Project Cost Compensation Methods Clause Samples
The 'Project Cost Compensation Methods' clause defines how costs incurred during a project will be reimbursed or compensated. It typically outlines the specific methods used, such as fixed-price, cost-plus, or time-and-materials arrangements, and may detail which expenses are eligible for reimbursement and the process for submitting claims. This clause ensures both parties have a clear understanding of payment expectations and helps prevent disputes over project expenses by establishing transparent compensation procedures.
Project Cost Compensation Methods. Compensation under this Agreement shall be paid by the following manner and according to the Project Budget (Schedule B):
7.1 One-Time Costs. A total fixed lump-sum price for One-Time Costs as set forth and according to the billing milestones and payment schedules as identified in Schedule B.