A Bank Guarantee for Performance Security is commonly used in commercial contracts under English and Welsh law where one party requires security for the other's performance obligations. This instrument is particularly prevalent in construction, infrastructure, and international trade transactions where significant financial exposure exists. The guarantee provides an independent, irrevocable commitment from a bank to pay a specified sum upon demand if predetermined conditions are met, typically relating to the principal obligor's failure to perform their contractual obligations. The document includes specific provisions regarding the guarantee amount, validity period, demand requirements, and payment terms.
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 of your docs
1. Parties: Details of the bank (guarantor), beneficiary, and principal obligor
2. Background: Context of the underlying contract and reason for guarantee
3. Definitions: Key terms used throughout the guarantee
4. Guarantee Amount: Maximum sum guaranteed by the bank
5. Duration: Validity period of the guarantee
6. Demand Requirements: Process and conditions for making claims
7. Payment Terms: Timing and method of payment upon valid demand
1. Reduction Clause: Provisions for reducing guarantee amount over time - used for long-term projects with staged completion
2. Assignment: Rights to assign the guarantee - used when beneficiary might need to transfer rights
3. Counter-Indemnity: Principal's obligation to indemnify bank - used when separate counter-indemnity is not executed
1. Form of Demand: Template for making claims under the guarantee
2. Underlying Contract Details: Summary of the contract being guaranteed
3. Reduction Schedule: Schedule of guarantee amount reductions if applicable
Find the exact document you need
Bank Guarantee For Performance Security
An English law bank guarantee securing contractual performance obligations through an independent payment undertaking by a financial institution.
Download
Performance And Financial Bank Guarantee
An English law bank guarantee securing both performance obligations and financial commitments of a contracting party.
Download
Bank Guarantee And Performance Guarantee
A legally binding guarantee issued by a bank under English and Welsh law, ensuring payment or performance of obligations by a third party.
Download
Payment And Performance Guarantee
An English law document where a guarantor ensures both payment and performance obligations of a principal debtor to a beneficiary.
Download
Corporate Performance Guarantee
An English law guarantee where one company ensures the performance obligations of another company to a third party.
Download
Advance Performance Guarantee
A legally binding guarantee under English and Welsh law protecting advance payments through bank-backed security.
Download
Contract Performance Guarantee
A legally binding guarantee under English and Welsh law where a third party ensures the performance of contractual obligations through financial security.
Download
Bid Bond Bank Guarantee
A bank-issued guarantee under English and Welsh law ensuring a bidder's commitment to honor their tender bid and enter into the contract if selected.
Download
Bank Guarantee Performance Bond
A bank-issued guarantee under English and Welsh law ensuring a contractor's performance obligations to a project owner.
Download
Performance Guarantee Bond
An English law guarantee instrument where a guarantor ensures a contractor's performance obligations to an employer through financial security.
Download
Performance Bank Guarantee
An English law financial instrument where a bank guarantees the performance obligations of a principal party to a beneficiary.
Download
ұԾ’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; ұԾ’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
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)