All Countries
Banking
Advance Bank Guarantee

Advance Bank Guarantee Template for New Zealand

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

4.6 / 5
4.8 / 5

Let's create your Advance Bank 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 Bank Guarantee

"I need an Advance Bank Guarantee for a construction project in Auckland, where my company (Smith Construction Ltd) requires a $5 million guarantee from ANZ Bank to secure advance payment from the government, valid from January 2025 to December 2025."

Celebrated by
Collaborations with
Investors
Document background
The Advance Bank Guarantee is a fundamental financial instrument used in New Zealand business transactions where one party requires financial security from another. This document is particularly crucial in scenarios involving advance payments, performance obligations, or bid securities. The guarantee, issued by a bank under New Zealand law, provides assurance to the beneficiary that a specified sum will be paid upon valid demand if the applicant fails to meet their obligations. It includes essential details such as the guarantee amount, validity period, claim procedures, and specific conditions for payment. The document must comply with New Zealand banking regulations, the Contract and Commercial Law Act 2017, and other relevant legislation. Advance Bank Guarantees are commonly used in construction projects, international trade, government contracts, and other commercial arrangements where financial security is paramount.
Suggested Sections

1. Parties: Identifies the bank (guarantor), the applicant (principal), and the beneficiary

2. Background: Describes the underlying transaction or relationship necessitating the guarantee

3. Definitions: Defines key terms used throughout the guarantee document

4. Guarantee Amount: Specifies the maximum amount of the guarantee and currency

5. Scope of Guarantee: Details what the guarantee covers and the nature of the bank's obligation

6. Duration and Validity: Specifies the effective date, expiry date, and any auto-renewal terms

7. Demand Requirements: Outlines the process and conditions for making a claim under the guarantee

8. Payment Terms: Describes how and when payment will be made upon valid demand

9. Bank's Rights and Obligations: Details the bank's responsibilities and rights under the guarantee

10. Governing Law and Jurisdiction: Specifies New Zealand law as governing law and relevant jurisdiction

11. Notices: Details how formal communications between parties should be made

12. Execution: Signature blocks and execution requirements

Optional Sections

1. Counter-Indemnity: Required when the applicant provides indemnity to the bank for any payments made under the guarantee

2. Assignment: Include when transfer rights need to be addressed, typically restricting assignment

3. Reduction Clause: Include when the guarantee amount may be reduced over time or upon certain events

4. Force Majeure: Include when specific force majeure provisions are required beyond standard law

5. Language: Include when the guarantee might be translated or used internationally

6. Multiple Beneficiaries: Include when there is more than one beneficiary

7. Stamp Duty: Include when stamp duty or other specific taxes apply

8. Dispute Resolution: Include when specific dispute resolution procedures beyond court jurisdiction are required

Suggested Schedules

1. Form of Demand: Template for making a valid demand under the guarantee

2. Underlying Contract Details: Summary or extract of the main contract being guaranteed

3. Authentication Procedures: Specific procedures for verifying demands and communications

4. Fee Schedule: Details of bank fees and charges related to the guarantee

5. Required Documents: List of documents required for making a valid claim

6. Authorized Signatories: List of persons authorized to act on behalf of each party

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 legal definitions
Advance Payment
Applicant
Authorized Representative
Bank
Banking Day
Beneficiary
Business Day
Claim
Counter-Guarantee
Demand
Effective Date
Event of Default
Expiry Date
Force Majeure Event
Guarantee Amount
Guarantee Period
Guaranteed Obligations
Guarantor
Inconsistency
Indemnity
Interest Rate
Issuing Branch
Material Adverse Effect
Maximum Liability Amount
Notice
Underlying Contract
Payment Date
Principal
Principal Obligations
Reduction Amount
Related Documents
Security
Specified Currency
Stamp Duty
Termination Event
Valid Demand
Clauses
Interpretation
Definitions
Bank's Undertaking
Guarantee Amount
Duration and Validity
Demand Requirements
Payment Obligations
Reduction
Assignment and Transfer
Representations and Warranties
Counter-Indemnity
Bank's Rights
Default Events
Currency
Notices
Costs and Expenses
Stamp Duty
Set-Off Rights
Force Majeure
Severability
Amendment
Waiver
Governing Law
Jurisdiction
Dispute Resolution
Entire Agreement
Compliance with Laws
Anti-Money Laundering
Confidentiality
Authentication
Electronic Execution
Relevant Industries

Banking and Financial Services

Construction and Infrastructure

International Trade

Manufacturing

Real Estate Development

Government and Public Sector

Energy and Utilities

Mining and Resources

Telecommunications

Defence Contracting

Relevant Teams

Legal

Finance

Treasury

Procurement

Risk Management

Compliance

Commercial Operations

Project Management

Trade Finance

Business Development

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Contract Manager

Commercial Director

Legal Counsel

Banking Relationship Manager

Risk Manager

Procurement Manager

Project Manager

Business Development Director

Corporate Finance Manager

Compliance Officer

Trade Finance Manager

Financial Controller

Industries
Contract and Commercial Law Act 2017: Primary legislation governing contract formation, enforcement, and remedies in New Zealand. This act is crucial for ensuring the guarantee agreement meets basic contractual requirements.
Reserve Bank of New Zealand Act 2021: Regulates banking institutions and their operations in New Zealand, including their authority to issue guarantees and other financial instruments.
Personal Property Securities Act 1999: Relevant for security interests and registration requirements that may apply to bank guarantees and associated collateral.
Anti-Money Laundering and Countering Financing of Terrorism Act 2009: Mandates compliance requirements for banks when issuing guarantees, including customer due diligence and transaction monitoring.
Fair Trading Act 1986: Ensures fair trading practices and prohibits misleading conduct in trade, relevant for commercial guarantees and their terms.
Banking (Prudential Supervision) Act 1989: Sets prudential requirements for banks, including capital adequacy and risk management related to issuing guarantees.
Property Law Act 2007: Contains provisions relevant to security interests and property-related aspects of 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

Letter Of Guarantee

A New Zealand law-governed document where a guarantor promises to fulfill specified obligations of a principal debtor if they default on their commitments to a beneficiary.

find out more

Deferred Payment Guarantee

A New Zealand law-governed guarantee instrument where a financial institution guarantees future payment obligations to a beneficiary under specified conditions.

find out more

Bank Financial Guarantee

A New Zealand law-governed bank guarantee document where a bank provides financial security to a beneficiary on behalf of its client.

find out more

Bank Deposit Government Guarantee

New Zealand government guarantee agreement for protecting eligible bank deposits under NZ law and regulatory framework.

find out more

Banker's Guarantee For Individual

A New Zealand law-governed banker's guarantee document where a bank guarantees an individual customer's obligations to a beneficiary.

find out more

Bank Guarantor Letter

A New Zealand-governed bank guarantee document that provides financial security from a bank to a beneficiary on behalf of the bank's client.

find out more

Construction Bank Guarantee

A New Zealand-governed financial instrument where a bank guarantees a contractor's performance obligations in a construction project to protect the project owner's interests.

find out more

Financial Bank Guarantee

A New Zealand law-governed bank guarantee where a bank commits to pay a beneficiary if the principal defaults on specified obligations.

find out more

Bank Guarantee For Deposit

A New Zealand law-governed bank guarantee document where a bank unconditionally undertakes to pay a specified sum to a beneficiary upon demand, typically used as security in place of a cash deposit.

find out more

Advance Bank Guarantee

A New Zealand law-governed bank guarantee document securing advance payments or performance obligations, where a bank guarantees payment to a beneficiary upon valid demand.

find out more

Unlimited Bank Guarantee

An unconditional and unlimited bank guarantee document governed by New Zealand law, providing comprehensive financial security without liability caps.

find out more

Domestic Bank Guarantee

A New Zealand law-governed bank guarantee where a bank provides financial assurance to a beneficiary on behalf of a principal within the domestic market.

find out more

Bank Guarantee Discharge Letter

A formal document under New Zealand law that releases a bank from its obligations under a previously issued bank guarantee.

find out more

Bank Guarantee For Commercial Lease

A New Zealand-compliant bank guarantee document providing security to landlords for tenant obligations under commercial lease agreements.

find out more

Lc Bank Guarantee

A New Zealand law-governed bank guarantee providing independent payment security, issued by a bank to protect beneficiaries in commercial transactions.

find out more

Bank Credit Guarantee

A New Zealand-governed agreement where a guarantor secures a debtor's obligations to a bank, establishing terms and conditions for the guarantee's operation and enforcement.

find out more

Bank Assurance Letter

A formal financial assurance document issued by a New Zealand bank, confirming a client's financial status or banking arrangements under New Zealand banking regulations.

find out more

Bank Guarantee Cancellation Letter

A formal request document used in New Zealand to cancel an existing bank guarantee, complying with local banking regulations and contract law.

find out more

Bank Guarantee Bond

A New Zealand law-governed financial instrument where a bank guarantees payment to a beneficiary upon specified conditions if a principal defaults on their obligations.

find out more

Revolving Standby Letter Of Credit

A New Zealand law-governed financial instrument that provides a renewable guarantee facility through a standby letter of credit, automatically reinstating after each drawing subject to specified conditions.

find out more

Open Ended Bank Guarantee

Template for an Open Ended Bank Guarantee under New Zealand law, establishing an ongoing bank commitment to pay a specified sum upon valid demand.

find out more

Advance Payment Guarantee Bond

A New Zealand law-governed financial guarantee securing advance payments made under a contract, issued by a bank or insurer to protect the paying party's interests.

find out more

Retention Bank Guarantee

A New Zealand law-governed bank guarantee document that replaces retention money in construction contracts, providing security to project owners while improving contractor cash flow.

find out more

Conditional Bank Guarantee

A New Zealand law-governed bank guarantee document that provides conditional payment undertaking from a bank to a beneficiary upon satisfaction of specified conditions.

find out more

Cash Backed Bank Guarantee

A New Zealand law-governed bank guarantee secured by cash deposit, providing financial security from a bank to a beneficiary against a cash backing from an applicant.

find out more

Bank Counter Guarantee

A New Zealand law-governed financial instrument where a bank guarantees payment to a beneficiary upon demand if a principal debtor defaults on their obligations.

find out more

Back To Back Bank Guarantee

A New Zealand law-governed agreement establishing a secondary bank guarantee arrangement between financial institutions, supporting an original guarantee with defined terms and obligations.

find out more

Bid Bond Tender Guarantee

A New Zealand law-governed financial guarantee issued by a bank to secure a bidder's obligations in a tender process, ensuring the bid is honored and the contract executed if awarded.

find out more

Bank Letter Of Comfort

A New Zealand-compliant formal document from a bank providing assurance regarding parent company support for its subsidiary's obligations.

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.