All Countries
Banking
Advance Payment Guarantee

Advance Payment Guarantee Template for Ireland

Create a bespoke document in minutes,  or upload and review your own.

4.6 / 5
4.8 / 5

Let's create your Advance Payment Guarantee

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Get your first 2 documents free

Your data doesn't train Genie's AI

You keep IP ownership of your information

Key Requirements PROMPT example:

Advance Payment Guarantee

"Need to draft an Advance Payment Guarantee for a €5 million construction project in Dublin, where the guarantee needs to accommodate multiple beneficiaries and include a quarterly reduction schedule starting from March 2025."

Celebrated by
Collaborations with
Investors
Document background
Advance Payment Guarantees are essential financial instruments in commercial transactions where substantial upfront payments are required. This document, governed by Irish law, provides security to the party making advance payments (Beneficiary) by ensuring that a financial institution (Guarantor) will repay the advance payment if the receiving party (Principal) fails to fulfill its contractual obligations. The guarantee typically covers scenarios such as non-performance, project abandonment, or insolvency. The document includes specific provisions required under Irish financial regulations, details of the guaranteed amount, conditions for calling the guarantee, and reduction mechanisms as the underlying contract progresses. These guarantees are particularly important in large-scale projects where significant mobilization costs or material purchases are required upfront.
Suggested Sections

1. Parties: Identifies the Guarantor (usually a bank/financial institution), the Beneficiary (party receiving the guarantee), and the Principal (party whose obligations are being guaranteed)

2. Background: Sets out the context of the underlying contract and advance payment arrangement between the Principal and Beneficiary

3. Definitions: Defines key terms used throughout the guarantee, including 'Guaranteed Amount', 'Expiry Date', and 'Underlying Contract'

4. Guarantee and Maximum Liability: Specifies the guaranteed amount and nature of the guarantee, including the maximum liability of the guarantor

5. Conditions for Payment: Details the circumstances and process under which the guarantee can be called upon

6. Form of Demand: Specifies the format and content requirements for making a valid demand under the guarantee

7. Duration and Expiry: States the effective period of the guarantee and conditions for expiry

8. Reduction and Release: Mechanisms for reducing the guarantee amount and conditions for release

9. Governing Law and Jurisdiction: Specifies Irish law as the governing law and establishes jurisdiction for disputes

Optional Sections

1. Assignment and Transfer: Include when transfer rights need to be addressed, particularly if the guarantee might need to be assigned

2. Counter-Indemnity: Include when the guarantor requires specific indemnification from the principal

3. Multiple and Joint Beneficiaries: Include when there are multiple beneficiaries or a syndicate structure

4. Anti-Money Laundering Provisions: Include when enhanced compliance requirements are needed

5. Force Majeure: Include when specific force majeure events need to be addressed

6. Electronic Execution: Include when parties wish to explicitly permit electronic execution of documents

7. Notices: Include when formal notice requirements need to be specified beyond standard demand procedures

Suggested Schedules

1. Form of Demand Notice: Template for the written demand to be submitted when calling on the guarantee

2. Underlying Contract Details: Key details of the contract in relation to which the advance payment is made

3. Payment Schedule: Schedule of any planned reductions in the guarantee amount

4. Authorized Signatories: List of persons authorized to make demands under the guarantee

5. Bank Details: Payment instructions and bank account details for processing demands

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Construction

Manufacturing

Engineering

Infrastructure Development

Energy

Technology and Software Development

Defense Contracting

Telecommunications

Industrial Equipment

Renewable Energy

Transportation

Mining and Resources

Public Sector Projects

Relevant Teams

Legal

Finance

Treasury

Risk Management

Procurement

Commercial Operations

Contract Administration

Compliance

Project Management Office

Credit

Business Development

Relevant Roles

Commercial Director

Finance Manager

Contract Manager

Project Manager

Treasury Manager

Risk Manager

Legal Counsel

Procurement Manager

Chief Financial Officer

Banking Relationship Manager

Compliance Officer

Operations Director

Credit Risk Officer

Business Development Manager

Industries
Civil Law (Miscellaneous Provisions) Act 2011: This Act contains provisions relating to the enforcement of contracts and guarantees in Ireland, including formality requirements for guarantee agreements.
Central Bank Act 1971 (as amended): Regulates banking activities in Ireland, including the issuance of guarantees by financial institutions.
European Communities (Electronic Money) Regulations 2011: Governs electronic money and payment services, relevant for modern advance payment arrangements.
Statute of Limitations 1957: Sets time limits for enforcing contractual rights, including claims under guarantees.
Consumer Protection Code 2012: Relevant if the guarantee involves consumer transactions, setting out obligations for financial institutions.
European Union (Consumer Mortgage Credit Agreements) Regulations 2016: May be relevant if the advance payment guarantee relates to property transactions.
Criminal Justice (Money Laundering and Terrorist Financing) Act 2010: Contains provisions relevant to verification requirements and due diligence for significant financial transactions.
Central Bank (Supervision and Enforcement) Act 2013: Provides for supervision and enforcement of financial institutions issuing guarantees.
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Deferred Payment Bank Guarantee

An Irish law-governed bank guarantee instrument that provides security for deferred payments in commercial transactions, with the bank guaranteeing scheduled payments to the beneficiary.

find out more

Bank Guarantee For Lease

An Irish law-governed bank guarantee providing security to landlords for tenant obligations under commercial lease agreements, issued by a bank as a binding financial commitment.

find out more

Advance Payment Guarantee

Template for Advance Payment Guarantees under Irish law, providing security for advance payments in commercial transactions.

find out more

Performance Bond Guarantee

An Irish law-governed financial guarantee instrument where a guarantor ensures a principal's performance of contractual obligations, providing security to the beneficiary.

find out more

Letter Of Credit And Guarantee

An Irish law-governed banking instrument combining a documentary credit with guarantee provisions to secure international trade transactions and ensure payment obligations.

find out more

Bank Guarantee For Purchase Of Goods

An Irish law-governed bank guarantee securing payment for goods, where a bank guarantees payment to a seller on behalf of a buyer in a commercial transaction.

find out more

Letter Of Credit Guarantee

An Irish law-governed banking guarantee document where a financial institution guarantees payment obligations under a Letter of Credit facility.

find out more

Bank Guarantor Letter

An Irish law-governed bank guarantee document where a bank commits to pay a specified amount to a beneficiary upon certain conditions or default events.

find out more

Financial Bank Guarantee

An Irish law-governed bank guarantee document where a financial institution provides a binding commitment to pay a specified sum to a beneficiary upon defined conditions.

find out more

Bank Guarantee For Deposit

An Irish law-governed bank guarantee securing payment of a deposit, typically used in property or commercial transactions, issued by a bank to protect a beneficiary's interests.

find out more

Standby Letter Of Credit For Lease

An Irish law-governed banking instrument providing security for lease obligations, allowing landlords to claim payment from a bank if tenants default on lease terms.

find out more

Bank Guarantee For Rent

An Irish law-governed financial instrument where a bank guarantees rent payment to a landlord on behalf of a tenant, serving as an alternative to a cash deposit.

find out more

Unlimited Bank Guarantee

An Irish law-governed Unlimited Bank Guarantee providing unconditional and uncapped payment undertaking from a bank to a beneficiary.

find out more

Digital Bank Guarantee

An Irish law-governed digital bank guarantee providing secured payment undertaking with electronic authentication and execution capabilities.

find out more

Corporate Bank Guarantee

An Irish law-governed bank guarantee where a financial institution guarantees payment or performance on behalf of a corporate client to a beneficiary.

find out more

Bank Guarantee Letter Of Credit

An Irish law-governed bank-issued financial instrument guaranteeing payment to a beneficiary upon presentation of specified documents, commonly used in international trade transactions.

find out more

Trade Finance Bank Guarantee

An Irish law-governed bank guarantee providing financial security in trade transactions, issued by a bank to protect beneficiaries against non-performance by the principal.

find out more

Bank Guarantee Bond

An Irish law-governed financial instrument where a bank guarantees payment to a beneficiary if a principal defaults on their contractual obligations.

find out more

Open Ended Bank Guarantee

Template for an Irish law-governed Open Ended Bank Guarantee, establishing a continuing security instrument between bank, principal, and beneficiary.

find out more

Advance Payment Guarantee Bond

An Irish law-governed guarantee instrument issued by a financial institution to secure advance payments made under a commercial contract.

find out more

On Demand Bank Guarantee

An Irish law-governed bank guarantee document where a bank commits to pay a specified sum to a beneficiary upon receiving a compliant demand, commonly used in commercial and international transactions.

find out more

Bank Endorsement Letter

An Irish-law governed formal bank document confirming a client's financial standing or specific financial arrangements, issued under Irish banking regulations.

find out more

Revolving Bank Guarantee

An Irish law-governed agreement establishing a revolving bank guarantee facility with automatic reinstatement provisions, compliant with Irish banking regulations.

find out more

Performance Standby Letter Of Credit

An Irish law-governed bank undertaking to pay upon default of performance obligations, providing financial security for commercial transactions.

find out more

Payment Guarantee Letter To Supplier

An Irish law-governed financial instrument where a guarantor provides a binding commitment to pay a supplier if the principal debtor defaults on their payment obligations.

find out more

Bank Guarantee Performance Bond

An Irish law-governed bank guarantee securing a principal's performance obligations to a beneficiary, typically used in construction and infrastructure projects.

find out more

Standby Letter Of Credit

An Irish law-governed bank guarantee instrument that provides payment assurance to a beneficiary upon presentation of compliant documents indicating default by the applicant.

find out more

Cash Backed Bank Guarantee

An Irish law-governed agreement establishing a bank guarantee backed by cash deposit, detailing terms, conditions, and parties' obligations.

find out more

Bid Bond Tender Guarantee

An Irish law-governed financial guarantee ensuring a bidder's commitment to their tender submission, with the guarantor promising payment if the bidder defaults on their obligations.

find out more

Bank Guarantee Letter

An Irish law-governed bank undertaking that guarantees payment or performance obligations of a principal party to a beneficiary, providing financial security in business transactions.

find out more

Bank Letter Of Comfort

An Irish law-governed document issued by a bank providing assurance regarding another entity's financial obligations, without constituting a legal guarantee.

find out more

Performance Bank Guarantee

An Irish law-governed bank guarantee securing a contractor's performance obligations to their client, providing financial security for contract fulfillment.

find out more

Download our whitepaper on the future of AI in Legal

By providing your email address you are consenting to our Privacy Notice.
Thank you for downloading our whitepaper. This should arrive in your inbox shortly. In the meantime, why not jump straight to a section that interests you here: https://www.genieai.co/our-research
Oops! Something went wrong while submitting the form.

Genie’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; Genie’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

Our bank-grade security infrastructure undergoes regular external audits

We are ISO27001 certified, so your data is secure

Organizational security

You retain IP ownership of your documents

You have full control over your data and who gets to see it

Innovation in privacy:

Genie partnered with the Computational Privacy Department at Imperial College London

Together, we ran a £1 million research project on privacy and anonymity in legal contracts

Want to know more?

Visit our Trust Centre for more details and real-time security updates.

Read our Privacy Policy.