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Deed Of Trust Loan Agreement
"I need a Deed of Trust Loan Agreement for a RM 5 million corporate loan between ABC Bank Berhad as lender and XYZ Manufacturing Sdn Bhd as borrower, with three trustees from Malaysian Trust Corporation to manage the security assets, to be executed by March 2025."
1. Parties: Identifies and defines the Lender, Borrower, and Trustee(s), including their full legal names, registration/identification numbers, and addresses
2. Background: Sets out the context of the agreement, including the purpose of the loan and the reason for the trust structure
3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes rules of interpretation
4. Trust Declaration: Formally establishes the trust arrangement, defining the trust property and beneficiaries
5. Loan Amount and Purpose: Specifies the principal amount of the loan and its approved purpose
6. Interest and Repayment Terms: Details the interest rate, calculation method, repayment schedule, and payment mechanisms
7. Trustee Powers and Duties: Outlines the specific powers granted to the trustee and their responsibilities in managing the trust
8. Security and Enforcement: Describes any security provided for the loan and the enforcement mechanisms available
9. Representations and Warranties: Contains statements of fact and assurances from all parties
10. Covenants: Sets out ongoing obligations of the parties, including positive and negative covenants
11. Events of Default: Lists circumstances that constitute default and the consequences thereof
12. Termination: Specifies how and when the trust and loan agreement can be terminated
13. Governing Law and Jurisdiction: Confirms Malaysian law as governing law and specifies jurisdiction for dispute resolution
1. Islamic Finance Compliance: Required when the loan needs to comply with Shariah principles
2. Guarantee Provisions: Included when there are third-party guarantors for the loan
3. Assignment and Transfer: Needed when parties want to allow for potential transfer of rights or obligations
4. Tax Provisions: Required when specific tax arrangements or implications need to be addressed
5. Multiple Trustees Provisions: Included when there is more than one trustee, defining their relationship and decision-making process
6. Trust Property Management: Required when the trust involves active management of assets beyond holding loan security
7. Foreign Currency Provisions: Needed when the loan is denominated in a currency other than Malaysian Ringgit
1. Schedule 1 - Loan Terms: Detailed breakdown of loan amount, interest calculations, and repayment schedule
2. Schedule 2 - Security Details: Comprehensive description of all security assets and their valuation
3. Schedule 3 - Trust Property: Detailed listing and description of all assets held in trust
4. Schedule 4 - Fee Structure: Breakdown of all fees including trustee fees, administration charges, and other costs
5. Schedule 5 - Conditions Precedent: List of conditions that must be satisfied before the loan is disbursed
6. Appendix A - Form of Drawdown Notice: Template for requesting loan disbursements
7. Appendix B - Repayment Schedule: Detailed amortization schedule showing all payment dates and amounts
8. Appendix C - Required Authorizations: List of all required permits, consents, and authorizations
Authors
Banking & Financial Services
Real Estate & Property
Islamic Finance
Investment Management
Corporate Finance
Trust Services
Wealth Management
Legal Services
Family Business
Private Banking
Legal
Compliance
Finance
Risk Management
Corporate Secretarial
Credit Administration
Trust Administration
Wealth Management
Islamic Banking
Corporate Banking
Property Management
Investment Management
Legal Counsel
Trust Officer
Loan Officer
Compliance Manager
Financial Controller
Risk Manager
Company Secretary
Corporate Lawyer
Banking Executive
Trust Administrator
Credit Manager
Investment Manager
Wealth Management Advisor
Islamic Finance Specialist
Property Manager
Corporate Trustee
Financial Advisor
Legal Director
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