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Secured Loan Note
"I need a Secured Loan Note under Malaysian law for a RM 5 million business loan to a manufacturing company, with their factory and machinery as security, and the loan should be repayable over 5 years starting March 2025."
1. Parties: Identification of the Lender and Borrower with full legal names and addresses
2. Background: Context of the loan arrangement and purpose of the facility
3. Definitions and Interpretation: Definitions of key terms used throughout the document and interpretation rules
4. The Facility: Details of the loan amount, purpose, and availability
5. Interest: Interest rate, calculation method, and payment periods
6. Repayment Terms: Schedule of repayment, payment methods, and prepayment provisions
7. Security: Description of security/collateral provided and creation of security interest
8. Representations and Warranties: Borrower's confirmations regarding their status, capacity, and authority
9. Covenants: Positive and negative obligations of the Borrower during the loan term
10. Events of Default: Circumstances constituting default and consequences
11. Enforcement: Lender's rights and remedies upon default
12. Notices: Communication methods and contact details for formal notices
13. Governing Law and Jurisdiction: Malaysian law as governing law and jurisdiction for disputes
1. Guarantee: Required when there is a guarantor securing the loan obligations
2. Insurance: Required when specific insurance coverage is mandatory for the security
3. Assignment and Transfer: Include when the loan note may be transferable
4. Additional Security: Required when multiple forms of security are provided
5. Tax Provisions: Include when specific tax considerations need to be addressed
6. Change of Circumstances: Include provisions for market disruption or changes in law
7. Costs and Expenses: Optional detailed section on cost allocation and payment responsibilities
1. Repayment Schedule: Detailed amortization table showing payment dates and amounts
2. Security Details: Specific description and documentation of security/collateral
3. Conditions Precedent: List of documents and conditions required before loan disbursement
4. Form of Notice: Template forms for various notices under the agreement
5. Security Documents: Forms of any additional security documents required
6. Fees and Charges: Detailed breakdown of all applicable fees and charges
7. Calculation of Interest: Detailed methodology for interest calculation
Authors
Banking and Financial Services
Real Estate
Manufacturing
Commercial Property
Industrial
Retail
Agriculture
Technology
Healthcare
Construction
Infrastructure
Small and Medium Enterprises
Legal
Finance
Credit
Risk Management
Compliance
Treasury
Corporate Secretariat
Loan Operations
Security Administration
Documentation
Legal Counsel
Finance Director
Credit Manager
Loan Officer
Risk Manager
Compliance Officer
Corporate Secretary
Treasury Manager
Chief Financial Officer
Banking Relationship Manager
Security Trustee Officer
Documentation Specialist
Legal Operations Manager
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