Common use of Compensation Charges Clause in Contracts

Compensation Charges. Notwithstanding any other provisions hereof, the Hirer agree, covenant and undertake that in the event the Instalments or any other monies payable hereunder shall for any reason whatsoever remain unpaid to the Owner on the stipulated date thereof, the Hirer shall pay to the Owner compensation charges as calculated in the manner approved by the Shariah Advisory Council of Bank Negara Malaysia (“BNM”): (a) During the tenure of this Agreement: the rate of one per centum (1%) per annum or such other rates approved by BNM on the overdue Instalments; (b) Upon termination of this Agreement: the rate of one per centum (1%) per annum or such other rates approved by BNM on the outstanding balance (outstanding amount financed and ▇▇▇▇-up); (c) After the expiry of the Agreement: the BNM’s prevailing daily overnight Islamic Interbank Money Market (“IIMM”) rate or such other rates approved by BNM on the outstanding balance (outstanding amount financed and ▇▇▇▇-up); (d) Post Judgment - the BNM’s prevailing daily overnight IIMM rate or such other rates approved by BNM on the Judgment sum. The compensation amount shall not be compounded and the reference rate for the actual loss shall be determined at the point of default, computed on a daily basis from the payment due date.

Compensation Charges. Notwithstanding any other provisions hereof, the Hirer agree, covenant and undertake that in the event the Instalments or any other monies payable hereunder shall for any reason whatsoever remain unpaid to the Owner on the stipulated date thereof, the Hirer shall pay to the Owner compensation charges as calculated in the manner approved by the Shariah Advisory Council of Bank Negara Malaysia (“BNM”): (a) During the tenure of this Agreement: the rate of one per centum (1%) per annum or such other rates approved by BNM on the overdue Instalments; (b) Upon termination of this Agreement: the rate of one per centum (1%) per annum or such other rates approved by BNM on the outstanding balance (outstanding amount financed and ▇▇▇▇-upmark-up); (c) After the expiry of the Agreement: the BNM’s prevailing daily overnight Islamic Interbank Money Market (“IIMM”) rate or such other rates approved by BNM on the outstanding balance (outstanding amount financed and ▇▇▇▇-upmark-up); (d) Post Judgment - the BNM’s prevailing daily overnight IIMM rate or such other rates approved by BNM on the Judgment sum. The compensation amount shall not be compounded and the reference rate for the actual loss shall be determined at the point of default, computed on a daily basis from the payment due date.