Common use of Performance Credits Clause in Contracts

Performance Credits. In the event that a performance credit for any month is requested by Sprint in writing as provided in Exhibit C [Hosting Service Level Agreement] or Exhibit J [Software Maintenance Service Level Agreement], Service Provider shall issue a credit memo detailing the percentage of the applicable month’s Fees due as a credit to Sprint within [*] days of the end of the applicable month and Sprint may credit such amount against the next payment due to Service Provider. If the amount of any performance credits exceeds the amount otherwise to be paid, Sprint will carry such credits forward on each subsequent remittance until fully credited to Sprint, and, if a credit balance remains at the end of the Term, Service Provider will then refund the credit balance to Sprint.