Common use of PAYMENT TERMS AND SETTLEMENT OF ACCOUNTS Clause in Contracts

PAYMENT TERMS AND SETTLEMENT OF ACCOUNTS. All monies or accounts due DEALER from Porsche will be considered net of DEALER's obligations to Porsche on DEALER's parts/open account. Porsche may deduct or offset any amounts due or to become due from DEALER to Porsche, or any amounts held by Porsche, from or against any sums or accounts due or to become due from Porsche to DEALER. Payments by DEALER to Porsche shall be made by electronic bank debit or in any other manner prescribed by Porsche and shall be applied against DEALER's indebtedness in accordance with Porsche's policies and practices. Porsche shall have the right to apply payments received from DEALER to any amount owed to Porsche, in Porsche's sole discretion. All obligations owed by DEALER to Porsche shall be due and payable when billed, unless other terms are established by Porsche in writing. DEALER agrees that, as a condition for approval of a new Agreement or transfer of ownership, DEALER must first make arrangements acceptable to Porsche to satisfy any outstanding obligations to Porsche on DEALER's parts/open account.

PAYMENT TERMS AND SETTLEMENT OF ACCOUNTS. All monies or accounts due DEALER from Porsche will be considered net of DEALER's obligations to Porsche on DEALER's parts/open account. Porsche may deduct or offset any amounts due or to become due from DEALER to Porsche, or any amounts held by Porsche, from or against any sums or accounts due or to become due from Porsche to DEALER. Payments by DEALER to Porsche shall be made by electronic bank debit or in any other manner prescribed by Porsche and shall be applied against DEALER's indebtedness in accordance with Porsche's policies and practices. Porsche shall have the right to apply payments received from DEALER to any amount owed to Porsche, in Porsche's sole discretion. All obligations owed by DEALER to Porsche shall be due and payable when billed, unless other terms are established by Porsche in writing. DEALER agrees that, as a condition for approval of a new Agreement or transfer of ownership, DEALER must first make arrangements acceptable to -19- <PAGE> Porsche to satisfy any outstanding obligations to Porsche on DEALER's parts/open account.. SECTION H: