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Asset Pledge Agreement
"I need an Asset Pledge Agreement under UAE law for pledging manufacturing equipment and inventory as security for a 5-year term loan facility of AED 10 million, with the agreement to be effective from March 1, 2025."
1. Parties: Identification of the Pledgor and Pledgee with full legal names and addresses
2. Background: Context of the pledge arrangement, reference to any underlying obligations or facility agreements
3. Definitions: Definitions of key terms used throughout the agreement, including 'Pledged Assets', 'Secured Obligations', and 'Security Period'
4. Creation of Pledge: Express provisions creating the pledge and compliance with UAE Civil Code requirements
5. Secured Obligations: Detailed description of the obligations secured by the pledge
6. Representations and Warranties: Pledgor's representations regarding ownership, authority, and condition of pledged assets
7. Perfection Requirements: Steps required to perfect the pledge under UAE law, including registration requirements
8. Maintenance of Pledged Assets: Obligations regarding the maintenance and preservation of the pledged assets
9. Events of Default: Circumstances constituting default under the agreement
10. Enforcement: Rights and procedures for enforcement in accordance with UAE law
11. Notices: Process for serving notices between parties
12. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction of UAE courts
1. Insurance: Required when pledged assets need to be insured
2. Income and Distributions: Required when pledged assets generate income or distributions
3. Further Assurance: Additional actions required to perfect or maintain the pledge
4. Power of Attorney: Required when Pledgee needs direct authority to act regarding the assets
5. Tax Provisions: Required when tax implications need to be addressed
6. Release and Discharge: Detailed provisions for releasing the pledge upon satisfaction of obligations
7. Assignment and Transfer: Required when transfer rights need to be addressed
8. Electronic Execution: Required when agreement may be executed electronically
1. Schedule 1 - Description of Pledged Assets: Detailed description and identification of all assets subject to the pledge
2. Schedule 2 - Secured Obligations: Detailed list of secured obligations if complex or numerous
3. Schedule 3 - Perfection Requirements: Specific steps and documents required for perfection
4. Schedule 4 - Form of Notice: Template notices required for perfection or enforcement
5. Schedule 5 - Power of Attorney: Form of power of attorney if required
6. Appendix A - Required Documents: List of documents required for pledge registration and perfection
7. Appendix B - Asset Valuation: Valuation details and methodology for pledged assets
Authors
Applicable Law
Business Day
Competent Authority
Default Interest Rate
Dispute
Effective Date
Enforcement Event
Enforcement Notice
Event of Default
Finance Documents
Governmental Authority
Insurance Policy
Legal Proceedings
Liability
Loss
Notice
Parties
Pledge
Pledge Period
Pledged Assets
Pledgee
Pledgor
Principal Agreement
Receiver
Register
Registration Authority
Release Date
Secured Obligations
Security Interest
Security Period
Tax
UAE
Valuation Report
Working Hours
Definitions
Interpretation
Creation of Pledge
Perfection
Security Interest
Asset Maintenance
Representations and Warranties
Covenants
Default
Enforcement
Power of Attorney
Assignment
Notices
Confidentiality
Further Assurance
Severability
Amendment
Waiver
Costs
Indemnification
Force Majeure
Set-off
Counterparts
Entire Agreement
Governing Law
Jurisdiction
Language
Banking & Finance
Real Estate
Manufacturing
Trading & Commerce
Investment Services
Infrastructure & Construction
Energy & Resources
Technology
Transportation & Logistics
Healthcare
Legal
Finance
Treasury
Risk Management
Compliance
Corporate Secretariat
Commercial
Credit
Investment
Asset Management
Chief Financial Officer
General Counsel
Legal Director
Finance Director
Treasury Manager
Risk Manager
Compliance Officer
Corporate Secretary
Security Trustee
Commercial Director
Asset Manager
Investment Manager
Credit Manager
Legal Counsel
Finance Manager
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