Movable Hypothec Long Form

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{{company_address}}

Phone: {{phone}}

Email: {{email}}

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DEED OF MOVABLE HYPOTHEC

Entered into by and between:

{{hypothecator_company_name}}, a company duly incorporated in accordance with the laws of South Africa, with registration number {{hypothecator_registration_number}} and having its registered office at {{hypothecator_address}} (hereinafter referred to as "the Hypothecator");

And

{{hypothecary_company_name}}, a company duly incorporated in accordance with the laws of South Africa, with registration number {{hypothecary_registration_number}} and having its registered office at {{hypothecary_address}} (hereinafter referred to as "the Hypothecary").

RECITALS

WHEREAS, the Hypothecary has agreed to advance certain sums of money to the Hypothecator, or has provided other forms of credit facilities to the Hypothecator (the "Secured Debt");

AND WHEREAS, the Hypothecator is desirous of securing the payment of the Secured Debt and the due performance of its obligations to the Hypothecary by way of a movable hypothec over the Movable Property (as defined below).

DEFINITIONS AND INTERPRETATIONS

"Movable Property" means all movable assets of the Hypothecator, whether now owned or hereafter acquired, located at {{location_of_property}}, including but not limited to {{description_of_movable_property}}.

"Secured Debt" means all present and future indebtedness and obligations of the Hypothecator to the Hypothecary, whether actual or contingent, including but not limited to the principal amount of {{currency}} {{amount}}, interest, legal costs, and any other charges arising from the loan agreement dated {{date_of_loan_agreement}}.

CREATION OF HYPOTHEC

The Hypothecator hereby hypothecates and binds all of the Movable Property, specially and generally, to and in favour of the Hypothecary as continuing covering security for the due and proper payment of the Secured Debt and the due performance of all the Hypothecator's obligations to the Hypothecary.

POSSESSION OF MOVABLE PROPERTY

Notwithstanding the creation of this hypothec, the Hypothecator shall retain possession and control of the Movable Property. However, the Hypothecator undertakes not to alienate, encumber, or in any way dispose of the Movable Property without the prior written consent of the Hypothecary.

OBLIGATIONS OF THE HYPOTHECATOR

The Hypothecator undertakes to:

a) Keep the Movable Property in good order and condition and to maintain adequate insurance cover for its full replacement value, noting the Hypothecary's interest.

b) Permit the Hypothecary or its authorised representatives to inspect the Movable Property at any reasonable time.

c) Not remove the Movable Property from {{location_of_property}} without the prior written consent of the Hypothecary.

d) Immediately notify the Hypothecary of any event that may materially affect the value or condition of the Movable Property.

EVENTS OF DEFAULT

The Secured Debt shall become immediately due and payable, and the Hypothecary shall be entitled to perfect its hypothec and take possession of the Movable Property, upon the occurrence of any of the following events:

a) Failure by the Hypothecator to pay any amount of the Secured Debt on its due date.

b) Breach by the Hypothecator of any term or condition of this Deed of Hypothec or the underlying loan agreement.

c) Any act of insolvency or winding-up proceedings initiated against the Hypothecator.

PERFECTION OF HYPOTHEC

Upon the occurrence of an event of default, the Hypothecary shall be entitled, without further notice and without prejudice to any other rights it may have, to:

a) Take immediate possession of the Movable Property.

b) Sell the Movable Property by public auction or private treaty, and to apply the proceeds of such sale towards the settlement of the Secured Debt, after deducting all costs incurred in perfecting the hypothec and selling the Movable Property.

c) Institute legal proceedings for the recovery of any shortfall.

GOVERNING LAW AND JURISDICTION

This Deed of Movable Hypothec shall be governed by and construed in accordance with the laws of South Africa. The parties hereby consent to the jurisdiction of the High Court of South Africa in respect of any dispute arising out of or in connection with this Deed.

GENERAL PROVISIONS

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SIGNED AT {{place_of_signing}} ON THIS {{day_of_signing}} DAY OF {{month_of_signing}} {{year_of_signing}}.

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For: {{hypothecator_company_name}}

Name: {{hypothecator_signer_name}}

Capacity: {{hypothecator_signer_capacity}}

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For: {{hypothecary_company_name}}

Name: {{hypothecary_signer_name}}

Capacity: {{hypothecary_signer_capacity}}