Non Financial Guarantee Template for Netherlands

This Non-Financial Guarantee template is designed for use in the Dutch legal framework where parties require security for non-monetary obligations in commercial transactions. It is particularly relevant when one party needs assurance of another party's performance of contractual obligations, such as in construction projects, service delivery agreements, or supply contracts. The document incorporates key requirements under Dutch law, including specific provisions from the Dutch Civil Code (Burgerlijk Wetboek) regarding guarantee obligations. It provides a comprehensive framework for establishing the guarantee's scope, enforcement mechanisms, and parties' rights and obligations, while ensuring compliance with Dutch legal requirements for non-financial guarantees. The template is structured to accommodate various commercial scenarios while maintaining legal certainty and enforceability.

1. Parties: Identification of the Guarantor, Beneficiary, and Principal Debtor

2. Background: Context of the guarantee, reference to the underlying obligation or agreement being guaranteed

3. Definitions: Definitions of key terms used throughout the guarantee

4. Guarantee: Core guarantee provisions, including scope and nature of the guarantee obligations

5. Maximum Liability: Clear statement of the maximum amount guaranteed

6. Duration: Term of the guarantee, including effective date and expiry conditions

7. Demand Requirements: Process and formalities for making a valid demand under the guarantee

8. Payment Terms: Timeline and method for payment following a valid demand

9. Guarantor's Rights and Obligations: Detailed provisions of the guarantor's rights, including any rights of recourse

10. Representations and Warranties: Standard representations and warranties from the guarantor

11. Governing Law and Jurisdiction: Specification of Dutch law as governing law and jurisdiction for disputes

12. Notices: Communication requirements and contact details for formal notices

13. Execution: Signature blocks and execution requirements