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Memorandum Of Deposit Template for New Zealand

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Key Requirements PROMPT example:

Memorandum Of Deposit

"I need a Memorandum of Deposit to secure a NZD 2.5 million business loan from ABC Bank Limited, with the security being taken over our company's manufacturing equipment and inventory located in Auckland, New Zealand."

Document background
The Memorandum of Deposit is a crucial security document in New Zealand's financial and commercial landscape. It is used when a party (the depositor) needs to provide security over specific assets to secure obligations owed to another party (typically a financial institution). The document complies with New Zealand law requirements, particularly the Personal Property Securities Act 1999, and enables the creation of a registrable security interest. This type of document is commonly used in various contexts, including securing bank facilities, equipment financing, and general commercial lending. The memorandum will typically detail the secured assets, the obligations being secured, the depositor's obligations regarding the assets, the secured party's rights, and enforcement provisions. It is designed to protect the secured party's interests while providing a clear framework for the security arrangement.
Suggested Sections

1. Parties: Identifies the parties to the agreement - typically the depositor (security provider) and the secured party

2. Background: Sets out the context of the security arrangement and references any related agreements such as facility agreements

3. Definitions and Interpretation: Defines key terms used in the document and establishes interpretation principles

4. Creation of Security Interest: Establishes the security interest over the deposited assets

5. Secured Obligations: Defines the obligations being secured by the security interest

6. Representations and Warranties: Depositor's confirmations about ownership, authority, and status of the secured assets

7. Depositor's Obligations: Ongoing obligations of the depositor regarding the secured assets

8. Rights and Powers of the Secured Party: Sets out what the secured party can do with or in relation to the secured assets

9. Enforcement: Specifies when and how the security interest can be enforced

10. Power of Attorney: Appointment of the secured party as attorney to perfect or enforce the security

11. General Provisions: Standard boilerplate provisions including notices, amendments, governing law

Optional Sections

1. Further Assurance: Additional obligations to perfect the security - include when dealing with complex assets or overseas assets

2. Insurance: Requirements for insurance of secured assets - include when secured assets are physical property

3. Costs and Expenses: Allocation of costs - include when significant costs are anticipated

4. Assignment and Transfer: Rights to transfer the security interest - include for sophisticated financial transactions

5. Reinstatement and Release: Terms for releasing the security - include when partial releases may be required

6. Income and Interest: Treatment of income from secured assets - include for income-generating assets like shares

7. Priority Arrangements: Priority position of the security - include when there are multiple security interests

Suggested Schedules

1. Schedule 1 - Secured Assets: Detailed description of the assets subject to the security interest

2. Schedule 2 - Secured Obligations: Detailed description of the secured obligations, including reference to facility agreements

3. Schedule 3 - Form of Notice: Template notices to perfect the security interest where required

4. Schedule 4 - Permitted Security Interests: List of existing or permitted security interests over the secured assets

5. Appendix 1 - Asset Documents: Copies of key documents evidencing ownership of secured assets

6. Appendix 2 - Registration Forms: Forms required for registering the security interest on the PPSR

Authors

Alex Denne

Head of Growth (Open Source Law) @ 红杏直播 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions







































Clauses

































Relevant Industries

Banking

Financial Services

Investment Management

Commercial Real Estate

Manufacturing

Agriculture

Mining and Resources

Infrastructure

Retail

Professional Services

Relevant Teams

Legal

Credit

Risk

Compliance

Banking Operations

Security Administration

Document Management

Portfolio Management

Transaction Management

Relationship Management

Relevant Roles

Legal Counsel

Banking Lawyer

Finance Lawyer

Commercial Lawyer

Credit Manager

Relationship Manager

Security Trustee

Loan Officer

Credit Analyst

Risk Manager

Compliance Officer

Document Controller

Transaction Manager

Portfolio Manager

Industries





Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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