Common use of Payment Terms Clause in Contracts

Payment Terms. 5.1 Except as otherwise agreed in writing, payment shall be effected within 30 days of the invoice date without any deductions whatsoever. 5.2 The products have to be paid in advance. Any payments made, shall be made net of any bank charges etc. The Customer has to bear all costs in relation to the chosen payment method. Payments only become effective upon receipt by us. We are entitled to refuse to commence supply of any products as long as the Customer has not fully paid. This entitlement does not restrict other rights of us. The Customer is responsible for any supply delays and associated costs incurred due to a delay in a payment. 5.3 We are entitled to offset payments made against the oldest claim due. 5.4 In case of delayed payment we are entitled to charge default interest at 12 percent per year. The right to assert a claim on account of further damage is not excluded. 5.5 If the Customer is in arrears with payment, we shall be entitled to demand immediate cash payment of all claims arising from the business relationship which are due and against which there is no defence. Furthermore we are also entitled to perform outstanding deliveries only against payment in advance or against provision of a security. This right shall not be barred by a deferral of payment or by the acceptance of bills of exchange or cheques. 5.6 The Customer shall only have the right to offset counterclaims insofar as the Customer’s counterclaims are undisputed, ruled with res judicata effect by a court of law or are ready for a decision after pending suit. 5.7 The Customer shall only be entitled to withhold payments to the extent that its counterclaims are undisputed, ruled with res judicata effect by a court of law or are ready for a decision after pending suit.