The Security Agreement Form is a fundamental document in South African secured lending and financial transactions. It is used when a party (the security provider) wishes to grant security over specific assets to secure obligations owed to another party (typically a lender). The agreement must comply with South African security law requirements and can cover various types of assets, including movable and immovable property. This document is essential in both commercial lending and corporate finance transactions, providing the secured party with rights over the secured assets in case of default. The Security Agreement Form includes detailed provisions on the creation, perfection, and enforcement of the security interest, as well as the parties' respective rights and obligations. It is commonly used in conjunction with facility agreements, loan documents, or other primary obligations being secured.

1. Parties: Identification of the Grantor (security provider) and Secured Party, including full legal names and registration details

2. Background: Context of the security arrangement, reference to any underlying obligations or facilities being secured

3. Definitions and Interpretation: Definitions of key terms and interpretation rules, including specific security-related terminology

4. Grant of Security Interest: Express creation and grant of the security interest, including the nature and extent of the security

5. Secured Obligations: Clear description of the obligations being secured, including present and future obligations if applicable

6. Representations and Warranties: Grantor's representations regarding ownership, authority, and status of the secured assets

7. Perfection and Registration: Requirements for perfecting the security interest, including registration obligations

8. Maintenance and Preservation: Grantor's obligations regarding maintenance and preservation of the secured assets

9. Events of Default: Specific events triggering enforcement rights under the security agreement

10. Enforcement Rights: Secured Party's rights and remedies upon default, including sale and possession rights

11. Costs and Expenses: Allocation of costs related to the creation, registration, and enforcement of the security

12. Notices: Process for giving notices under the agreement

13. General Provisions: Standard boilerplate clauses including governing law, jurisdiction, and amendment procedures