The Corporate Performance Guarantee is a crucial document in Dutch commercial practice, commonly utilized when a stronger entity needs to provide financial backing for a less established or smaller entity's obligations. This document is particularly relevant in group company structures, project finance arrangements, or significant commercial contracts where additional security is required. The guarantee must be drafted in compliance with Dutch law requirements, including specific provisions of the Dutch Civil Code regarding formation, validity, and enforcement of guarantees. The document typically includes detailed provisions on the scope of guaranteed obligations, maximum liability, duration, demand procedures, and enforcement mechanisms. A Corporate Performance Guarantee is often required by banks, major clients, or project owners as a condition for entering into substantial commercial arrangements, and its terms must be carefully negotiated to balance the interests of all parties while ensuring enforceability under Dutch law.
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: Identification of the Guarantor, the Beneficiary, and the Principal Debtor
2. Background: Context of the underlying obligation and the reason for providing the guarantee
3. Definitions: Definitions of key terms used throughout the guarantee
4. Guarantee: Core section detailing the scope and nature of the guarantee obligations
5. Maximum Liability: Specification of the maximum amount for which the guarantor can be held liable
6. Duration: Term of the guarantee, including commencement and expiry dates
7. Demands and Payments: Process and requirements for making demands under the guarantee and payment terms
8. Guarantor's Undertakings: Specific promises and obligations of the guarantor
9. Independent Obligation: Confirmation that the guarantee is independent from the underlying obligation
10. No Waiver: Provisions regarding the preservation of rights and remedies
11. Assignment and Transfer: Restrictions on or permissions for transferring rights under the guarantee
12. Notices: Communication requirements and contact details
13. Governing Law and Jurisdiction: Confirmation of Dutch law application and jurisdiction for disputes
14. Execution: Signature blocks and execution requirements
1. Counter-Indemnity: Used when the guarantor requires indemnification from the principal debtor
2. Currency Provisions: Required for cross-border guarantees involving multiple currencies
3. Tax Gross-Up: Include when payments under the guarantee may be subject to withholding tax
4. Corporate Authority: Detailed corporate authority provisions when the guarantor is a regulated entity
5. Financial Covenants: Include when the guarantor must maintain specific financial metrics
6. Step-In Rights: Used when the guarantor has the right to take over the underlying obligation
7. Multiple Guarantors: Required when there is more than one guarantor, addressing joint and several liability
8. Subordination: Include when the guarantee needs to be subordinated to other obligations
1. Form of Demand: Template for making valid demands under the guarantee
2. Underlying Agreement: Copy or summary of the agreement being guaranteed
3. Corporate Authorizations: Copies of relevant board resolutions and powers of attorney
4. Guarantor Information: Details of the guarantor's corporate information and financial status
5. Guarantee Amount Calculation: Method for calculating the guarantee amount if variable
6. Contact Details: Comprehensive contact information for all parties
Find the exact document you need
Lease Performance Bond
A Dutch law-governed financial security instrument where a bank guarantees a tenant's lease obligations to a landlord.
Download
Financial Performance Guarantee
A Dutch law-governed guarantee instrument where a guarantor secures the financial obligations or performance of a principal debtor to a beneficiary.
Download
Payment And Performance Guarantee
A Dutch law-governed guarantee securing both payment and performance obligations, typically issued by financial institutions to ensure contractual compliance.
Download
Corporate Performance Guarantee
A Dutch law-governed guarantee where a company ensures the performance obligations of another entity, typically used in corporate group structures or major commercial transactions.
Download
Contract Performance Guarantee
A Dutch law-governed guarantee issued by a financial institution to secure a contractor's performance obligations under a specified contract.
Download
Performance Guarantee Bond
A Dutch law-governed financial guarantee 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)