A Contract Performance Guarantee is a crucial security instrument in commercial transactions under Irish law, commonly used in construction, infrastructure, and large-scale commercial projects. This document is essential when a party (the beneficiary) requires security for the performance of contractual obligations by another party (the principal obligor). The guarantee is typically provided by a bank, financial institution, or parent company, who steps in as guarantor to ensure the beneficiary's interests are protected. The Contract Performance Guarantee becomes particularly relevant in high-value contracts or where the principal obligor's financial standing or performance capability requires additional security. It sets out specific trigger events for calling on the guarantee, defines the guaranteed sum or obligations, and establishes clear procedures for making demands and receiving payment. The document must comply with Irish legal requirements, including the Statute of Frauds (Ireland) 1695 and relevant banking regulations, while also considering any specific sector-related requirements or standard market practices.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Your data doesn't train Genie's AI
You keep IP ownership聽of your docs
1. Parties: Identification of the Guarantor, the Beneficiary, and the Principal Obligor (the party whose performance is being guaranteed)
2. Background: Context of the guarantee, reference to the underlying contract, and purpose of the guarantee
3. Definitions: Definitions of key terms used throughout the guarantee, including 'Guaranteed Obligations', 'Guaranteed Sum', and 'Demand'
4. Guarantee and Indemnity: Core provisions setting out the guarantee obligations and indemnity provided by the guarantor
5. Scope of Guarantee: Detailed description of what obligations are covered and the maximum liability amount
6. Duration: Term of the guarantee, including start date and expiry conditions
7. Demands Under Guarantee: Process and requirements for making valid demands under the guarantee
8. Payment Provisions: Timeline and mechanics for payments following a valid demand
9. Guarantor's Obligations: Specific undertakings and continuing obligations of the guarantor
10. Preservation of Rights: Provisions ensuring the guarantee remains valid despite changes to the underlying contract or circumstances
11. Representations and Warranties: Standard representations and warranties from the guarantor
12. Governing Law and Jurisdiction: Specification of Irish law as governing law and jurisdiction for disputes
1. Counter-Indemnity: Include when the principal obligor is required to indemnify the guarantor for payments made under the guarantee
2. Security: Include when additional security is being provided to support the guarantee
3. Step-In Rights: Include when the guarantor has the right to take over the underlying contract upon default
4. Multiple Guarantors: Include when there are multiple guarantors to address joint and several liability
5. Assignment and Transfer: Include when either party needs the right to assign or transfer their rights under the guarantee
6. Currency Provisions: Include for international transactions involving multiple currencies
7. Tax Gross-Up: Include when payments need to be made free and clear of tax deductions
8. Costs and Expenses: Include when specific provisions are needed for the recovery of enforcement costs
1. Form of Demand: Template form for making demands under the guarantee
2. Underlying Contract: Copy or summary of the contract being guaranteed
3. Required Documents: List of documents required to be submitted with any demand
4. Authorized Signatories: List of persons authorized to make demands under the guarantee
5. Payment Details: Banking and account details for payments under the guarantee
Find the exact document you need
Financial Performance Guarantee
An Irish law-governed guarantee instrument where a guarantor commits to compensate the beneficiary if a third party fails to meet specified performance obligations.
Download
Corporate Performance Guarantee
An Irish law-governed guarantee where a corporate entity ensures the performance obligations of another entity, providing security and remedies for the beneficiary.
Download
Contract Performance Guarantee
An Irish law-governed guarantee instrument where a guarantor ensures the performance of a principal obligor's contractual obligations to a beneficiary.
Download
Performance Guarantee Bond
An Irish law-governed financial guarantee instrument where a guarantor ensures a principal party's performance obligations through financial compensation.
Download
骋别苍颈别鈥檚 Security Promise
Genie is the safest place to draft. Here鈥檚 how we prioritise your privacy and security.
Your documents are private:
We do not train on your data; 骋别苍颈别鈥檚 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
We are ISO27001 certified, so your data is secure
Organizational security:
You retain IP ownership of your documents and their information
You have full control over your data and who gets to see it
.png)