Time and Materials and Labor Sample Clauses

The "Time and Materials and Labor" clause defines how compensation will be calculated based on the actual time spent and materials used to complete a project or provide a service. Under this clause, the client pays for labor at agreed hourly or daily rates, as well as for the cost of materials and possibly other direct expenses incurred during the work. This approach is commonly used when the scope of work cannot be precisely determined in advance, allowing flexibility for changes or unforeseen tasks. Its core function is to ensure fair compensation for the service provider while accommodating projects with variable or uncertain requirements.