The price is right_2
13 September 2012
Contracts should spell out how much the purchasing organisation pays its suppliers and when. Belinda Doshi explains how buyers can tailor pricing and payment terms to protect their service
Pricing and payment terms are often overlooked in a contract but they are important for three reasons. First, they incentivise the right type of performance. Second, they make sure that the purchaser knows clearly how much they have to pay and what can be expected for their money. Lastly, terms determine how any disputes relating to price, payment or both are to be...