SET OFF CLUASE Clause Samples
A set-off clause allows one party to offset amounts they owe to the other party against amounts the other party owes to them under the same or related agreements. In practice, if Party A owes Party B $10,000, but Party B also owes Party A $4,000, the set-off clause permits Party A to pay only the net difference of $6,000. This clause helps streamline payments between parties and reduces the risk of non-payment by ensuring that mutual debts are settled efficiently.
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SET OFF CLUASE. 14.1 In the event any sum of money or claim becomes recoverable from or payable by LICENSEE to the LICENSOR either against this Licence Agreement or otherwise in any manner, such money or claim can be (without restricting any right of set off for counter claim given or employed by law) deducted or adjusted against any amount or sum of money then due or which at any time thereafter may become due to the LICENCE under this Licence Agreement or any other agreement or contract between the LICENSOR and the LICENSEE.
14.2 The aforesaid sum of money payable to the LICENSEE company shall include any security which can be converted into money.
14.3 After exercising the right of set off a notice shall always be given immediately by the licensor to the licensee.