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Financial Contract
"I need a Financial Contract governed by Pakistani law for a term loan facility of PKR 50 million between ABC Bank Limited and XYZ Manufacturing Company, with quarterly repayments starting March 2025 and including standard security provisions for plant and machinery."
1. Parties: Identification and details of all contracting parties, including registration numbers and addresses
2. Background/Recitals: Context of the agreement and relationship between parties
3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement
4. Facility/Financial Terms: Core financial terms including amount, purpose, interest/profit rate, tenure, and repayment terms
5. Conditions Precedent: Conditions that must be satisfied before the agreement becomes effective
6. Representations and Warranties: Statements of fact and assurances given by parties
7. Covenants: Positive and negative obligations of the parties during the agreement term
8. Events of Default: Circumstances constituting default and consequences thereof
9. Security: Details of any collateral or security arrangements
10. Payment Terms: Detailed payment mechanisms, schedules, and procedures
11. Regulatory Compliance: Compliance with Pakistani banking laws and regulations
12. Notices: Communication procedures between parties
13. Governing Law and Jurisdiction: Specification of Pakistani law and relevant jurisdiction
14. Dispute Resolution: Procedures for resolving disputes, including courts or arbitration
1. Islamic Banking Compliance: Required for Shariah-compliant financial contracts, specifying compliance with Islamic banking principles
2. Foreign Exchange Provisions: Required for contracts involving foreign currency or cross-border elements
3. Insurance: Required when specific insurance coverage is needed for the financial facility
4. Assignment and Transfer: Include when rights/obligations may need to be transferred
5. Force Majeure: Optional clause for unforeseeable circumstances preventing performance
6. Anti-Money Laundering: Additional compliance section for high-value or international transactions
7. Digital Banking Provisions: Required for contracts involving digital banking services or electronic transactions
8. Guarantees: Required when third-party guarantees are part of the arrangement
1. Schedule 1 - Facility Details: Detailed breakdown of financial terms, amounts, and calculations
2. Schedule 2 - Security Details: Detailed description of security or collateral
3. Schedule 3 - Repayment Schedule: Detailed payment schedule with dates and amounts
4. Schedule 4 - Conditions Precedent Documents: List of required documents and conditions
5. Schedule 5 - Form of Drawdown Notice: Template for requesting disbursement of funds
6. Schedule 6 - Authorized Representatives: List of authorized signatories and their specimens
7. Appendix A - Required Forms: Standard forms and notices required under the agreement
8. Appendix B - Compliance Certificates: Templates for periodic compliance reporting
Authors
Facility Amount
Availability Period
Business Day
Drawdown
Drawdown Date
Drawdown Notice
Event of Default
Default Rate
Interest Period
KIBOR
Material Adverse Effect
Security
Security Documents
Secured Assets
Secured Obligations
Financial Indebtedness
Financial Statements
Finance Documents
Affiliate
Authorized Representative
Conditions Precedent
Encumbrance
Facility Period
Financial Year
Guarantor
Interest Payment Date
Late Payment Charges
Margin
Maturity Date
Outstanding Amount
Permitted Security
Principal
Profit Rate
Relevant Authority
Repayment Date
Repayment Schedule
Sanctions
Security Interest
State Bank
Substantial Interest
Tax
Transaction Documents
Unutilized Amount
Utilization
Shariah Principles
Musharaka
Murabaha
Wakala
Ijarah
Due Diligence
Undertaking
Compliance Certificate
Material Contract
Permitted Distribution
Quarter
Quarter Date
Reference Banks
Subsidiary
Working Day
Interest/Profit Rate
Repayment
Security
Conditions Precedent
Representations and Warranties
Positive Covenants
Negative Covenants
Financial Covenants
Information Covenants
Events of Default
Acceleration
Set-off
Security Enforcement
Payment Mechanics
Fees and Expenses
Tax Gross-up
Increased Costs
Indemnities
Confidentiality
Assignment and Transfer
Amendments and Waivers
Notices
Calculations and Certificates
Partial Invalidity
Remedies and Waivers
Counterparts
Governing Law
Enforcement
Jurisdiction
Dispute Resolution
Force Majeure
Shariah Compliance
Anti-Money Laundering
Sanctions Compliance
Electronic Banking
Currency Provisions
Insurance
Security Trustee Provisions
Agency Provisions
Further Assurance
Stamp Duty
Registration Requirements
Limited Recourse
Third Party Rights
Banking
Financial Services
Islamic Banking
Corporate Finance
Microfinance
Investment Banking
Commercial Banking
Asset Management
Insurance
Private Equity
Legal
Finance
Compliance
Risk Management
Treasury
Corporate Finance
Credit
Operations
Company Secretariat
Internal Audit
Chief Financial Officer
Finance Manager
Legal Counsel
Compliance Officer
Credit Risk Manager
Banking Relationship Manager
Treasury Manager
Corporate Finance Director
Financial Controller
Legal Director
Risk Management Officer
Company Secretary
Investment Manager
Banking Operations Manager
Financial Analyst
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