Lump Sum Late Fees Clause Samples
The Lump Sum Late Fees clause establishes a fixed monetary penalty that is charged if a payment or obligation is not fulfilled by the agreed deadline. Instead of calculating late fees based on a percentage or accruing interest over time, this clause imposes a single, predetermined amount for each instance of lateness. This approach simplifies the process of assessing penalties and provides both parties with clear expectations regarding the consequences of late performance, thereby encouraging timely compliance and reducing disputes over fee calculations.
Lump Sum Late Fees. If the Program does not receive payment within 15 days of the due date, a Late Fee for Lump Sum Purchase will be applied (see Program Fee Chart). Forty-five days after the due date, a penalty of 1 percent of the total amount due, including the amount of all outstanding fees and penalties imposed pursuant to the Contract, will be imposed for each period of 30 days or portion thereof that passes until:
Lump Sum Late Fees. If the Program does not receive payment within 15 days of the due date, a Late Fee for Lump Sum Purchase will be applied (see Program Fee Chart). Forty-five days after the due date, a penalty of 1 percent of the total amount due, including the amount of all outstanding fees and penalties imposed pursuant to the contract, will be imposed for each period of 30 days or portion thereof that passes until: ▪ The total amount due is paid; or ▪ The contract is terminated at the discretion of the Program Administrator, whichever occurs first. The Program will then return to the purchaser the amount paid by the purchaser (without interest), less the enrollment fee and termination fee (see Program Fee Chart).