Document background
The Personal Guarantee Form is a crucial document in Dutch business and financial transactions where additional security is required for obligations. It is commonly used when extending credit facilities, business loans, or entering into significant commercial arrangements. The document must comply with Dutch Civil Code requirements, particularly regarding form and content specifications for personal guarantees (borgtocht). It typically includes details of the guaranteed obligations, maximum liability amount, duration of the guarantee, and enforcement conditions. This form is particularly relevant in situations where banks or businesses require personal assurance from directors, shareholders, or other individuals for corporate obligations. Special consideration must be given to consumer protection regulations when the guarantor is acting outside their business capacity.
