible for any lender designated fees. A late fee of 1-1/2% per month shall be assessed to the Purchasers for invoices that are more than 5 days outstanding.