Reservation Surcharge Clause Samples
A Reservation Surcharge clause establishes an additional fee that is applied to a reservation, typically in specific circumstances such as peak periods, special events, or last-minute bookings. This surcharge may be a fixed amount or a percentage of the base reservation cost, and is usually disclosed to the customer at the time of booking. The core function of this clause is to allow the service provider to manage demand, cover increased operational costs, or incentivize early reservations, thereby ensuring fair compensation for higher-demand situations.
Reservation Surcharge. The Reservation Surcharge for a particular year shall equal twenty-five percent (25%) of the Reservation Fee for that year and shall be due and payable with the Reservation Fee each year; provided, however, the Reservation Surcharge shall be discontinued whenever the Credit Entries to the Region K Credit Account are equal to or greater than the sum of the Incurred Capital Costs for the Region K Projects and the then estimated Unincurred Capital Costs of the Region K Projects. The Reservation Surcharge shall be reinstated if the balance in the Region K Credit Account is ever less than the then estimated Unincurred Capital Costs of the Region K Projects. The Reservation Surcharge shall be reinstated as of the date the balance is less than the then estimated Unincurred Capital Cost of the Region K Projects and continued until the Credit Balance in the Region K Credit Account equals or exceeds the then estimated Unincurred Capital Costs of the Region K Projects.