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Deed Of Trust Loan Agreement Template for New Zealand

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Key Requirements PROMPT example:

Deed Of Trust Loan Agreement

"I need a Deed of Trust Loan Agreement for a family trust lending $500,000 to a property development company, with quarterly interest payments and full repayment by March 2025, including provisions for multiple trustees and early repayment options."

Document background
The Deed of Trust Loan Agreement is a specialized legal instrument used in New Zealand when establishing loan arrangements that incorporate trust structures. This document is particularly useful in situations where loan security, asset protection, or complex financial arrangements require the involvement of trustees. The agreement combines elements of traditional loan documentation with trust provisions, ensuring compliance with New Zealand's trust law, financial regulations, and consumer protection requirements. It is commonly used in private lending, property transactions, family trusts, and business financing arrangements. The document includes comprehensive details about loan terms, trust administration, security arrangements, and the powers and duties of trustees, while incorporating necessary provisions for compliance with the Credit Contracts and Consumer Finance Act 2003 and other relevant legislation.
Suggested Sections

1. Parties: Identifies all parties to the agreement including the lender, borrower, and trustee(s)

2. Background: Recitals explaining the context of the loan and trust arrangement

3. Definitions and Interpretation: Defines key terms and establishes rules for interpreting the agreement

4. Trust Declaration: Establishes the trust arrangement and defines the trust property

5. Appointment of Trustee: Details the appointment of trustee(s) and their powers

6. Loan Terms: Specifies the loan amount, interest rate, and repayment terms

7. Security Arrangements: Details any security provided for the loan

8. Trustee Powers and Duties: Outlines the specific powers and duties of the trustee(s)

9. Borrower's Covenants: Lists the borrower's obligations and promises

10. Events of Default: Defines circumstances constituting default and consequences

11. Enforcement Rights: Details the rights and remedies in case of default

12. Trust Administration: Covers operational aspects of the trust

13. Expenses and Indemnities: Addresses costs, fees, and indemnification obligations

14. General Provisions: Standard clauses including notices, amendments, governing law

Optional Sections

1. Guarantor Provisions: Required when there is a guarantor for the loan

2. Multiple Trustees: Additional provisions when more than one trustee is appointed

3. Trust Income Distribution: Required when specifying how trust income is to be distributed

4. Early Repayment Provisions: Details early repayment options and any associated fees

5. Change of Trustee: Procedures for appointing or removing trustees

6. Trust Termination: Conditions and procedures for terminating the trust

7. Investment Powers: Required when trustees have power to invest trust funds

8. Variation of Trust: Procedures for varying trust terms if permitted

Suggested Schedules

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

2. Security Details: Description of any assets provided as security

3. Trust Property Schedule: Detailed list and description of trust property

4. Fee Schedule: Breakdown of all fees and charges

5. Trustee Remuneration: Details of trustee compensation and expense reimbursement

6. Execution Requirements: Specific requirements for executing the deed

7. Disclosure Statement: Required disclosures under NZ credit and financial laws

8. Contact Details: Contact information for all parties and authorized representatives

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



















































Clauses































Relevant Industries

Financial Services

Banking

Real Estate

Professional Services

Trust Management

Wealth Management

Private Lending

Property Development

Investment Services

Legal Services

Relevant Teams

Legal

Finance

Compliance

Risk Management

Trust Administration

Credit

Wealth Management

Corporate Services

Property Management

Investment Management

Relevant Roles

Legal Counsel

Trust Manager

Loan Officer

Financial Advisor

Compliance Officer

Risk Manager

Trust Administrator

Credit Manager

Property Manager

Investment Manager

Wealth Manager

Corporate Trustee

Financial Controller

Banking Relationship Manager

Trust Account Manager

Industries








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