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Debt Sale Agreement
"I need a Debt Sale Agreement under Pakistani law for the sale of a portfolio of performing corporate loans worth PKR 500 million from ABC Bank to XYZ Investment Fund, with completion scheduled for March 2025 and including ongoing servicing arrangements."
1. Parties: Identification of the seller (original creditor) and buyer of the debt
2. Background: Context of the debt sale, including origin of the debt and reason for sale
3. Definitions and Interpretation: Definitions of key terms and interpretation rules
4. Sale and Purchase: Core terms of the sale including the debt being sold and purchase price
5. Completion: Timing and mechanics of the transfer of the debt
6. Payment Terms: Details of how and when payment will be made
7. Seller's Representations and Warranties: Warranties about the debt, seller's authority, and compliance with laws
8. Buyer's Representations and Warranties: Warranties about buyer's authority and capacity to purchase
9. Regulatory Compliance: Compliance with Pakistani banking and financial regulations
10. Confidentiality: Obligations regarding confidential information
11. Notices: Process for formal communications between parties
12. Governing Law and Jurisdiction: Confirmation of Pakistani law and jurisdiction
13. General Provisions: Standard boilerplate clauses including severability, entire agreement, etc.
1. Security Arrangements: Required if the debt is secured by any assets or guarantees
2. Servicing Arrangements: Needed if the original creditor will continue to service the debt
3. True Sale Provisions: Detailed provisions to establish true sale rather than security arrangement
4. Data Protection: Required if personal data is being transferred
5. Third Party Rights: Needed if there are guarantors or other third parties with rights
6. Foreign Exchange Provisions: Required if the debt is in foreign currency
7. Tax Provisions: Detailed tax arrangements if complex tax implications exist
8. Step-in Rights: Required if buyer needs rights to step into existing arrangements
1. Schedule 1 - The Debt: Detailed description of the debt being sold including amount, interest rate, maturity
2. Schedule 2 - Debt Documentation: List of all relevant debt documentation being transferred
3. Schedule 3 - Completion Requirements: Detailed list of actions and documents required for completion
4. Schedule 4 - Form of Transfer Notices: Template notices to debtor and any relevant third parties
5. Schedule 5 - Seller's Power of Attorney: Form of power of attorney for post-completion actions
6. Schedule 6 - Warranties: Detailed warranties about the debt and related matters
7. Appendix A - Relevant Contracts: Copies of underlying contracts creating the debt
8. Appendix B - Security Documents: Copies of any security documents if debt is secured
Authors
Assigned Rights
Business Day
Completion
Completion Date
Conditions Precedent
Cut-off Date
Debt
Debt Documents
Default Interest
Encumbrance
Event of Default
Existing Security
Financial Indebtedness
Governmental Authority
Interest Period
Law
Material Adverse Effect
Original Credit Agreement
Outstanding Principal
Pakistani Rupees
Payment Date
Purchase Price
Regulatory Approvals
Related Rights
Relevant Documents
Security
Security Documents
Seller's Records
SBP
SECP
Stamp Duty
State Bank of Pakistan
Tax
Transfer Certificate
Transfer Date
Transfer Documents
True Sale
Unpaid Sum
Warranties
Working Day
Notice
Obligor
Underlying Documents
Enforcement Rights
Receivables
Collection Period
Due Diligence
Effective Date
Facility
Finance Documents
Indemnity
Legal Proceedings
Outstanding Amount
Recoveries
Restricted Party
Sanctions
Transaction Documents
Sale and Purchase
Purchase Price
Completion
Conditions Precedent
Payment Terms
Transfer Mechanics
Representations and Warranties
Regulatory Compliance
Security Assignment
Further Assurance
Confidentiality
Data Protection
Assignment and Transfer
Notices
Indemnification
Force Majeure
Severability
Entire Agreement
Amendments
Governing Law
Dispute Resolution
Interest
Tax
Costs and Expenses
No Set-off
Records and Information
True Sale Provisions
Servicing Arrangements
Collections
Remedies
Termination
Stamp Duty
Third Party Rights
Power of Attorney
Counterparts
Banking
Financial Services
Asset Management
Debt Collection
Investment Banking
Private Equity
Corporate Finance
Insurance
Real Estate Finance
Consumer Finance
Commercial Lending
Legal
Finance
Risk Management
Treasury
Compliance
Credit Risk
Portfolio Management
Corporate Finance
Investment
Operations
Due Diligence
Debt Recovery
Asset Management
Chief Financial Officer
Head of Risk Management
Legal Counsel
Investment Manager
Portfolio Manager
Debt Recovery Officer
Credit Manager
Treasury Manager
Compliance Officer
Financial Controller
Investment Banker
Asset Manager
Restructuring Officer
Corporate Finance Manager
Due Diligence Manager
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