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Collateral Pledge Agreement
"I need a Swiss law Collateral Pledge Agreement for a portfolio of securities held by our investment fund (as pledgor) in favor of Credit Suisse (as pledgee), to secure a CHF 10 million credit facility that will be drawn down in March 2025."
1. Parties: Identification of the pledgor and pledgee, including full legal names, addresses, and registration details
2. Background: Context of the pledge agreement, including reference to any underlying obligations or facility agreements
3. Definitions and Interpretation: Definitions of key terms and interpretation rules used throughout the agreement
4. Creation of Pledge: Express declaration of pledge creation and transfer of possession or control of the collateral
5. Scope of Security: Description of secured obligations and extent of the security interest
6. Collateral Description: Detailed description of the pledged assets, including any specific identification methods
7. Perfection Requirements: Steps required to perfect the pledge under Swiss law, including registration or notification requirements
8. Representations and Warranties: Pledgor's confirmations regarding ownership, authority, and status of collateral
9. Pledgor's Obligations: Ongoing obligations of the pledgor regarding maintenance and preservation of collateral
10. Enforcement: Circumstances and procedures for enforcement of the pledge, including private sale provisions if applicable
11. Costs and Expenses: Allocation of costs related to the pledge agreement and enforcement
12. Notices: Communication requirements and contact details for formal notices
13. Governing Law and Jurisdiction: Confirmation of Swiss law application and jurisdiction of Swiss courts
1. Third Party Rights: Provisions dealing with third party claims or interests in the collateral, used when third party involvement is anticipated
2. Further Assurance: Obligations to execute additional documents or take further steps, included for complex collateral arrangements
3. Insurance: Requirements for insurance of physical collateral, included when the collateral consists of physical assets
4. Income and Voting Rights: Provisions regarding dividends, interest or voting rights, included for pledges of shares or similar securities
5. Bank Account Control: Specific provisions for pledged bank accounts, included when bank accounts form part of the collateral
6. Substitution of Collateral: Rules for replacing or substituting collateral, included when collateral flexibility is required
7. Cross-Border Provisions: Additional provisions for international aspects, included when the arrangement has international elements
1. Schedule 1 - Collateral Schedule: Detailed listing and description of all pledged assets
2. Schedule 2 - Form of Notice: Template notices for third parties (e.g., account bank, custodian) regarding the pledge
3. Schedule 3 - Perfection Requirements: Checklist of actions required to perfect the pledge
4. Schedule 4 - Form of Power of Attorney: Template power of attorney for enforcement purposes
5. Appendix A - Required Documents: List of documents required for pledge creation and perfection
6. Appendix B - Enforcement Procedures: Detailed procedures for enforcement in accordance with Swiss law
Authors
Banking & Financial Services
Investment Management
Real Estate
Manufacturing
Trading & Commerce
Technology
Infrastructure
Energy
Telecommunications
Professional Services
Legal
Finance
Treasury
Risk Management
Compliance
Credit
Corporate Secretariat
Banking
Collateral Management
Portfolio Management
Legal Counsel
Finance Director
Treasury Manager
Risk Manager
Compliance Officer
Security Trustee
Collateral Manager
Credit Officer
Transaction Manager
Corporate Secretary
Chief Financial Officer
Senior Banker
Relationship Manager
Portfolio Manager
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