Final Proration Adjustment Clause Samples
The Final Proration Adjustment clause establishes the process for making a final calculation and settlement of prorated expenses or revenues between parties, typically at the closing of a transaction. In practice, this clause ensures that items such as taxes, utilities, rents, or other recurring costs are fairly divided based on the actual period each party is responsible for, often using updated or final figures that may not have been available at closing. Its core function is to ensure an equitable allocation of shared financial responsibilities, preventing disputes by providing a clear mechanism for post-closing adjustments.
Final Proration Adjustment provided that such deadline shall not apply to any final prorations that may be required with respect to any Real Estate Taxes. Any reprorated items shall be promptly paid to the party entitled thereto. Any errors or omissions in computing adjustments at the Closing shall be promptly corrected, but only so long as the party seeking to correct such error or omission has notified the other party of such error or omission no later than the Final Proration Adjustment. The proration of income and expense at the Final Proration Adjustment shall be final and conclusive; there shall be no further proration or adjustment following the Final Proration Adjustment. On the Closing Date, Seller shall deliver to Buyer all inventories of supplies on hand at the Property owned by Seller, if any, at no additional cost to Buyer. The provisions of this Section 6.9 shall survive Closing.
Final Proration Adjustment. Within five (5) Business Days after the final determination of the Final Proration Statement, or the failure of Seller to submit a timely Protest Notice: (i) if the Final Amount to be Prorated is less than the Estimated Amount to be Prorated, then Buyer shall pay to Seller the amount of such difference by wire transfer of immediately available funds to the bank account(s) specified by Seller, or (ii) if the Final Amount to be Prorated is greater than the Estimated Amount to be Prorated, then Seller shall pay to Buyer the amount of such difference by wire transfer of immediately available funds to the bank account(s) specified by Buyer.
Final Proration Adjustment. Any reprorated items shall be promptly paid to the Party entitled thereto. Any errors or omissions in computing adjustments at the Closing shall be promptly corrected, but only so long as the Party seeking to correct such error or omission has notified the other Party of such error or omission no later than the Final Proration Adjustment. The proration of income and expense at the Final Proration Adjustment shall be final and conclusive; there shall be no further proration or adjustment following the Final Proration Adjustment.