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Deed Of Release Loan Agreement Template for India

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Key Requirements PROMPT example:

Deed Of Release Loan Agreement

"I need a Deed of Release Loan Agreement for releasing a corporate borrower from a INR 5 crore business loan that will be fully repaid by March 2025, with standard representations and warranties under Indian law."

Document background
The Deed of Release Loan Agreement is a crucial document in Indian lending practice, typically used when a loan obligation needs to be formally discharged or modified. This document becomes relevant in various scenarios, such as when a loan has been fully repaid, when parties agree to a partial release of obligations, or during debt restructuring. It must comply with Indian contract law, particularly the Indian Contract Act, 1872, and relevant state-specific stamp duty and registration requirements. The deed meticulously documents the original loan details, the extent of release, any surviving obligations, and the terms under which the release is granted. It provides legal certainty to both lenders and borrowers by formally documenting the discharge of debt and associated obligations, while also addressing any security interests or guarantees connected to the original loan.
Suggested Sections

1. Parties: Identification of the lender(s), borrower(s), and any guarantors involved in the original loan agreement

2. Background: Recitals detailing the original loan agreement, current outstanding amounts, and circumstances leading to the release

3. Definitions: Definitions of key terms used throughout the deed, including references to the original loan agreement

4. Release Details: Specific terms of the loan release, including the amount being released and effective date

5. Consideration: Details of any consideration being paid for the release, if applicable

6. Release Obligations: Clear statement of obligations being released and any obligations that survive

7. Representations and Warranties: Statements by both parties regarding their authority and capacity to enter into the release

8. Governing Law and Jurisdiction: Specification of Indian law as governing law and jurisdiction for disputes

9. Execution: Formal execution blocks for all parties, with requirements for deed execution under Indian law

Optional Sections

1. Security Release: Include when the original loan was secured and security interests need to be released

2. Surviving Provisions: Include when certain provisions of the original loan agreement are to remain in force

3. Multiple Lenders: Include when there are multiple lenders and specific release arrangements between them

4. Conditions Precedent: Include when the release is subject to certain conditions being met

5. Confidentiality: Include when parties wish to keep the release terms confidential

6. Tax Provisions: Include when there are specific tax implications of the release that need to be addressed

7. Further Assurance: Include when additional actions may be required to give effect to the release

Suggested Schedules

1. Original Loan Agreement: Copy or details of the original loan agreement being released

2. Release Calculation: Detailed calculation of the release amount, including any adjustments or deductions

3. Security Details: List of security interests being released (if applicable)

4. Payment Details: Schedule of any payments or consideration related to the release

5. Related Documents: List of associated documents affected by or relevant to the release

Authors

Alex Denne

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

Relevant legal definitions




































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Relevant Industries

Banking

Financial Services

Real Estate

Manufacturing

Infrastructure

Retail

Construction

Information Technology

Healthcare

Education

Hospitality

Agriculture

Relevant Teams

Legal

Finance

Treasury

Credit Risk

Compliance

Loan Operations

Corporate Banking

Debt Recovery

Document Management

Risk Management

Relevant Roles

Chief Financial Officer

Finance Director

Legal Counsel

Corporate Lawyer

Loan Officer

Credit Manager

Risk Manager

Treasury Manager

Company Secretary

Compliance Officer

Banking Manager

Debt Recovery Officer

Financial Controller

Legal Manager

Portfolio Manager

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

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