Back To Back Payment Clause Sample

By signing this agreement both payee and promisor acknowledge that payee will pay back promisor using the following payment schedule.

Back to back payment clause sample. Each bilateral transaction undertaken by kinergy shall immediately and automatically without necessity of further documentation or any action whatsoever by any of the parties create and cause to be undertaken according to the terms of this agreement an equivalent transaction in terms of the obligation to deliver ethanol the quantity of ethanol sold and the timing. These back to back clauses ensure that the main contractor will not be liable to pay the subcontractor payments unless the main contractor receives the equivalent payment from the employer. An overview of back to back payment clause in different countries united states of america some of the states in the usa such as alabama alaska arizona etc. By signing this agreement both payee and promisor acknowledge that payee will pay back promisor using the following payment schedule.

These arrangements must be thoroughly reviewed by all parties to make sure that the clauses for payment terms and other financial specifications are attainable objective and appropriately time bound. For these clauses you might need to draft language into the subcontract that expresses the desired terms from the principal contract as opposed to relying on a default blanket incorporation by reference clause. Payee agrees to repay promisor with a personal check for 100 on the first of each month for 10 months beginning with january 1 20. In this article we will discuss whether back to back clauses are enforceable under uae law with reference to recent judgements of the abu dhabi courts.

Under english law a back to back contract that incorporates terms by references may not incorporate particular kinds of clauses from the principal contract to the subcontract. Each hour for which back pay irrespective of mitigation of damages is either awarded or agreed to by the employer the same hours shall not be credited both under subsection a or b as the case may be and under this subsection c. I full name will pay a 5 per day late charge for any payments that are not on time as agreed until the loan is paid in full. Have legally permitted the main contractors to use back to back payment terms while some other states such as california and new york considers the back to back payment clauses as illegal clauses.

A back to back agreement is an easy to conclude form of partnership mostly used if you work together on one specific project. The parties remain independent no new legal entity is created. These hours shall be credited to the employee for the plan year to which the award or agreement pertains rather than the plan year in which the. The payments will be given to full name on the first of every month beginning with june 1st with the last payment being made on october 1st.

Come up with a measurable and reasonable modes and terms of payment. Payment plan agreement with debt collector letter example.