Common use of TERMS OF PAYMENT Clause in Contracts

TERMS OF PAYMENT. The bills of contractor shall be settled within a period of thirty days from the date of submission thereof if they are in accordance with the terms of the contract. The Company may demand any details, clarifications etc. before passing of the bills and release of payment. Distances verified by the committee of NFL, from various storage locations/Railways Station for operations at Railway station would be the basis for settling transport bills. Wherever the distances verified by NFL’s committee are not available, distance certificates issued by National Highways/State Highways Authorities, State Road Transport Corporation, Automobile Association of India or the shortest motorable distance as derived from Google Map shall be considered as the basis for release of payment. For all such cases Area In-charge shall authenticate the distances. The payment of Bills for movement of material will be settled at the Zonal Office of NFL. Contractor shall have to open account with the branch of a bank having core banking facility for electronic receipts and payments within fifteen days of award of contract.