Standby letters of credit are a type of letter of credit. The common feature of all letters of credit is an undertaking by a bank to pay the beneficiary of the letter of...
Comfort letters are encountered in finance transactions relatively often. They take different forms and it is important from both the lender's perspective and the...
Contractual set-off is one of the five main types of set-off described in Practice Note: Types of set-off. Contractual set-off arises where a right of set-off has been...
Although suppliers are generally unsecured creditors (unless they establish a valid retention of title (ROT) claim) they may be key to a successful turnaround or pre-pack...
The terms security and quasi-security are frequently used in relation to finance transactions. This Practice Note considers the term security in the context of security...
There are a number of circumstances in which the liability of a guarantor which has guaranteed the obligations of one or more borrowers of a loan facility will be...
A guarantee can take the form of a separate guarantee document or form part of the facility agreement in a guarantee clause. Irrespective of which option is chosen, the...
This Practice Note considers the key issues in relation to the enforcement of guarantees in the context of a financing transaction where a lender (which is most likely to...
BREXIT: The UK is leaving the EU on Exit Day (as defined in the European Union (Withdrawal) Act 2018). This has an impact on this Practice Note. For guidance, see...
Guarantees are typically used in banking transactions as a form of collateral for a debt. For information on the characteristics of guarantees, see Practice Note:...
Guarantees are typically used in banking transactions as a form of collateral for a debt. In such circumstances, they are a contractual arrangement where one party (the...
It is often the case that financing transactions require guarantees to be given by more than one guarantor. For example, guarantees might be required from a number of...
Once the capacity and authority of a company to enter into a guarantee have been investigated, the next step is to consider the commercial (or corporate) benefit of...
This Practice Note sets out certain key cases and associated relevant content in relation to guarantees. The cases are divided by topic area and include: • cases relating...
It is common for the parties to a facility agreement to want to amend its terms, often a number of times, during the life of the facilities. They may, for example, wish...
Guarantees are a contractual arrangement where one party (the guarantor) agrees to answer for the liability of another party (the principal) to another party (the...