Ƶ

Non Recourse Loan Agreement for Germany

Non Recourse Loan Agreement Template for Germany

A German law-governed Non-Recourse Loan Agreement is a specialized financing document where the lender's recovery rights are limited exclusively to specific collateral assets, typically real estate or other substantial assets, without recourse to the borrower's other assets or personal guarantees. The agreement, governed by German civil law (BGB) and financial regulations, details the loan terms, collateral arrangements, enforcement rights, and explicitly limits the lender's recovery to the specified assets. It includes comprehensive provisions for asset valuation, maintenance, and disposal procedures in case of default, all structured within the German legal framework.

Your data doesn't train Genie's AI

You keep IP ownership of your information

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Download a Standard Template

4.6 / 5
4.8 / 5
Access for free
OR

Alternatively: Run an advanced review of an existing
Non Recourse Loan Agreement

Let Ƶ's market-leading legal AI identify missing terms, unusual language, compliance issues and more - in just seconds.

What is a Non Recourse Loan Agreement?

The Non-Recourse Loan Agreement is a specialized financing instrument used when lenders agree to look solely to specific collateral assets for loan recovery, waiving rights to pursue the borrower's other assets. This type of agreement is particularly common in real estate financing, project finance, and asset-based lending under German law. The document must comply with German civil law requirements while clearly delineating the non-recourse nature of the loan. It typically includes detailed provisions regarding collateral valuation, maintenance obligations, default scenarios, and enforcement procedures. The agreement is especially relevant when financing single-asset projects or when borrowers seek to isolate risk to specific assets. Key components include thorough collateral description, limited recourse provisions, detailed security arrangements, and specific German law compliance measures.

What sections should be included in a Non Recourse Loan Agreement?

1. Parties: Identification of the lender and borrower with full legal names and addresses

2. Background: Context of the loan agreement and brief description of the non-recourse nature

3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement

4. The Loan: Principal amount, purpose, and basic terms of the loan

5. Collateral: Description of the assets securing the loan and their valuation

6. Limited Recourse Provisions: Explicit provisions limiting the lender's recourse solely to the specified collateral

7. Drawdown: Conditions precedent and procedures for drawing down the loan

8. Interest: Interest rate, calculation method, and payment terms

9. Repayment: Repayment schedule, methods, and prepayment provisions

10. Representations and Warranties: Borrower's confirmations regarding their status and the collateral

11. Covenants: Ongoing obligations regarding the collateral and borrower's conduct

12. Events of Default: Circumstances constituting default and consequences

13. Enforcement and Remedies: Lender's rights regarding the collateral upon default

14. Notices: Communication procedures between parties

15. Governing Law and Jurisdiction: Confirmation of German law application and jurisdiction

16. Miscellaneous: Standard boilerplate provisions including severability and amendments

What sections are optional to include in a Non Recourse Loan Agreement?

1. Security Trustee: Required when multiple lenders are involved and a security trustee is appointed

2. Interest Rate Adjustment: Include when the interest rate is variable or subject to adjustment

3. Currency Provisions: Required for cross-border transactions involving multiple currencies

4. Tax Provisions: Detailed tax provisions when complex tax implications exist

5. Insurance Requirements: Detailed insurance obligations when specific insurance for the collateral is required

6. Property Management: Include when the collateral includes real estate requiring management

7. Environmental Matters: Required when the collateral includes property with potential environmental risks

8. Data Protection: Include when personal data processing is involved beyond standard contract administration

What schedules should be included in a Non Recourse Loan Agreement?

1. Schedule 1 - Loan Details: Detailed breakdown of the loan amount, interest rate, and payment schedule

2. Schedule 2 - Collateral Description: Detailed description and documentation of the collateral assets

3. Schedule 3 - Drawdown Notice: Form of drawdown notice and drawdown procedures

4. Schedule 4 - Conditions Precedent: List of all documents and conditions required before drawdown

5. Schedule 5 - Form of Compliance Certificate: Template for periodic compliance certification

6. Appendix A - Valuation Report: Independent valuation of the collateral assets

7. Appendix B - Insurance Certificates: Copies of required insurance policies for the collateral

8. Appendix C - Security Documents: Forms of security documents relating to the collateral

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Germany

Publisher

Ƶ

Document Type

Financing Agreement

Cost

Free to use
Relevant legal definitions

























































Clauses



































Relevant Industries

Real Estate

Banking and Financial Services

Commercial Property Development

Infrastructure Development

Renewable Energy

Mining

Shipping

Aviation

Asset-Based Lending

Project Finance

Relevant Teams

Legal

Finance

Risk Management

Credit Analysis

Compliance

Treasury

Real Estate

Asset Management

Investment

Operations

Corporate Banking

Project Finance

Relevant Roles

Chief Financial Officer

Finance Director

Real Estate Finance Manager

Credit Risk Manager

Legal Counsel

Asset Manager

Property Manager

Investment Manager

Treasury Manager

Loan Officer

Corporate Banker

Risk Assessment Officer

Compliance Officer

Portfolio Manager

Project Finance Director

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Sellers Finance Agreement

A German law-governed agreement establishing terms for seller-provided financing arrangements, including payment terms, security, and enforcement provisions.

find out more

Two Party Loan Agreement

A German law-governed bilateral loan agreement establishing terms and conditions for lending arrangements between two parties, compliant with BGB requirements.

find out more

Finance Lease Agreement

A German law-governed agreement for long-term asset financing where the lessor provides funding while transferring asset risks and rewards to the lessee.

find out more

Co Financing Agreement

A German law-governed agreement establishing terms for multiple parties to jointly finance a project, detailing financial contributions, disbursement terms, and inter-creditor arrangements.

find out more

Simple Loan Repayment Agreement

A German law-governed agreement establishing terms and conditions for loan repayment between lender and borrower, compliant with BGB requirements.

find out more

Royalty Financing Agreement

A German law agreement establishing terms for financing in exchange for ongoing royalty payments based on company revenue or profits.

find out more

Seller Financing Business Contract

A German law-governed agreement combining business sale and seller financing terms, enabling business acquisition through direct seller financing arrangements.

find out more

Loan For Use Agreement

A German law agreement (governed by BGB) where one party grants another the temporary, free-of-charge use of an item with specified terms and conditions for its use and return.

find out more

Mortgage Loan Assumption Agreement

A German law agreement enabling the transfer of mortgage loan obligations from an original borrower to a new party, maintaining property security interests and complying with German banking and property regulations.

find out more

Lease Hire Agreement

A German law-governed agreement establishing terms for equipment or property lease hire, including payment terms, maintenance obligations, and usage conditions.

find out more

Hire Purchase Agreement For Car

A German law-governed agreement for the purchase of a vehicle through installment payments, with ownership transferring upon final payment.

find out more

Bike Hire Purchase Agreement

A German law-governed agreement for the hire purchase of a bicycle, combining sales and financing terms in compliance with German consumer protection and financial regulations.

find out more

Trade Finance Facility Agreement

A German law-governed financing agreement establishing terms for trade finance facilities, including operational procedures and regulatory compliance requirements under German banking and commercial law.

find out more

Trade Finance Agreement

A German law-governed agreement establishing trade finance facilities between financial institutions and commercial entities, setting out financing terms and security arrangements for international trade transactions.

find out more

Short Term Loan Agreement

A German law-governed Short Term Loan Agreement setting out terms and conditions for temporary financing, compliant with BGB requirements and German banking regulations.

find out more

Simple Unsecured Loan Agreement

A German law-governed unsecured loan agreement (Darlehensvertrag) documenting basic lending terms without security arrangements.

find out more

Real Estate Loan Agreement

A German law-governed agreement establishing terms for real estate financing between a lender and borrower, including loan terms and property security arrangements.

find out more

Promissory Loan Agreement

A German law-governed agreement documenting a loan arrangement with promissory note elements, setting out terms for lending, repayment, and security.

find out more

Official Loan Agreement

A German law-governed agreement establishing the terms and conditions of a loan, including amount, interest, repayment terms, and parties' obligations in compliance with BGB requirements.

find out more

Master Loan Agreement

German law-governed Master Loan Agreement establishing framework terms for multiple loan facilities between lenders and borrowers, compliant with German banking regulations and BGB requirements.

find out more

Margin Loan Agreement

German law-governed agreement establishing terms for a loan facility secured by financial assets as collateral, with associated margin and maintenance requirements.

find out more

Loan Note Agreement

German law-governed agreement establishing terms for the issuance of loan notes, including repayment and interest provisions.

find out more

Installment Loan Agreement

A German law-governed agreement setting out terms for a loan repayable in regular installments, compliant with German banking and consumer protection regulations.

find out more

Financing Contract Agreement

German law-governed financing agreement (Darlehensvertrag) establishing terms for financial facilities between lender and borrower.

find out more

Financial Support Agreement

A German law-governed agreement establishing terms for providing financial support, including disbursement conditions, repayment terms, and regulatory compliance requirements.

find out more

Financial Assistance Agreement

German law-governed agreement establishing terms for providing financial assistance, including facility terms, repayment conditions, and regulatory compliance requirements.

find out more

Formal Loan Agreement

A German law-governed agreement establishing terms and conditions for providing and repaying a loan, including all essential financial and legal provisions.

find out more

Equipment Lease Purchase Agreement

A German law contract combining equipment lease and purchase arrangements, enabling equipment use with regular payments and a purchase option/obligation at term end.

find out more

Car Finance Contract

A German law-governed agreement for vehicle financing, complying with German consumer credit laws and detailing financial terms, security arrangements, and parties' obligations.

find out more

Business Loan Contract

German law-governed business loan agreement establishing terms and conditions for commercial lending, compliant with German banking regulations and civil code requirements.

find out more

Auto Loan Contract

A German law-governed vehicle financing agreement that enables automobile purchases through structured lending arrangements, incorporating German consumer protection requirements and EU financial regulations.

find out more

Auto Finance Contract

A German law-governed vehicle financing agreement establishing terms for vehicle purchase through structured payments, compliant with German banking and consumer protection regulations.

find out more

Owner Financing Lease Purchase Agreement

A German law-governed agreement combining property lease and purchase terms with owner financing, enabling gradual property acquisition while leasing.

find out more

Debtor In Possession Loan Agreement

A German law-governed financing agreement enabling companies in insolvency proceedings to obtain new financing while maintaining operational control, subject to court oversight and insolvency regulations.

find out more

Future Receivables Factoring Agreement

A German law-governed agreement for the sale and purchase of future receivables, enabling businesses to obtain financing against receivables before they arise.

find out more

Vehicle Finance Agreement

A German law-governed agreement for vehicle financing, incorporating key requirements from German banking and consumer protection regulations.

find out more

Consortium Loan Agreement

German law-governed agreement establishing terms for a syndicated loan facility provided by multiple lenders to a borrower.

find out more

Common Loan Agreement

A German law loan agreement setting out terms and conditions for credit provision, compliant with BGB requirements and German banking regulations.

find out more

Small Business Loan Agreement

A German law-governed agreement establishing terms for a financial institution to provide a loan to a small business, including loan amount, interest rates, and repayment terms.

find out more

Rental Loan Agreement

A German law-governed agreement combining property rental terms with loan financing arrangements, establishing rights and obligations for both lending and tenancy aspects.

find out more
See more related templates

ұԾ’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; ұԾ’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

We are ISO27001 certified, so your data is secure

Organizational security:

You retain IP ownership of your documents and their information

You have full control over your data and who gets to see it