The Family Promissory Note is a crucial document used in Danish family lending situations to formalize financial arrangements between family members. It is particularly relevant when family members wish to establish clear, legally enforceable terms for substantial loans while maintaining compliance with Danish law. The document combines elements of both contract and family law, ensuring that the loan arrangement is properly documented and enforceable while considering the special nature of family relationships. This type of agreement is especially important for tax compliance, inheritance planning, and avoiding future disputes. The Family Promissory Note should be used whenever there is a significant loan between family members in Denmark, as it provides clarity on terms, protects both parties' interests, and ensures compliance with Danish financial regulations and tax requirements.

1. Parties: Identification of the lender and borrower, including full legal names, addresses, and civil registration numbers (CPR numbers)

2. Background: Brief context of the family relationship and purpose of the loan

3. Definitions: Key terms used in the agreement, including 'Principal Amount', 'Interest Rate', 'Payment Date', etc.

4. Loan Amount and Interest: Specification of the principal amount being lent and the agreed interest rate (if any), in compliance with Danish Interest Act

5. Repayment Terms: Details of how and when the loan will be repaid, including payment schedule and method of payment

6. Default Provisions: Consequences of missing payments or other defaults, including any default interest rates

7. Representations: Basic representations by both parties regarding their capacity to enter into the agreement

8. Notices: How formal communications between the parties should be made

9. Governing Law: Confirmation that Danish law governs the agreement

10. Signatures: Execution block for both parties with date and signatures