Forbearance Agreement With Release Provision

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Phone: {{phone}} | Email: {{email}} | Web: {{website}}

Forbearance Agreement With Release Provision

Forbearance Agreement With Release Provision

{{company_name}} {{company_address}} Phone: {{phone}} Email: {{email}} Website: {{website}}

FORBEARANCE AGREEMENT WITH RELEASE PROVISION

This Forbearance Agreement (the “Agreement”) is made and entered into this {{date}} by and between {{lender_company_name}} (the “Lender”), a company duly incorporated under the laws of {{country}} with its principal place of business at {{lender_address}}, and {{borrower_company_name}} (the “Borrower”), a company duly incorporated under the laws of {{country}} with its principal place of business at {{borrower_address}}.

RECITALS

WHEREAS, the Borrower is indebted to the Lender pursuant to a certain Loan Agreement dated {{original_loan_agreement_date}} (the “Loan Agreement”), in the original principal amount of {{original_loan_amount}} (the “Loan”).

WHEREAS, the Borrower has experienced certain financial difficulties and has requested a temporary forbearance from the Lender concerning its repayment obligations under the Loan Agreement.

WHEREAS, the Lender is willing to grant such forbearance, subject to the terms and conditions set forth herein, including a release of certain claims by the Borrower against the Lender.

FORBEARANCE PERIOD

The Lender hereby agrees to forbear from exercising its rights and remedies under the Loan Agreement for the period commencing on {{forbearance_start_date}} and ending on {{forbearance_end_date}} (the “Forbearance Period”). During the Forbearance Period, the Borrower shall be required to make reduced payments of {{reduced_payment_amount}} on or before the {{payment_due_day}} day of each month, or as otherwise agreed in

TERMS OF FORBEARANCE

During the Forbearance Period, all other terms and conditions of the Loan Agreement not expressly modified by this Agreement shall remain in full force and effect. Interest shall continue to accrue on the outstanding principal balance of the Loan at the rate specified in the Loan Agreement. Any unpaid principal, accrued interest, and other charges that would have been due during the Forbearance Period shall be added to the principal balance of the Loan and amortized over the remaining term of the Loan, or as otherwise agreed in writing between the Parties.

The Borrower agrees to provide the Lender with updated financial statements and other information as reasonably requested by the Lender, no less frequently than quarterly, during the Forbearance Period.

DEFAULT UNDER FORBEARANCE AGREEMENT

Should the Borrower fail to comply with any of the terms or conditions of this Agreement, or if any event of default under the original Loan Agreement occurs during the Forbearance Period, the Forbearance Period shall immediately terminate. In such an event, all amounts due and owing under the Loan Agreement, including any deferred payments, shall become immediately due and payable at the Lender’s option, and the Lender shall be entitled to exercise all rights and remedies available to it under the Loan Agreement and applicable law.

RELEASE OF CLAIMS

In consideration of the forbearance granted by the Lender herein, the Borrower, on behalf of itself and its successors and assigns, hereby irrevocably and unconditionally releases, acquits, and forever discharges the Lender, its officers, directors, employees, agents, and affiliates from any and all claims, demands, actions, causes of action, suits, debts, liens, contracts, agreements, promises, liabilities, obligations, accounts, costs, and expenses of any nature whatsoever, known or unknown, suspected or unsuspected, fixed or contingent, that the Borrower ever had, now has, or may hereafter have against the Lender arising from or relating to the Loan Agreement or the Loan, up to and including the effective date of this Agreement. This release shall become effective immediately upon the full and satisfactory completion of all terms and conditions of this Forbearance Agreement and the resumption of regular payments under the original Loan Agreement.

GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of {{applicable_laws_country}}.

ENTIRE AGREEMENT

This Agreement constitutes the entire agreement between the Parties concerning the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations, and discussions, whether oral or written, of the Parties. No modification, amendment, or waiver of any provision of this Agreement shall be effective unless in writing and signed by both Parties.

SIGNATURES

IN WITNESS WHEREOF, the Parties have executed this Forbearance Agreement as of the date first written above.

LENDER: {{lender_company_name}} By: _____________________________ Name: {{lender_authorized_signatory_name}} Title: {{lender_authorized_signatory_title}} BORROWER: {{borrower_company_name}} By: _____________________________ Name: {{borrower_authorized_signatory_name}} Title: {{borrower_authorized_signatory_title}}