Common use of PROCEDURE OF PAYMENTS Clause in Contracts

PROCEDURE OF PAYMENTS. 5.1. The Licensee shall pay the remuneration (hereinafter – the Licence Fee) to the Licensor in accordance with the following procedure and terms: 5.1.1. An initial lump sum fixed payment for obtaining the licence in the amount of EUR 5.1.2. Annual fixed payments for the maintenance of the licence in the amount of EUR (amount in words) (excluding VAT). The Licensee shall make the annual fixed payments within 1 (one) month after the expiry of each 12 (twelve) months period, starting from the day the Agreement takes effect. 5.1.3. Royalty payments in the amount of 5% (five percent) a year of the annual turnover of the sold Products by the Licensee for each year from the moment the Licence Agreement takes effect and until its expiry. The Licensee shall pay the royalty within 1 (one) month from the day of submitting the audited Financial Statement stipulated by Article 5.4. 5.1.4. All payments prescribed by the Agreement are taxable with value added tax. The Licensee shall pay the value added tax in accordance with the procedures and in the amount specified in regulatory enactments. 5.2. The Licensee shall make the Licence Fee stipulated by Article 5.1 in accordance with the invoice prepared by the Licensor, which the Licensor shall send electronically to the Licensee's e-mail address provided in Article 9.

PROCEDURE OF PAYMENTS. 5.1. The Licensee shall pay the remuneration (hereinafter – the Licence Fee) to the Licensor in accordance with the following procedure and terms: 5.1.1. An initial lump sum fixed payment for obtaining the licence in the amount of EUR 5.1.2. Annual fixed payments for the maintenance of the licence in the amount of EUR (amount in words) (excluding VAT). The Licensee shall make the annual fixed payments within 1 (one) month after the expiry of for each 12 (twelve) months period, starting year from the day moment the Licence Agreement takes effect.effect till the 3rd (third) year (inclusive), which in total is EUR 5.1.3. Royalty payments in the amount of 51,5% (one point five percent) a year of the annual turnover of the sold Products by the Licensee Production. The royalty payments shall be made for each year starting from the 4th (fourth) year from the moment the Licence Agreement takes effect and until its expiry. The Licensee shall pay the make royalty payments within 1 (one) month from the day of submitting the audited Audited Financial Statement stipulated by Article 5.4. 5.1.4. All payments prescribed by the Agreement are taxable with value added tax. The Licensee shall pay the value added tax in accordance with the procedures and in the amount specified in regulatory enactments. 5.2. The Licensee shall make the Licence Fee stipulated by Article 5.1 in accordance with the invoice prepared by the Licensor, which the Licensor shall send electronically to the Licensee's e-mail address provided in Article 9.