Common use of Penalties for delay Clause in Contracts

Penalties for delay. 1. In the event of a delay in the performance of work or in the submission of a deliverable under the Call-Off Arrangement for which the Contractor is responsible, a Penalty for Delivery Delay shall be imposed. 2. Such penalty shall amount to a per cent rate of 0.5% of the contract value of each Call-Off Arrangement, for every day of delay of delivery. 3. Any penalties imposed by the Contracting Authority in accordance with the above paragraphs shall be withheld from the next payment to the Contractor or, if such payment is insufficient, shall be paid by the Contractor. 4. In the event that the delivery periods set have been exceeded and the penalties for delay imposed in connection therewith have reached in total ten percent (10%) of the contract value of each Call-Off Arrangement, the Contracting Authority may declare the Contractor in default and terminate the Framework Agreement, the specific provisions of Annex I applying.

Penalties for delay. 1. In the event of a delay in the performance of work or in the submission of a deliverable under the Call-Off Arrangement Contract for which the Contractor is responsible, a Penalty for Delivery Delay shall be imposed. 2. Such penalty shall amount to a per cent rate of 0.50.25% of the contract value of each Call-Off ArrangementContract Value, for every day of delay of delivery. 3. Any penalties imposed by the Contracting Authority in accordance with the above paragraphs shall be withheld from the next payment to the Contractor or, if such payment is insufficient, shall be paid by collected through forfeiture of an equivalent amount of the ContractorAdvance Payment Guarantee. 4. In the event that the delivery periods set have been exceeded and the penalties for delay imposed in connection therewith have reached in total ten percent (10%) of the contract value of each Call-Off ArrangementContract Value, the Contracting Authority may declare the Contractor in default and terminate the Framework AgreementContract, the specific provisions of Annex I applying.