Bank Account Control Agreement Template for Austria

A Bank Account Control Agreement is utilized in secured financing transactions where a lender or security agent requires control over the borrower's bank accounts as collateral security. This document, governed by Austrian law, establishes the framework for managing and controlling specified bank accounts, defining how and when the account owner can access funds, and when the security agent can exercise control. It's particularly relevant in project finance, acquisition finance, and other secured lending scenarios where cash flow control is crucial. The agreement must comply with Austrian banking regulations, including the Bankwesengesetz (BWG) and related financial services legislation, while addressing practical operational requirements for all parties. The document typically includes detailed provisions about account management, payment procedures, control triggers, and the rights and obligations of each party.

1. Parties: Identification of all parties: Account Bank, Account Owner, and Security Agent/Beneficiary

2. Background: Context of the agreement, referring to any related credit facilities or security arrangements

3. Definitions and Interpretation: Definitions of key terms and interpretation rules used throughout the agreement

4. Account Bank's Rights and Obligations: Core obligations of the Account Bank regarding account maintenance and control

5. Control and Operation of Accounts: Detailed provisions on account operation, signing rights, and control mechanisms

6. Security Agent's Rights: Rights and powers granted to the Security Agent over the controlled accounts

7. Account Owner's Obligations: Obligations and restrictions on the Account Owner regarding account usage

8. Payments and Withdrawals: Rules and procedures for making payments and withdrawals from the controlled accounts

9. Representations and Warranties: Standard representations and warranties from all parties

10. Notice Requirements: Requirements and procedures for serving notices under the agreement

11. Fees and Expenses: Provisions regarding bank fees and cost allocation

12. Term and Termination: Duration of the agreement and termination provisions

13. Governing Law and Jurisdiction: Specification of Austrian law as governing law and jurisdiction provisions