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The Cash Backed Bank Guarantee is a crucial financial instrument used in Belgian commercial transactions where one party requires financial security from another. It is particularly valuable in scenarios requiring robust financial assurance, such as construction projects, international trade, or large commercial contracts. The document details the three-way relationship between the bank (guarantor), the applicant (providing cash backing), and the beneficiary, establishing clear mechanisms for the guarantee's operation. Under Belgian law, these guarantees benefit from strong legal protection and are subject to specific banking regulations and financial services laws. The cash backing element provides additional security, making this type of guarantee particularly attractive to beneficiaries while potentially offering more favorable terms for the applicant compared to unsecured guarantees.

1. Parties: Identification of the Bank (Guarantor), the Applicant (providing cash backing), and the Beneficiary

2. Background: Context of the guarantee, including the underlying transaction or obligation being guaranteed

3. Definitions: Key terms used in the guarantee, including 'Guarantee Amount', 'Cash Collateral', 'Guaranteed Obligations', etc.

4. Guarantee: Core terms of the guarantee, including amount, duration, and scope of the bank's obligations

5. Cash Backing Arrangements: Details of the cash collateral, including amount, account details, and maintenance requirements

6. Calling on the Guarantee: Procedures and conditions for making a demand under the guarantee

7. Bank's Rights and Obligations: Scope of bank's authority, including right to retain and use cash collateral

8. Applicant's Representations and Warranties: Confirmations regarding ownership of cash collateral, authority to enter agreement, etc.

9. Term and Expiry: Duration of the guarantee and conditions for termination or extension

10. Governing Law and Jurisdiction: Confirmation of Belgian law governance and jurisdiction for disputes