Examples of payment clauses

I. Payment for the ... Shall be effected under the credit granted by the ...To the ...According to the ...

To effect payments the Customer shall establish through ... the Letter of Authority with the ... Bank in favour of Supplier.

The Letter of Authority shall be established by the Customer for the total cost of the preparation of the ..., including ... It shall be valid within the period of validity of the present Contract. Payments shall be effected in nine installments in the following manner:

A) The first instalment of ...shall be paid within 30 days from the date of signing the Contract;

B) The following seven (7) instalments of... each shall be paid at 3 month intervals after the payment of the first instalment;

C) The best instalment of... shall be paid after the completion of supply of the ...

The supplier shall forward by air-mail one copy of the invoice to the Customer directly.

In case of any delay in payment on the part of the Customer the Supplier reserves the right to delay handing over the ... or postpone the date of handing...

For each week of delay in payments the Customer shall pay to the Supplier penalty at the rate of... per cent of the amount of the previous payments.

II. The terms of payment are the following:

A) 20 per cent of the total value of the present Contract amounting to ... shall be paid within 30 days of the date of signing the present contract by remittance to the account of the Bank for ... with the ... Bank of Customer.

B) For the following 80 per cent of the total contract value amounting to ... the Customer shall open an irrevocable confirmed Letter of Credit with the Bank ... within 30 days of the date of the Supplier's cable notification of readiness. The Letter of Credit shall be valid for ...months.

Payment from L/C shall be made against presentation of invoices (original and two copies) and copies of shipping documents.

III. Invoices for supplies of equipment and materials — for 100 % of the price of each delivery, c. and f. port of destination — shall be presented as the deliveries are effected. Simultaneously the amounts of the invoices presented for payment to the Bank ...shall be placed to the credit account the way it is envisaged by the Bank Arrangement.

The payments for deliveries of materials shall be effected in US Dollars as follows:

10 % of the total price of a cable transfer against a bank guarantee by the Contractor;

90% of the total price of deliveries shall be paid from the irrevocable divisible transferable letter of credit which shall be opened by the Customer within 30 days from the date of cable notification of the Contractor of the readiness for shipment of the first batch of deliveries (delivery basis is subject to additional agreement).

The period of L/C validity shall cover the whole period of deliveries of materials from third countries.

The amount of each invoice for deliveries shall be decreased by 10 %, i.e. proportionally to the amount of the advance payment received.