Common use of DIR Credits Clause in Contracts

DIR Credits. (1) Vendor acknowledges that with respect to matters covered by Exhibit D (“Per- formance Management”), DIR shall be entitled to assess Credits for such Defi- ciencies. DIR reserves the right, in its sole and absolute discretion, to waive all of part of any Credits, provided that all such waivers must be in writing, contain the reasons for the waiver, and must be signed by an authorized executive of DIR. (2) The Credits prescribed in Exhibit D (“Performance Management”) are not in- tended to be in the nature of a penalty, but are intended to be reasonable esti- mates of DIR’s projected Damages resulting from Deficiencies. (3) In accordance with Exhibit D Performance Management, DIR may elect, in its sole and absolute discretion, to collect Credits: (A) through direct assessment and demand for payment delivered to Vendor; or (B) by deduction of amounts assessed as Credits as set-off against pay- ments then due to Vendor for the Services or that become due at any time after assessment of the Credits. DIR will make deductions until the full amount payable by the Vendor is received by the State.

DIR Credits. (1) Vendor acknowledges that with respect to matters covered by Exhibit D (“Per- ―Per- formance Management”Management‖), DIR shall be entitled to assess Credits for such Defi- ciencies. DIR reserves the right, in its sole and absolute discretion, to waive all of part of any Credits, provided that all such waivers must be in writing, contain the reasons for the waiver, and must be signed by an authorized executive of DIR. (2) The Credits prescribed in Exhibit D (“Performance Management”―Performance Management‖) are not in- tended to be in the nature of a penalty, but are intended to be reasonable esti- mates of DIR’s projected Damages resulting from Deficiencies. (3) In accordance with Exhibit D Performance Management, DIR may elect, in its sole and absolute discretion, to collect Credits: (A) through direct assessment and demand for payment delivered to Vendor; or (B) by deduction of amounts assessed as Credits as set-off against pay- ments then due to Vendor for the Services or that become due at any time after assessment of the Credits. DIR will make deductions until the full amount payable by the Vendor is received by the State.