Rights of Recoupment and Setoff Clause Samples

The Rights of Recoupment and Setoff clause allows a party to offset amounts owed to the other party against amounts that the other party owes to them, effectively netting out mutual debts. In practice, if one party has a claim for damages or unpaid invoices, they can deduct those amounts from payments otherwise due under the contract. This clause is commonly used in financial agreements or supply contracts to streamline settlements and reduce the risk of non-payment. Its core function is to provide a mechanism for resolving mutual obligations efficiently, minimizing the need for separate legal actions to recover debts.
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Rights of Recoupment and Setoff. SRC has the right to invoice LE for any liability or obligation that LE’s may owe to and all SRC or its affiliates. LE shall pay such liability or obligation promptly upon demand. If LE does not pay such SRC invoices within ten days, SRC shall have the right to reduce, withhold or setoff against any payment due LE hereunder with respect to any such liability or obligation. SRC’s rights to recoupment and set-off shall be senior to any claim asserted by any other party against the payment.
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Rights of Recoupment and Setoff. Sears shall have the right to reduce, withhold or set-off against any payment due Licensee hereunder any liability or obligation which Licensee may have to Sears. Any Licensee liabilities or obligations which remain outstanding after any exercise of Sears right of set-off shall be paid by Licensee promptly upon demand by Sears. Sears rights under this Section are cumulative, shall be in addition to all other rights, remedies available at law or in equity, and shall survive the expiration or termination of this Agreement.
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Rights of Recoupment and Setoff. SHGS has the right to invoice LE for any liability or obligation that LE may owe to SHGS or its Affiliates. LE shall pay the amounts of such invoice as specified in Section 9(c). If LE does not pay such invoices, SHGS may reduce, withhold or setoff against any payment due LE from SHGS or its Affiliates. SHGS’s rights to recoupment and set-off shall be senior to any claim asserted by any other party against the payment.
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Rights of Recoupment and Setoff. Each party shall have the right to reduce, withhold or set off against any payment due the other party hereunder for any liability owed under this Agreement or otherwise. The rights under this Section are cumulative, shall be in addition to all other rights and remedies available at law or in equity and shall survive the expiration or termination of this Agreement.
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Rights of Recoupment and Setoff. Subject to the Senior Rights of Coast Business Credit, Debtor hereby grants Secured Party a subordinated right of recoupment and a contractual right of setoff and a security interest in (i) monies, accounts or other property of Debtor held by Secured Party in any capacity, and (ii) obligations of Secured Party to Debtor, including but not limited to Secured Party's obligations under the Wafer Supply Agreement, including any of the foregoing held or owed jointly with someone else. Subject to the Senior Rights of Coast Business Credit, upon any material Event of Default, Debtor authorizes Secured Party to recoup, and to charge or setoff from time to time all Indebtedness against any and all of the foregoing without regard to concepts of mutuality or other requirements of common law recoupment or setoff.
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Rights of Recoupment and Setoff. Sears shall have the absolute right to withhold, recoup from or set off against any payment or other liability or obligation that Sears may owe or have due to Licensee under this Agreement or any other agreement between Sears and Licensee, and Sears shall have the right to reduce any such payment, liability or obligation by an amount up to the amount of any payment, liability or obligation that Licensee may have to Sears. Any of Licensee's undisputed liabilities or obligations that remain outstanding after any exercise of Sears' rights under this Section 6.7 shall be paid by Licensee promptly upon demand by Sears. Sears' rights under this Section 6.7 are cumulative, shall be in addition to all other rights, remedies available at law or in equity, and shall survive the expiration or termination of this Agreement.
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Rights of Recoupment and Setoff. Agent has the right to invoice LE for any liability or obligation that LE may owe to Agent or its Affiliates. LE shall pay the amounts of such invoice as specified in Section 9(c). If LE does not pay such invoices, Agent may reduce, withhold or setoff against any payment due LE from Agent or its Affiliates. Agent’s rights to recoupment and set-off shall be senior to any claim asserted by any other party against the payment.
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Related to Rights of Recoupment and Setoff

  • Rights of Setoff If an Event of Default shall have occurred and be continuing, each Lender, the L/C Issuer and each of their respective Affiliates is hereby authorized at any time and from time to time, after obtaining the prior written consent of the Administrative Agent, to the fullest extent permitted by applicable Law, to set off and apply any and all deposits (general or special, time or demand, provisional or final, in whatever currency) at any time held and other obligations (in whatever currency) at any time owing by such Lender, the L/C Issuer or any such Affiliate to or for the credit or the account of any Loan Party against any and all of the obligations of such Loan Party now or hereafter existing under this Agreement or any other Loan Document to such Lender or the L/C Issuer or their respective Affiliates, irrespective of whether or not such Lender, the L/C Issuer or such Affiliate shall have made any demand under this Agreement or any other Loan Document and although such obligations of such Loan Party may be contingent or unmatured or are owed to a branch or office or Affiliate of such Lender or the L/C Issuer different from the branch or office or Affiliate holding such deposit or obligated on such indebtedness; provided, that in the event that any Defaulting Lender shall exercise any such right of setoff, (x) all amounts so set off shall be paid over immediately to the Administrative Agent for further application in accordance with the provisions of Section 2.15 and, pending such payment, shall be segregated by such Defaulting Lender from its other funds and deemed held in trust for the benefit of the Administrative Agent, the L/C Issuer and the Lenders, and (y) the Defaulting Lender shall provide promptly to the Administrative Agent a statement describing in reasonable detail the Obligations owing to such Defaulting Lender as to which it exercised such right of setoff. The rights of each Lender, the L/C Issuer and their respective Affiliates under this Section are in addition to other rights and remedies (including other rights of setoff) that such Lender, the L/C Issuer or their respective Affiliates may have. Each Lender and the L/C Issuer agrees to notify the Borrower and the Administrative Agent promptly after any such setoff and application, provided that the failure to give such notice shall not affect the validity of such setoff and application.

  • Set-off and Recoupment The cash, investment property, security, instrument or other financial assets credited to a Collateral Account will not be subject to deduction, set-off, recoupment, banker’s lien, or other right in favor of a Person other than the Secured Party. However, the Financial Institution may set off (a) the customary fees and expenses for the routine maintenance and operation of the Collateral Account due to the Financial Institution, (b) the face amount of checks credited to the Collateral Account but subsequently returned unpaid due to uncollected or insufficient funds and (c) advances made to settle an investment of funds in the Collateral Account.

  • Rights of Set-Off With respect to any amount that HHSC in good faith determines should be reimbursed to it or is otherwise payable to it by the MA Dual SNP pursuant to this Agreement, HHSC may deduct the entire amount owed against the charges otherwise payable or expenses owed to it under this Agreement until such time as the entire amount determined to be owed has been paid. HHSC will provide the MA Dual SNP with written notice of and supporting information concerning such offsets, and will be relieved of its obligation to make any payments to the MA Dual SNP until such time as all such amounts have been paid to HHSC.

  • Right of Recovery KFHPWA has the right to recover excess payment whenever it has paid allowable expenses in excess of the maximum amount of payment necessary to satisfy the intent of this provision. KFHPWA may recover excess payment from any person to whom or for whom payment was made or any other issuers or plans. Questions about Coordination of Benefits? Contact the State Insurance Department.

  • Right of Setoff If an Event of Default shall have occurred and be continuing, each Lender and each of its Affiliates is hereby authorized at any time and from time to time, to the fullest extent permitted by law, to set off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other obligations at any time owing by such Lender or Affiliate to or for the credit or the account of the Borrower against any of and all the obligations of the Borrower now or hereafter existing under this Agreement held by such Lender, irrespective of whether or not such Lender shall have made any demand under this Agreement and although such obligations may be unmatured. The rights of each Lender under this Section are in addition to other rights and remedies (including other rights of setoff) which such Lender may have.