Common use of Term & Payment Clause in Contracts

Term & Payment. 3.1 This Agreement shall come into force on the date of execution of this Agreement and its duration shall be one year during which the prices shall be fixed. The Agreement may be extended for a similar term on similar conditions subject to the mutual consent of both parties. 3.2 Time is of the essence in this Agreement and, whenever a date or time is set forth in this Agreement, the same has entered into and formed a part of the consideration for this Agreement. In case of any sort of delay in performance by Service Provider, PSDF shall be entitled to impose a penalty of @1% per day, up to a maximum of 10% of the total value of this Agreement. 3.3 In consideration of the satisfactory provision of Services and related services, PSDF shall pay an amount (inclusive of all applicable taxes) of -- in accordance with Appendix B of this Agreement. 3.4 All payments made hereunder shall be made subject to applicable tax deductions.