Suretyship Agreement

{{company_name}}

{{company_address}}

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

Suretyship Agreement

Suretyship Agreement

RECITALS

A. The Creditor has granted or will grant certain financial accommodations, including but not limited to loans, credit facilities, or other contractual arrangements (the “Principal Obligation”), to {{principal_debtor_name}} (Registration Number: {{principal_debtor_registration_number}}), with its registered address at {{principal_debtor_address}} (hereinafter referred to as the “Principal Debtor”).

B. The Creditor requires additional security for the due and proper fulfillment of the Principal Debtor’s obligations under the Principal Obligation.

C. The Surety, {{surety_name}} (Identity/Registration Number: {{surety_id_number}}), with its address at {{surety_address}}, has agreed to bind itself as surety and co-principal debtor for the Principal Debtor's obligations to the Creditor.

COMMENCEMENT AND DURATION

This Suretyship Agreement shall commence on {{start_date}} and shall remain in full force and effect until such time as all obligations of the Principal Debtor to the Creditor have been fully and finally discharged, or until terminated earlier in accordance with the provisions of this Agreement.

SURETYSHIP AND INDEMNITY

1. The Surety hereby irrevocably and unconditionally binds itself as surety and co-principal debtor in solidum with the Principal Debtor for the due and punctual payment and performance by the Principal Debtor of all its present and future indebtedness and obligations of whatsoever nature and howsoever arising to the Creditor (hereinafter referred to as the “Guaranteed Obligations”).

2. The Surety’s liability hereunder shall be co-extensive with that of the Principal Debtor and shall be for the maximum amount of {{surety_maximum_amount}} ({{surety_maximum_amount_words}}), plus all interest, costs, charges, and expenses incurred by the Creditor in enforcing its rights hereunder.

3. The Surety indemnifies the Creditor against any loss or damage which the Creditor may suffer as a result of the unenforceability, invalidity, or illegality of the Guaranteed Obligations of the Principal Debtor.

WAIVER OF BENEFITS

The Surety hereby waives the benefits of the legal exceptions of 'non causa debiti', 'setError of calculation', 'no value received', 'revision of accounts', 'excussion', 'division', and 'cession of action', the full meaning and effect of which the Surety acknowledges itself to be aware.

CONTINUING COVER

This Suretyship shall be a continuing covering suretyship and shall remain in full force and effect notwithstanding any fluctuation in the amount, nature, or extent of the Principal Debtor’s indebtedness to the Creditor, or any intermediate settlement of account, or any other matter or thing whatsoever.

RIGHTS OF CREDITOR

1. The Creditor shall be entitled to proceed against the Surety for the recovery of any sum due by the Principal Debtor without first proceeding against the Principal Debtor or excussing any other security held by the Creditor.

2. The Creditor may, without prejudice to its rights against the Surety, compound with the Principal Debtor, grant the Principal Debtor extensions of time, or other indulgences, or release any other security, without reference to the Surety.

DOMICILIUM

The parties choose as their domicilium citandi et executandi for all purposes arising out of or in connection with this Agreement the following addresses:

Creditor: {{creditor_domicilium_address}}

Principal Debtor: {{principal_debtor_domicilium_address}}

Surety: {{surety_domicilium_address}}

GENERAL

1. This Agreement constitutes the entire agreement between the parties with regard to the subject matter hereof and no variation, cancellation, or novation of this Agreement shall be of any force or effect unless reduced to writing and signed by all parties hereto.

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

3. Words importing the singular shall include the plural and vice versa, and words importing males shall include females and neuter, and vice versa.

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

_____________________________

{{creditor_signature_name}}

For and on behalf of {{creditor_company_name}}

Duly authorised

_____________________________

{{surety_signature_name}}

Surety

_____________________________

{{witness_signature_name}}

Witness