Movable Hypothec Long Form

Company Letterhead

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

DEED OF MOVABLE HYPOTHEC

Entered into by and between:

{{creditor_company_name}} (Registration Number: {{creditor_registration_number}}), a company duly incorporated and registered in accordance with the laws of {{creditor_jurisdiction}}, with its principal place of business at {{creditor_address}} (hereinafter referred to as "the Creditor"),

and

{{debtor_company_name}} (Registration Number: {{debtor_registration_number}}), a company duly incorporated and registered in accordance with the laws of {{debtor_jurisdiction}}, with its principal place of business at {{debtor_address}} (hereinafter referred to as "the Debtor").

Collectively referred to as "the Parties".

RECITALS

WHEREAS the Debtor is indebted to the Creditor in the amount of {{loan_amount}} (hereinafter referred to as "the Principal Debt"), arising from {{description_of_debt_origin}}.

AND WHEREAS the Debtor desires to secure the due and punctual payment of the Principal Debt and all other amounts owing to the Creditor by creating a movable hypothec over the movable assets described herein.

GRANT OF HYPOTHEC

The Debtor does hereby, and in consideration of the foregoing, grant to the Creditor a first ranking general notarial movable hypothec over all the Debtor's movable assets, both corporeal and incorporeal, wheresoever situate, now owned or hereafter acquired by the Debtor, including but not limited to those assets specifically described in Schedule A hereto (hereinafter referred to as "the Hypothecated Assets").

This hypothec shall secure all amounts now owing or which may in the future become owing by the Debtor to the Creditor from whatsoever cause arising, including but not limited to the Principal Debt, interest thereon, legal costs incurred by the Creditor, and any other costs or charges related to the enforcement or preservation of this hypothec.

DEBTOR'S UNDERTAKINGS

The Debtor undertakes:

a) To maintain the Hypothecated Assets in good order and repair and not to alienate, encumber, lease, or dispose of the Hypothecated Assets or any part thereof without the prior written consent of the Creditor.

b) To insure the Hypothecated Assets against all risks, for their full replacement value, with an insurer approved by the Creditor, and to cede all rights under such insurance policy to the Creditor.

c) To permit the Creditor or its duly authorised agent to inspect the Hypothecated Assets at all reasonable times.

d) Not to remove the Hypothecated Assets from {{location_of_assets}} without the prior written consent of the Creditor.

e) To notify the Creditor immediately of any event that may adversely affect the value or extent of the Hypothecated Assets or the Creditor's rights hereunder.

DEFAULT AND ENFORCEMENT

In the event that the Debtor fails to comply with any of its obligations arising from the Principal Debt or this Deed of Movable Hypothec, or if the Debtor commits any act of insolvency, the Creditor shall be entitled, without derogating from any other rights it may have in law, to:

a) Declare the full outstanding amount of the Principal Debt immediately due and payable.

b) Take possession of the Hypothecated Assets, wherever they may be found, without further notice to the Debtor.

c) Sell the Hypothecated Assets by public auction or private treaty, and to apply the proceeds of such sale towards the settlement of the Debtor's indebtedness to the Creditor, after deducting all costs and expenses incurred in connection with the taking of possession and sale of the assets.

The Debtor hereby irrevocably appoints the Creditor as its agent in rem suam for the purpose of signing all documents and doing all things necessary to perfect and enforce this hypothec.

GENERAL PROVISIONS

a) **Governing Law and Jurisdiction:** This Deed of Movable Hypothec shall be governed by and construed in accordance with the laws of {{governing_jurisdiction}}.

b) **Domicilium Citandi Et Executandi:** The Parties choose as their domicilium citandi et executandi for all purposes arising out of or in connection with this Deed of Movable Hypothec, their respective addresses as set out above.

c) **Whole Agreement:** This document constitutes the entire agreement between the Parties with regard to the subject matter hereof and no Party shall be bound by any undertakings, representations, warranties, promises, or the like not recorded herein.

d) **Variations:** No variation, addition to, or cancellation of this Deed of Movable Hypothec shall be of any force or effect unless reduced to writing and signed by or on behalf of all Parties.

e) **Costs:** All costs and expenses, including legal costs on the attorney and client scale, incurred by the Creditor in the preparation, registration, and enforcement of this Deed of Movable Hypothec shall be borne by the Debtor.

f) **Registration:** This Deed of Movable Hypothec shall be registered in the Deeds Registry or other appropriate registry within {{number_of_days}} days of its signature.

SCHEDULE A: HYPOTHECATED ASSETS

{{detailed_list_of_assets_with_descriptions_and_serial_numbers}}

SIGNATURES

THUS DONE AND SIGNED at {{place_of_signing}} on this {{day_of_signing}} day of {{month_of_signing}}, {{year_of_signing}}.

**FOR THE CREDITOR:**

_____________________________

Name: {{creditor_authorised_signatory_name}}

Designation: {{creditor_authorised_signatory_designation}}

**FOR THE DEBTOR:**

_____________________________

Name: {{debtor_authorised_signatory_name}}

Designation: {{debtor_authorised_signatory_designation}}

**WITNESSES:**

1. _________________________ 2. _________________________

Name: {{witness_1_name}} Name: {{witness_2_name}}

ID No: {{witness_1_id}} ID No: {{witness_2_id}}