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Loan Assumption Agreement
"I need a Loan Assumption Agreement under Qatar law for the transfer of a commercial property mortgage from ABC Real Estate LLC to XYZ Developments LLC, with the outstanding amount of QAR 15 million to be assumed effective March 1, 2025, with Qatar National Bank as the lender."
1. Parties: Identifies the Lender, Original Borrower, and Assuming Borrower with full legal names and addresses
2. Background: Recitals describing the original loan agreement, outstanding amounts, and parties' intention to transfer the loan obligations
3. Definitions: Defines key terms including Original Loan Agreement, Assumption Date, Outstanding Amount, and other relevant terms
4. Assumption of Loan: Core provision detailing the assumption of loan obligations by the new borrower
5. Outstanding Amount and Terms: Confirms the outstanding loan amount and continuing terms of the original loan agreement
6. Representations and Warranties: Statements from all parties confirming their authority, capacity, and understanding of the assumption
7. Conditions Precedent: Requirements to be met before the assumption becomes effective
8. Effective Date and Closing: Specifies when the assumption takes effect and closing requirements
9. Lender's Rights and Consents: Confirms lender's consent and ongoing rights under the loan
10. Governing Law and Jurisdiction: Specifies Qatar law as governing law and relevant jurisdiction for disputes
11. Notices: Contact details and methods for formal communications between parties
1. Security Arrangements: Required if existing security needs to be transferred or new security is being provided
2. Islamic Finance Compliance: Required if the loan needs to comply with Sharia principles
3. Original Borrower Release: Optional section releasing original borrower from future obligations
4. Guarantor Provisions: Required if there are guarantors involved in the original or assumed loan
5. Fee and Cost Allocation: Optional section detailing how assumption-related costs are allocated
6. Tax Provisions: Required if there are specific tax implications of the assumption to be addressed
7. Further Assurance: Optional section requiring parties to execute additional documents if needed
1. Original Loan Agreement: Copy or summary of the original loan agreement being assumed
2. Outstanding Amount Schedule: Detailed breakdown of the outstanding loan amount, including principal, interest, and any other charges
3. Payment Schedule: Updated payment schedule reflecting the assumption terms
4. Security Documents: List and copies of any security documents being transferred or created
5. Required Consents: Copies of any third-party consents required for the assumption
6. Conditions Precedent Checklist: List of all conditions to be satisfied before assumption becomes effective
Authors
Banking & Financial Services
Real Estate
Construction
Commercial Property
Infrastructure
Energy
Manufacturing
Retail
Healthcare
Hospitality
Legal
Finance
Treasury
Credit
Risk Management
Compliance
Real Estate
Corporate Affairs
Banking Operations
Investment
Chief Financial Officer
Finance Director
Legal Counsel
Corporate Lawyer
Banking Manager
Credit Manager
Risk Manager
Compliance Officer
Property Manager
Real Estate Manager
Treasury Manager
Financial Controller
Corporate Secretary
Business Development Manager
Investment Manager
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