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Legal Loan Agreement Between Family Members
"I need a Legal Loan Agreement Between Family Members for lending SGD 50,000 to my sister for her business startup, with monthly repayments over 3 years starting March 2025, including a 2% annual interest rate."
1. Parties: Identifies the lender and borrower with full legal names and addresses
2. Background: States the family relationship and intention to create a legally binding loan
3. Definitions: Defines key terms used in the agreement
4. Loan Amount and Purpose: Specifies the principal amount and intended use of funds
5. Repayment Terms: Details the repayment schedule and method
6. Interest: Specifies interest rate (if any) and calculation method
7. Events of Default: Defines circumstances constituting default and consequences
8. Governing Law: Specifies Singapore law as the governing law of the agreement
9. Execution: Signature blocks and witnessing requirements
1. Security: Details any collateral or security for the loan (include when the loan is secured against assets)
2. Early Repayment: Terms for early loan repayment and any associated penalties or benefits
3. Death or Incapacity: Provisions for what happens if either party dies or becomes incapacitated
4. Assignment: Provisions regarding whether the loan can be assigned to other parties
5. Dispute Resolution: Specific procedures for resolving disputes between family members
1. Schedule 1 - Repayment Schedule: Detailed breakdown of payment dates and amounts
2. Schedule 2 - Evidence of Relationship: Documents proving family relationship (e.g., birth certificates, marriage certificates)
3. Schedule 3 - Proof of Transfer: Evidence of loan disbursement and payment details
4. Schedule 4 - Security Details: Details of any assets provided as security (if applicable)
Authors
Interest
Repayment Terms
Security
Representations and Warranties
Events of Default
Remedies
Early Repayment
Payment Mechanics
Death or Incapacity
Assignment
Notices
Entire Agreement
Severability
Governing Law
Dispute Resolution
Force Majeure
Amendment
Relationship of Parties
Costs and Expenses
Confidentiality
Termination
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