Invoice payment terms
Net-30 terms, late fees, disputed invoices and a stop-work right, as an addendum to your agreement.
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INVOICE PAYMENT TERMS ADDENDUM
This addendum sets the payment terms for invoices issued by [PROVIDER LEGAL NAME] (the "Provider") to [CLIENT LEGAL NAME] (the "Client") under [AGREEMENT NAME OR REFERENCE].
1. Payment Due Date
All invoices are due net 30 days from the invoice date ("Net 30"), unless a different term is stated on the invoice.
2. Late Fee
Amounts remaining unpaid after the due date will incur a late fee of [LATE FEE PERCENTAGE]% per month on the outstanding balance, or the maximum rate permitted by law, whichever is less.
3. Accepted Payment Methods
The Provider accepts payment by [ACCEPTED METHODS]. The Client is responsible for any processing fees charged by its chosen payment method unless otherwise agreed in writing.
4. Disputed Invoices
If the Client disputes any invoiced amount, the Client will notify the Provider in writing within [DISPUTE NOTICE PERIOD] days of the invoice date, describing the dispute in reasonable detail. The Client will pay all undisputed amounts on time while the dispute is resolved.
5. Stop Work Right
If any invoice remains unpaid for more than [OVERDUE DAYS] days past its due date, the Provider may suspend further work until the overdue amounts are paid in full, upon [SUSPENSION NOTICE PERIOD] days written notice. Suspension does not relieve the Client of its payment obligations.
6. Governing Law
These payment terms are governed by the laws of the State of [GOVERNING LAW STATE].
Agreed:
[PROVIDER LEGAL NAME]
Signature: _________________________ Date: [PROVIDER SIGNATURE DATE]
[CLIENT LEGAL NAME]
Signature: _________________________ Date: [CLIENT SIGNATURE DATE]
What the interview asks
Plain questions in 4 short steps. Each answer goes into the agreement exactly where it belongs; the interview never chooses terms for you.
Provider
- Full legal nameThe full registered legal name of the business issuing the invoices.
Client
- Full legal nameThe full registered legal name of the client business.
Terms
- Agreement these terms attach toThe contract these payment terms attach to, with its date if known.
- Monthly late fee (%)Monthly late fee on overdue balances, e.g., 1.5. Confirm it does not exceed your state's legal maximum.
- Accepted payment methodsWhich payment methods you take, e.g., ACH, check, credit card, wire.
- Days to flag a disputed invoiceHow quickly the client must flag a disputed invoice, commonly 10 to 15 days.
- Days overdue before work may pauseHow many days past due before you may suspend work, commonly 30 to 60.
- Days of notice before pausing workHow much written warning you give before suspending work, commonly 5 to 10 days.
- Governing law stateThe state whose laws apply to these terms.
Signatures
- Provider · signature dateDates each party signs. Leave blank to date it when signed.
- Client · signature dateDates each party signs. Leave blank to date it when signed.