Forbearance Agreement With Release Provision

Letterhead

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

Date:

{{date}}

BETWEEN:

{{lender_company_name}} (hereinafter referred to as "the Lender"), a company duly incorporated under the laws of [Country], with its principal place of business at {{lender_address}};

AND

{{borrower_company_name}} (hereinafter referred to as "the Borrower"), a company duly incorporated under the laws of [Country], with its principal place of business at {{borrower_address}}.

WHEREAS:

A. The Borrower is indebted to the Lender under a Loan Agreement dated {{original_loan_agreement_date}}, in the principal amount of {{original_loan_amount}} (the “Original Loan”).

B. The Borrower has experienced financial difficulties and has requested the Lender to provide forbearance regarding the Original Loan’s repayment schedule.

C. The Lender is willing to grant such forbearance on the terms and conditions set forth herein.

1. FORBEARANCE PERIOD

1.1. The Lender hereby agrees to forbear from exercising its rights and remedies under the Original Loan Agreement for a period commencing on {{forbearance_start_date}} and ending on {{forbearance_end_date}} (the “Forbearance Period”).

1.2. During the Forbearance Period, the Borrower shall make reduced payments of {{reduced_payment_amount}} on the {{payment_frequency}} of each month, commencing {{first_reduced_payment_date}}.

2. ACCRUED INTEREST AND FEES

2.1. All interest and fees accrued and unpaid on the Original Loan up to the commencement of the Forbearance Period shall remain due and payable as per the terms of the Original Loan Agreement.

2.2. During the Forbearance Period, interest shall continue to accrue on the outstanding principal balance of the Original Loan at a rate of {{forbearance_interest_rate}}% per annum.

3. RELEASE OF CLAIMS

3.1. In consideration of the forbearance granted by the Lender, the Borrower, for itself and its successors and assigns, hereby irrevocably and unconditionally releases and discharges the Lender, its officers, directors, employees, agents, and affiliates from any and all claims, demands, damages, liabilities, actions, causes of action, costs, and expenses of any nature whatsoever, whether known or unknown, foreseen or unforeseen, actual or contingent, which the Borrower ever had, now has, or hereafter may have arising out of or relating to the Original Loan Agreement or any related documents, up to and including the effective date of this Agreement.

3.2. This release specifically includes, without limitation, any claims related to the negotiation, execution, performance, or enforcement of the Original Loan Agreement.

4. REPRESENTATIONS AND WARRANTIES

4.1. The Borrower represents and warrants that as of the date of this Agreement: (a) it has the full power and authority to enter into and perform this Agreement; (b) this Agreement constitutes its legal, valid, and binding obligation; and (c) there are no petitions in bankruptcy or insolvency filed by or against it.

4.2. The Borrower acknowledges that it has been advised to seek independent legal advice regarding this Agreement.

5. GOVERNING LAW AND JURISDICTION

5.1. This Agreement shall be governed by and construed in accordance with the laws of [Country].

5.2. The parties hereby irrevocably submit to the non-exclusive jurisdiction of the courts of [Country] for the purpose of any action or proceeding arising out of or relating to this Agreement.

6. MISCELLANEOUS

6.1. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements, understandings, negotiations, and discussions, whether oral or written, of the parties.

6.2. No amendment or modification of this Agreement shall be effective unless in writing and signed by both parties hereto.

6.3. The waiver by either party of a breach of any provision of this Agreement shall not operate or be construed as a waiver of any subsequent breach.

7. SIGNATURES

IN WITNESS WHEREOF, the parties have executed this Forbearance Agreement with Release Provision as of the date first written above.

FOR THE LENDER:

___________________________

By: {{lender_authorised_signatory_name}}

Title: {{lender_authorised_signatory_title}}

FOR THE BORROWER:

___________________________

By: {{borrower_authorised_signatory_name}}

Title: {{borrower_authorised_signatory_title}}