Common use of Payments Between the Parties Clause in Contracts

Payments Between the Parties. Based upon the Reconciliation Statement, as approved by the Joint Project Team, the JCT or the JSC, as applicable, there shall be a cash settlement between the Parties no later than sixty (60) days after the end of each Calendar Quarter. In the event any payment is made after the date specified in the preceding sentence, the paying Party shall increase the amount otherwise due and payable by adding interest thereon, computed at the rate of prime (in effect at Fleet Bank) plus two percent (2%). If laws, rules or regulations require withholding of income taxes or other taxes imposed upon payments made by one Party to the other Party, the payor Party shall make such withholding payments as required and subtract such withholding payments from the payments otherwise to be made. The payor Party shall submit appropriate proof of payment of the withholding taxes to the payee Party within a reasonable period of time and shall cooperate with the payee Party in the event such Party claims exemption from such withholding, for example by providing copies of receipts of payment of such withheld tax or other documents reasonably available to the payor Party.