Late Payment Clauses

Summary

These late payment clauses can be used in an agreement for the provision of goods and/or services and set forth terms addressing damages and contract rights provided to the payee in instances where there are late payments by the customer. This template includes practical guidance and drafting notes. The clauses provide, among other things, for termination rights, suspension of future performance pending receipt of the outstanding amounts, interest charges and late fees. For additional guidance, see Payment, Collection, and Audit, Contracts for Goods or Services, Supply of Goods Resource Kit, and General Commercial Contract Clause Resource Kit.