Common use of Overpayments and Offsets Clause in Contracts

Overpayments and Offsets. Contractor and CDCR/CCHCS agree that CDCR/CCHCS may offset any overpayment, erroneous payment, or otherwise improper payment (collectively, overpayment) to Contractor by directly withholding that amount from the next payment or several payments, as necessary to pay the overpayment, that would otherwise be due to the Contractor. However, at least thirty (30) calendar days prior to seeking recovery via offset, CDCR/CCHCS shall provide written notice to the Contractor to explain the nature of the overpayment and describe the recovery process. CDCR/CCHCS will not offset an overpayment during the pendency of an appeal, filed under Section 2, Dispute Resolution Process provision of this exhibit, challenging the determination of overpayment. If recovery of the full amount of overpayment at one time imposes a financial hardship on Contractor, CDCR/CCHCS, in its sole discretion, may grant Contractor’s request to repay the recoverable amount in monthly installments over a period of consecutive months, not to exceed six (6) months.

Overpayments and Offsets. Contractor and CDCR/CCHCS agree that CDCR/CCHCS may offset any overpayment, erroneous payment, or otherwise improper payment (collectively, overpayment) to Contractor by directly withholding that amount from the next payment or several payments, payments as necessary to pay the overpayment, that would otherwise be due to the Contractor. However, at least thirty (30) calendar days prior to seeking recovery via offset, CDCR/CCHCS shall provide written notice to the Contractor Contractor, to explain the nature of the overpayment and to describe the recovery process. CDCR/CCHCS will not offset an overpayment during the pendency of an appeal, filed under Section 2, the Dispute Resolution Process provision of this exhibitprocess set forth in Provision 2, challenging the determination of overpayment. If recovery of the full amount of overpayment at one time imposes a financial hardship on Contractor, CDCR/CCHCS, in its sole discretion, may grant Contractor’s request to repay the recoverable amount in monthly installments over a period of consecutive months, not to exceed six (6) months.