contract of loan inter affiliate

7/29/2019 Contract of Loan Inter Affiliate

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CONTRACT OF LOAN

KNOW ALL MEN BY THESE PRESENTS:

This Contract of Loan (the agreement) is entered into by and between:

______________________________, is an entity duly organized and existingunder and by virtue of the laws of the Republic of the Philippines with aprincipal addres at _________________________, represented by

______________________, ________ hereinafter referred to as theCREDITOR;

-and-

______________________________, is an entity duly organized and existingunder and by virtue of the laws of the Republic of the Philippines withthe principal address at _____________________, represented by

____________________________, _____________ , hereinafter referred to asthe BORROWER.

WITNESSETH:

WHEREAS, the BORROWER is an affiliate of the CREDITOR and the formeris in need of funds to finance the ___________________________ (or for other purposes,please specify);

WHEREAS, the CREDITOR is willing to extend a loan to the BOROWERunder the terms and conditions of this agreement and with the proper Boardapproval the former and the latter accepted the same;

WHEREFORE, IN VIEW OF THE FOREGOING, the parties agreed to thefollowing terms and conditions:

1. That the CREDITOR will lend to the BORROWER the amount of__________________________ PESOS (Php__________.00), with an interest of

____________ percent (___%) per month payable within _________ (_____)Months at _________________________________ PESOS (Php________________.00)per month including interest.

2. The BORROWER shall use the Principal Amount under this agreement for thepurpose of (please indicate the purpose of the loan).

3. That the __________ percent (___%) monthly interest shall be paid in advanceevery ___th day of the month to commence on ___________________ while themonthly payment on the principal shall be due and demandable every monthwithout need of demand until fully paid.


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4. That failure to pay the interest and monthly payment on the agreed dateshall entitle the CREDITOR to a penalty of additional __________ percent (___%) monthly interest until the full payment hereof is made.

5. That upon signing of this CONTRACT, CREDITOR will give the______________________ PESOS (Php_________________.00), referred as Principal

Amount, to the BORROWER and the latter hereby acknowledges the receiptof the Principal Amount.

6. That in case BORROWER fails to pay _____ percent (__%) monthly interestand monthly payments in six (6) consecutive months, the entire unpaidprincipal amount including accrued interests shall become due anddemandable including the accrued penalty without notice, unless CREDITORwaives such penalty ifBORROWER request for it and the former agrees.

7. That the CREDITOR shall have the right to set of any amounts due under thisagreement against any sums owing the CREDITOR to the BORROWER by

giving notice of set off to the latter.

8. That the parties herein agree that the loan under this agreement shall beunsecured upon signing, provided however, that the BORROWER shallprovide sufficient properties and other securities when subsequently requiredby the CREDITOR, provided further, the parties shall execute the necessarysecurity or guaranty documents to be made as an integral part of thisagreement.

9. That if one or more provisions of this agreement shall be held invalid. Illegal

or unenforceable shall remain in and shall given full force and effect.

10.That in case of controversy in the interpretation and construction of anyprovisions under this agreement shall first be resolved in an arbitrationproceeding, as condition precedent in filing of appropriate civil action. In caseof litigation, the parties agree to file the appropriate legal action only in thecourts of Legazpi.

IN WITNESSS WHEREOF, the parties have hereunto set their signatures this___th day of _________________ 2013 in ____________ City.

CREDITOR: BORROWER:

________________________________________________________________________


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Signed in the presence of:

__________________________________

_________________________________

(Signature over printed name) (Signature over printed name)

Republic of the Philippines)_________City )s.s.

ACKNOWLEDGEMENT

BEFORE ME, this ____ day of _____________, 20____, at the City of Legazpi,Philippines, personally appeared:

NAME CTC NO.and Govtissued ID

DATE AND PLACE OFISSUE

VALID ID

all are known to me and to me known to be the same parties who have executedthis foregoing CONTRACT OF LOAN, consisting of ___ (__) pages including thisAcknowledgement where it is written and signed by the parties and theirinstrumental witnesses on the left hand margin on each page and furtheracknowledged to me that the same is their free and voluntary act and deed.

WITNESS MY HAND AND NOTARIAL SEAL, on the date and place above-written.

Doc. No. ____;Page No. ____; NOTARY PUBLICBook No. ____;Series of 20___.

contract of loan inter affiliate

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