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Guaranty Agreement
"I need a Belgian law Guaranty Agreement where my company (ABC Manufacturing SA) will guarantee a €5 million loan facility provided by BankCorp NV to our subsidiary (ABC Components BVBA), with the guarantee to become effective from March 1, 2025."
1. Parties: Identification of the Guarantor, the Beneficiary (creditor), and the Principal Debtor
2. Background: Context of the guarantee, including reference to the principal debt or obligation being guaranteed
3. Definitions: Key terms used throughout the agreement, including 'Guaranteed Obligations', 'Event of Default', and 'Enforcement Event'
4. Guarantee: Core guarantee provisions, including scope, nature (independent or accessory), and limitations
5. Representations and Warranties: Guarantor's confirmations regarding capacity, authority, and financial condition
6. Payment Obligations: Terms of payment, currency, and method of payment upon demand
7. Enforcement: Circumstances and process for enforcing the guarantee, including notice requirements
8. Preservation of Rights: Provisions ensuring the guarantee remains valid despite changes to the underlying obligation
9. Tax Gross-up and Indemnities: Provisions dealing with tax implications and related indemnities
10. Duration and Release: Term of the guarantee and conditions for release
11. Notices: Communication requirements and contact details
12. Governing Law and Jurisdiction: Confirmation of Belgian law application and jurisdiction for disputes
1. Multiple Guarantors: Required when there is more than one guarantor, addressing joint and several liability
2. Currency Provisions: Needed for cross-border guarantees involving multiple currencies
3. Security Interest: Used when the guarantee is secured by specific assets
4. Step-in Rights: Included when the beneficiary has the right to take over the principal debtor's position
5. Financial Covenants: Required when the guarantor must maintain specific financial metrics
6. Corporate Benefit Language: Required for corporate guarantors to address Belgian corporate benefit requirements
7. Consumer Protection Provisions: Required when the guarantor is a natural person acting as a consumer
1. Schedule 1 - Guaranteed Obligations: Detailed description of the obligations being guaranteed
2. Schedule 2 - Form of Demand: Template for making a demand under the guarantee
3. Schedule 3 - Conditions Precedent: List of documents and conditions required before the guarantee becomes effective
4. Schedule 4 - Financial Information: Forms and requirements for financial reporting, if applicable
5. Schedule 5 - Security Documents: Details of any security provided in support of the guarantee
6. Appendix A - Corporate Authorizations: Copies of relevant corporate approvals and authorizations
Authors
Beneficiary
Business Day
Default Interest
Default Notice
Demand
Effective Date
Enforcement Event
Event of Default
Finance Documents
Financial Indebtedness
Guaranteed Documents
Guaranteed Obligations
Guarantor
Insolvency Event
Interest Period
Material Adverse Change
Maximum Guaranteed Amount
Parties
Payment Date
Principal Debtor
Principal Documents
Release Date
Security
Security Period
Taxes
Tax Deduction
Underlying Agreement
Working Hours
Permitted Security Interest
Guarantee Claim
Guarantee Period
Relevant Jurisdiction
Schedule
Subsidiary
Transfer
Written Notice
Indemnified Party
Legal Reservations
Termination Date
Interpretation
Guarantee and Indemnity
Payment Obligations
Representations and Warranties
Preservation of Rights
Financial Covenants
Enforcement
Tax Gross-up
Currency
Set-off
Costs and Expenses
Assignment and Transfer
Amendments and Waivers
Severability
Notices
Confidentiality
Data Protection
Force Majeure
Termination
Release
Further Assurance
Limitation of Liability
Governing Law
Jurisdiction
Service of Process
Waiver of Immunity
Entire Agreement
Counterparts
Third Party Rights
Banking and Financial Services
Real Estate
Construction
Manufacturing
Retail
Energy
Infrastructure
Telecommunications
Healthcare
Professional Services
Import/Export
Logistics
Legal
Finance
Treasury
Risk Management
Compliance
Corporate Secretariat
Credit Management
Commercial
Business Development
Account Management
Chief Financial Officer
Finance Director
Legal Counsel
Corporate Lawyer
Risk Manager
Credit Manager
Treasury Manager
Commercial Director
Contract Manager
Company Secretary
Compliance Officer
Financial Controller
Business Development Manager
Account Manager
Corporate Banking Manager
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