The Performance Letter of Guarantee is a crucial financial instrument in South African business transactions, particularly in sectors requiring substantial performance commitments. It provides security to project owners and contractors by ensuring financial compensation if contractual obligations are not met. This document is commonly required in tender processes, construction projects, and large-scale commercial transactions. The Performance Letter of Guarantee must comply with South African banking regulations and contract law, including the Banks Act 94 of 1990 and relevant financial sector regulations. It typically specifies the guaranteed amount, validity period, conditions for calling the guarantee, and payment terms. The document can be structured to accommodate various commercial arrangements, including cross-border transactions, though South African exchange control regulations must be considered in such cases.
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.
OR
Let Ƶ's market-leading legal AI identify missing terms, unusual language, compliance issues and more - in just seconds.
1. Bank Details and Reference: Full details of the issuing bank/financial institution, including registration number, branch, and reference numbers
2. Beneficiary Details: Complete identification of the party in whose favor the guarantee is issued
3. Principal Details: Complete identification of the party whose performance is being guaranteed
4. Underlying Contract Reference: Details of the primary contract or obligation that is being guaranteed
5. Guarantee Amount: The maximum amount of the guarantee expressed in numbers and words
6. Guarantee Scope: Specific description of the performance obligations being guaranteed
7. Conditions for Calling: Clear terms under which the guarantee can be called upon
8. Payment Terms: Specifics of how and when payment will be made if the guarantee is called
9. Expiry Terms: Clear statement of when and how the guarantee expires or terminates
10. Governing Law Declaration: Statement that the guarantee is governed by South African law
1. Counter-Guarantee Reference: Required when there is a counter-guarantee from another financial institution
2. Reduction Clause: Optional clause specifying if and how the guarantee amount can be reduced over time
3. Assignment Provisions: Include when the guarantee needs to be transferable
4. Force Majeure Clause: Optional clause defining circumstances beyond control that might affect the guarantee
5. Language Declaration: Required when the guarantee might be used internationally or translated
6. URDG 758 Incorporation: Optional clause incorporating the Uniform Rules for Demand Guarantees
7. Multiple Currency Provisions: Required when the guarantee involves multiple currencies
1. Form of Demand: Template for making a claim under the guarantee
2. Supporting Documents List: List of documents required to be submitted with any demand
3. Performance Metrics: Detailed description of the performance standards being guaranteed
4. Authorization Evidence: Copies of board resolutions or other authorization documents
Relevant legal definitions
Clauses
Relevant Industries
Construction
Manufacturing
Infrastructure Development
Mining
Energy
Telecommunications
International Trade
Real Estate Development
Engineering
Government Contracting
Project Finance
Banking and Financial Services
Relevant Teams
Legal
Finance
Treasury
Risk Management
Procurement
Commercial
Compliance
Project Management
Business Development
Corporate Secretariat
Relevant Roles
Chief Financial Officer
Finance Director
Project Manager
Contract Manager
Legal Counsel
Treasury Manager
Risk Manager
Commercial Director
Procurement Manager
Business Development Manager
Company Secretary
Banking Relationship Manager
Compliance Officer
Financial Controller
Find the exact document you need
Bank Guarantee In (Construction)
A South African law-governed security instrument where a bank guarantees payment to an employer for a contractor's default in construction projects.
Download
Bank Guarantee For Lease
A South African law-governed bank guarantee that provides security to landlords against tenant default under lease agreements, replacing traditional cash deposits.
Download
Foreign Bank Guarantee
A South African law-governed bank guarantee instrument where a bank provides a payment undertaking to a beneficiary, typically used in international transactions.
Download
Bank Guarantee Letter For Tender
A South African bank-issued guarantee document that secures a tenderer's obligations in a competitive bidding process, providing financial assurance to the tender issuer.
Download
Withdrawal Of Bank Guarantee Letter
A formal South African banking document that legally terminates a previously issued bank guarantee and releases the bank from its obligations under South African law.
Download
Special Bank Guarantee
A South African law-governed bank guarantee where a bank commits to pay a specified sum to a beneficiary upon demand, subject to stated terms and conditions.
Download
International Bank Guarantee
A South African law-governed bank guarantee document establishing a bank's commitment to pay a specified sum to a beneficiary in international business transactions.
Download
Business Loan Guarantee
A South African law-governed agreement where a guarantor undertakes to secure the loan obligations of a borrower to a lender.
Download
Performance Bond Guarantee
A South African law-governed financial guarantee instrument securing a contractor's performance obligations to their client, issued by a bank or insurance company.
Download
Cheque Guarantee Letter
A South African bank-issued guarantee document ensuring payment of specified cheque(s) to the beneficiary under South African law.
Download
Stand By Lc Bank Guarantee
A South African law-governed bank guarantee providing financial security through an irrevocable undertaking to pay upon documented default or non-performance.
Download
Letter To Bank For Confirmation Of Bank Guarantee
A formal South African banking document requesting verification and confirmation of a bank guarantee's authenticity and validity from the issuing bank.
Download
Bank Guarantee Security
A South African law-governed bank guarantee document establishing the bank's commitment to pay a specified sum to a beneficiary upon the principal debtor's default.
Download
Bank Guarantee Property Purchase
A South African legal document where a bank guarantees payment of the purchase price to a property seller on behalf of the purchaser.
Download
Bank Guarantee Facility
A South African law-governed agreement establishing terms for a bank to issue guarantees to beneficiaries on behalf of a customer.
Download
Guarantee Letter For Bank Loan
A South African law-governed bank undertaking to pay a specified sum to a beneficiary if a borrower defaults on their loan obligations.
Download
Bank Guarantee For Home Deposit
A South African legal document where a bank guarantees payment of a property deposit to a seller on behalf of a purchaser, subject to specified conditions.
Download
Bank Guarantee For Supply Of Goods
A South African law-governed bank guarantee securing a buyer's interests in goods supply transactions, providing financial security if a supplier fails to meet their contractual obligations.
Download
Fast Bank Guarantee
A South African banking instrument providing rapid, irrevocable financial security from a bank to a beneficiary upon demand, governed by local financial services laws.
Download
Bank Transfer Guarantee
A South African law-governed banking instrument where a bank guarantees payment to a beneficiary under specified conditions, providing financial security for commercial transactions.
Download
Bank Guarantee For Sale
A South African law-governed bank guarantee document ensuring seller protection in commercial transactions through bank-backed payment assurance.
Download
Open Bank Guarantee
A South African law-governed bank guarantee document establishing the bank's commitment to pay a specified sum to a beneficiary upon valid demand.
Download
Government Guarantee Term Deposits
South African government-guaranteed term deposit agreement establishing deposit terms and guarantee conditions under South African banking law.
Download
Deferred Bank Guarantee
A South African law-governed bank guarantee that becomes effective upon specific future conditions, providing secured financial commitment from a bank to a beneficiary.
Download
Bank Guarantee And Performance Guarantee
A South African law-governed financial instrument where a bank guarantees the performance or payment obligations of a principal party to a beneficiary.
Download
Bank Guarantee For Tender Security
A South African banking instrument that provides financial security to tender issuers against the risk of tender participants failing to honor their bid commitments.
Download
Bank Guarantee And Lc
South African law-compliant Bank Guarantee and Letter of Credit template incorporating local banking regulations and international practices.
Download
Performance Security Bank Guarantee
A South African law-governed bank guarantee securing the performance obligations of a contractor or supplier, providing financial assurance to the beneficiary.
Download
Term Deposit Guarantee
A South African law-governed guarantee agreement securing a fixed-term bank deposit, establishing obligations between guarantor, bank, and depositor.
Download
Government Deposit Guarantee
A South African government-issued guarantee document that provides protection for specified deposits or financial obligations, subject to National Treasury oversight and PFMA regulations.
Download
Bank Guarantee Lost Original
A South African banking document declaring a lost bank guarantee and providing indemnity for issuing a replacement.
Download
Bank Account Guarantee
A South African law-governed bank guarantee document where a bank guarantees payment to a beneficiary if an account holder defaults on specified obligations.
Download
Performance Guarantee In Tender
A South African law-governed financial guarantee issued by a bank to secure a tenderer's performance obligations in a tender process.
Download
Bank Guarantee By Government
A South African government-issued bank guarantee document that provides financial backing for third-party obligations, compliant with PFMA and local banking regulations.
Download
Performance Bank Guarantee In Tender
A South African law-governed bank guarantee securing a tenderer's performance obligations in a tender process, providing financial security to the tender issuer.
Download
Direct Bank Guarantee
A South African law-governed bank undertaking to pay a specified sum to a beneficiary upon demand, serving as security for commercial transactions.
Download
Deposit Guarantee
A South African law-governed agreement where a guarantor commits to paying a specified sum to a beneficiary under defined conditions, typically used in financial and commercial transactions.
Download
Corporate Guarantee For Bank Loan
A South African law-governed guarantee agreement where a corporate entity guarantees a borrower's loan obligations to a bank.
Download
Bid Security Bank Guarantee
A South African law-governed bank guarantee securing a bidder's obligations in a tender process, providing financial protection to the tender issuer.
Download
Surety Bond Bank Guarantee
A South African law-governed bank guarantee instrument where a bank commits to pay a specified sum to a beneficiary upon defined trigger events or principal debtor default.
Download
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
.png)