[{"data":1,"prerenderedAt":531},["ShallowReactive",2],{"document-deed-of-movable-hypothec-D982":3},{"document":4,"label":23,"preview":11,"thumb":24,"description":5,"descriptionCustom":6,"apiDescription":5,"pages":8,"extension":10,"parents":25,"breadcrumb":29,"related":35,"customDescModule":178,"customdescription":6,"mdFm":179,"mdProseHtml":530},{"description":5,"descriptionCustom":6,"label":7,"pages":8,"size":9,"extension":10,"preview":11,"thumb":12,"svgFrame":13,"seoMetadata":14,"parents":15,"keywords":22},"DEED OF MOVABLE HYPOTHEC This Deed of Movable Hypothec (the \"Agreement\") is effective [DATE], BETWEEN: [FIRST PARTY NAME] (the \"First Party\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTY NAME] (the \"Second Party\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] THEREFORE, PARTIES AGREE WITH EACH OTHER AS FOLLOWS: INTERPRETATION Definitions The following words and expressions, whenever used in this Deed or in any deed, document or agreement supplemental or ancillary hereto, unless there be something in the subject or the context inconsistent therewith, shall have the following meanings: \"Asset Purchase Agreement\" means that certain asset purchase agreement entered into with effective date of [DATE] between [COMPANY NAME], as Purchaser, and the Secured Party, as Seller, as same may be amended, supplemented or restated at any time; \"Company\" means [COMPANY NAME] located in [STATE/PROVINCE], [COUNTRY] and includes any successor thereto; \"Deed of Hypothec\", \"this Deed\", \"this Deed of Hypothec\", \"these presents\", \"herein\", \"hereby\", \"hereunder\" and other similar expressions refer collectively to this Deed of Hypothec, its accompanying schedules as well as any and every deed or other instrument which is supplementary or ancillary hereto or in implementation hereof, the whole as same may be amended, supplemented or restated at any time; \"Event of Default\" shall have the meaning ascribed to it in Section 5.1; \"Future Shares\" means all of the shares in the capital stock of [COMPANY NAME] issued from time to time after the date hereof in favour or for the benefit of the Grantor or acquired by the Grantor, whether directly or indirectly, beneficially or otherwise, together with the renewals thereof, the substitutions therefor, accretions and additions thereto and all income and fruits thereof as well as the redemption price of any such shares and all certificates and instruments evidencing or representing such shares; \"Grantor\" means [SPECIFY] and includes any successor thereof; \"Law\" means all applicable provisions of statutes, ordinances, decrees, orders in council, rules, regulations, orders of governmental authorities, treaties and all applicable orders and decrees of courts and arbitrators; \"Lien\" means any interest in property or assets, or the income or profit therefrom, securing an obligation owed to, or a claim by, a Person other than the owner (which for the purposes hereof shall include a possessor under a title retention agreement and a lessee under a lease herein below described) of such property, whether such interest is based on common law, civil [YOUR COUNTRY LAW], statute or contract, and including, but not limited to, any security interest, hypothec, mortgage, pledge, lien, claim, charge, cession, transfer, assignment, encumbrance, title retention agreement, lessor's interest under a lease which would be capitalized on a balance sheet of the owner of such property or analogous instrument in, of, or on any property or on the income or profits therefrom of a Person, other than Liens incurred in the ordinary course of business and for the purpose of carrying on same not in connection with the borrowing of money or the obtaining of credit and which do not in the aggregate materially impair the use, the income or profits therefrom or the property covered thereby in the operation of such Person's business; \"Obligations\" means the due and punctual payment by [COMPANY NAME] to the Secured Party of the \"Balance of Sale\" (as defined in the Asset Purchase Agreement) in principal and interest, in accordance with the terms of the Asset Purchase Agreement; \"Person\" means any legal or natural person, corporation, firm, joint venture, partnership, whether general, limited or undeclared, trust, association, unincorporated organization, governmental authority or other entity of whatever nature; \"Present Shares\" means all of the shares in the capital stock of [COMPANY NAME] presently owned or held by the Grantor, whether directly or indirectly, beneficially or otherwise, together with the renewals thereof, the substitutions therefore, accretions and additions thereto and all income and fruits thereof as well as the redemption price of any such shares and all certificates and instruments evidencing or representing such shares; \"Proceeding\" shall have the meaning ascribed to it in subsection [SPECIFY]; \"Secured Party\" means [COMPANY NAME] and includes any successor or assign thereof; \"Shares\" means the Present Shares and the Future Shares. Plural and Masculine Unless there be something in the subject or the context inconsistent therewith, words importing the singular only shall include the plural and vice versa and words importing the masculine gender shall include the feminine gender and vice versa. Division in Articles The division of this Deed into Articles, Sections, subsections and paragraphs and the insertion of titles are for convenience of reference only and do not affect the meaning or the interpretation of the present Deed. Governing Law This Deed and the interpretation and enforcement thereof shall be governed by and in accordance with the [YOUR COUNTRY ACT/LAW/RULE] of the [STATE/PROVINCE]. HYPOTHECS Principal Hypothec As a general and continuing collateral security for the performance by [COMPANY NAME] of the Obligations, the Grantor hereby pledges and hypothecates the Shares to and in favor of the Secured Party, to the extent of the sum of [AMOUNT] with interest thereon at the rate of [PERCENTAGE %] per annum. Additional Hypothec As general and continuing collateral security for the performance of the Obligations not otherwise secured by the hypothecs created under the terms of Section 2.1, including, without limiting the generality of the foregoing, interest on all overdue interest, as well as the costs and expenses incurred by the Secured Party in order to preserve or realize upon the Liens created and to be created from time to time under the terms hereof and all other costs and expenses related to the Obligations, the Grantor hereby pledges and hypothecates the Shares in favor of the Secured Party to the extent of an additional sum of [AMOUNT], in lawful money of [COUNTRY], with interest thereon at the rate of [PERCENTAGE %] per annum. PROVISIONS RELATING TO THE SHARES Delivery and Registration of the Present Shares Concurrently with the execution of these presents, the Grantor shall deliver to the Secured Party the certificates and instruments representing the Present Shares, duly endorsed in blank for transfer and the Grantor hereby expressly undertakes to exert all reasonable efforts in order to ensure that (y) any transfer of such Present Shares further to the exercise by the Secured Party of its rights and recourses under these presents or under any [YOUR COUNTRY LAW] be duly recorded in the appropriate registers of [COMPANY NAME] and (z) [COMPANY NAME] issue the appropriate certificates and instruments duly registered in the name of any assignee of such transfer in place of the certificates and instruments initially endorsed and representing such transferred Present Shares. 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PLEDGE 2.1 Pledge: As a general and continuing collateral security for the repayment by the Borrower to the Lender of the principal amount of the Loan and of all interest thereon and all other sums payable pursuant to the terms of the Note and this Deed of Pledge (collectively the \"Debt\"), the Borrower, in accordance with the provisions of the laws of [State/Province] of [STATE/PROVINCE], does hereby pledge and charge to and in favor of the Lender, hereunto present and accepting, the property described in Schedule \"B\" hereto (the \"Pledged Property\"). Nomination of Nominee: The Lender and Borrower hereby jointly nominate and appoint the Nominee as their representative for the purposes of obtaining and, subject to the provisions of Section 2.7 hereof, continuously retaining physical possession of the Pledged Property at the Nominee's place of business located at [NOMINEES ADDRESS] from the date of these presents until such time as the Pledge created hereunder is terminated by reason of extinction of the Loan secured hereby, and the Nominee hereby undertakes to so act. 2.3 Obligations of Nominee: The Nominee shall, in its possession of the Pledged Property, have all the obligations of a depositary under a simple voluntary deposit pursuant to the laws of [State/Province] of [STATE/PROVINCE], except as may be expressly derogated from hereinafter. 2.4 Loss or Deterioration: The Nominee shall be liable to the Borrower and the Lender for any loss or deterioration of the Pledged Property, unless he can prove that the said loss or deterioration is the result of a fortuitous event (cas fortuit) or an irresistible force (force majeure) and was not caused by any fault of the Nominee. 2.5 Expenses of Preservation: The Borrower shall reimburse the Nominee upon demand on a dollar-for-dollar basis for any necessary expenses incurred by the Nominee in the preservation of the Pledged Property. 2.6 Loss of Possession: The Nominee hereby undertakes to notify the Borrower and Lender forthwith in writing of any loss or any threat of loss of physical possession of the Pledged Property by the Nominee (\"Notice of Loss of Possession\"), such notice to be given in accordance with the provisions of Article 2.6 hereof. 2.7 Return of Possession to Borrower: At no time during the duration of the present Pledge shall the Nominee, return or allow the Pledged Property to be returned, in whole or in part, to the Borrower or to any person designated by the Borrower alone without the prior written consent of the Lender and upon the terms and subject to the conditions set forth in such consent. In the event of a failure to respect the provisions of this Section 2.7, the Nominee shall be personally liable to the Lender for any loss suffered by the latter as a result of any loss or reduction of the security created hereunder. Termination of Pledge: For the purposes of this Article 2.8, the Pledge shall be considered to have terminated and the Nominee shall be authorized to return the Pledged Property to the Borrower or any person designated by the Borrower upon receipt by the Nominee of written notice from the Lender attesting that the Debt has been extinguished, by payment in full or otherwise (\"Notice of Extinction\"). The Lender shall forward such Notice of Extinction to the Nominee and the Borrower in accordance with the provisions of Article 2.8 hereof within [NUMBER] days from the date of such extinction of the Debt. The Nominee shall, within [NUMBER] days from the date of receipt of the Notice of Extinction, release and return physical possession of the Pledged Property to the Borrower or any person designated by the Borrower to receive the physical possession of the Pledged Property in accordance with the means of delivery chosen by the Borrower and at the sole cost and expense of the Borrower. COVENANTS OF THE BORROWER The Borrower hereby warrants, covenants and agrees that: 3.1 Title to Pledged Property: He is the lawful owner of the Pledged Property; that he has good, right and lawful authority to pledge and charge the Pledged Property as provided in this Deed of Pledge; that the Pledged Property is free and clear of all liens, privileges, hypothecs, charges and encumbrances whatsoever, save and except for any undetermined or inchoate lien, privilege or charge which has not been registered or filed pursuant to law and save and except for any charges subordinated to the charge hereof; and that he shall preserve, warrant and defend his title to the Pledged Property and rights and every part thereof, for the benefit of the Lender, its successors and assigns, against the claims and demands of all persons whomsoever. 3.2 Payment of Loan, Interest and Accessories: He shall punctually pay or cause to be paid the principal of the Loan, any interest thereon and accessories thereto on the dates, at the place and in the moneys, amounts and manner provided for with respect thereto in the Note. 3.3 Payment of Taxes: He shall pay or cause to be paid as and when due and payable all taxes, rates, charges, levies or dues, assessments, ordinary or extraordinary, governmental or other charges of a like nature, assessed or payable in respect of any of the Pledged Property or assessed on the Borrower, his rights or franchises; that he shall exhibit or cause to be exhibited to the Lender when required, on demand, the receipts and vouchers establishing such payments; and that in the event of his failure to pay such sums, the Lender may (but shall be under no obligation to) do so, and all sums so paid by the Lender shall be repaid by the Borrower on demand, with interest thereon at the rate and in the manner stipulated in the Note from the date of any such payment; provided, however, that the Borrower shall not be in default hereunder in the payment of any such tax, rate, charge, levy or assessment if he shall be contesting the imposition thereof in good faith by all appropriate legal proceedings and if the Borrower shall have furnished security satisfactory to the Lender sufficient in amount to cover any loss or liability which may result should such contestation be unsuccessful. 3.4 Other Charges: He shall not permit or suffer the creation or registration of any lien, privilege, hypothec, mortgage, pledge or charge upon or in respect of the Pledged Property or any part thereof. Notwithstanding the foregoing provisions of this Section 3.4, the Borrower shall not be in default hereunder if, within [NUMBER] days of the date of registration of any such privilege, he is in good faith contesting the validity thereof by all appropriate legal proceedings and shall have furnished security satisfactory to the Lender sufficient in amount to cover any liability which may result should such contestation be unsuccessful","Deed of Pledge Loan","10",71,"https://templates.business-in-a-box.com/imgs/1000px/deed-of-pledge_loan-D983.png","https://templates.business-in-a-box.com/imgs/250px/983.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#983.xml",{"title":6,"description":6},[94,96],{"label":17,"url":95},"business-legal-agreements",{"label":20,"url":97},"deed","deed immovable hypothec","/template/deed-of-immovable-hypothec-D983",{"description":101,"descriptionCustom":6,"label":102,"pages":87,"size":103,"extension":10,"preview":104,"thumb":105,"svgFrame":106,"seoMetadata":107,"parents":108,"keywords":111,"url":112},"SECURITY AGREEMENT This Security Agreement (the \"Agreement\") is made and effective [DATE], BETWEEN: [SECURED PARTY NAME] (the \" Secured Party\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Debtor\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] For value received, the undersigned Debtor, promises to pay to the order of [name], together with any other holder of this note (\"Secured Party\"), [amount], with interest at the rate of [%] per annum. Payment shall be made in successive equal monthly installments of [amount]. Each such Installment is payable on the [day] of each month, commencing on [date]. Recitals WHEREAS, the Secured Party has extended to the Debtor a certain loan as evidenced by a certain promissory note, in the original principal amount equal to [amount] dated on even date herewith (the \"Note\"); and WHEREAS, the Debtor wishes to grant a first priority security interest in and to all of the Debtor's tangible and intangible personal property pursuant to the terms hereof; NOW, THEREFORE, for and in consideration of the foregoing and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the parties hereto covenant and agree as follows: DEFINITIONS The following terms shall have the meanings herein specified unless the context otherwise requires. Such definitions shall be equally applicable to the singular and plural forms of the terms defined: \"Contracts\" shall mean all contracts between the Debtor and one or more additional parties. \"Contract Rights\" shall mean all rights of the Debtor (including, without limitation, all rights to payment) under each Contract. \"Copyrights\" shall mean any [country] copyright to which the Debtor now or hereafter has title, as well as any application for a [country] copyright hereafter made by the Debtor. \"Equipment\" shall mean any \"equipment,\" as such term is defined in the [law or code] as in effect on the date hereof in the State of [state/province], now or hereafter owned by Debtor and, in any event, shall include, but shall not be limited to, all machinery, equipment, furnishings, fixtures and vehicles now or hereafter owned by the Debtor and any and all additions, substitutions and replacements of, any of the foregoing, wherever located, together with all attachments, components, parts, equipment and accessories installed thereon or affixed thereto. \"General Intangibles\" shall have the meaning assigned that term under the [LAW OR CODE] as in effect on the date hereof in the State of [state/province]. \"Goods\" shall have the meaning assigned that term under the [LAW OR CODE] as in effect on the date hereof in the State of [state/province]. \"Inventory\" shall mean all raw materials, workinprocess, and finished inventory of the Debtor of every type or description and all documents of title covering such inventory, and shall specifically include all \"inventory\" as such term is defined in the [law or code] as in effect on the date hereof in the State of [state/province], now or hereafter owned by the Debtor. \"Marks\" shall mean any trademarks and service marks now held or hereafter acquired by the Debtor, which are registered in the [country] Patent and Trademark Office, as well as any unregistered marks used by the Debtor in the [COUNTRY] and trade dress, including logos and/or designs, in connection with which any of these registered or unregistered marks are used. \"Obligations\" shall mean: (i) all indebtedness, obligations and liabilities (including, without limitation, guarantees and other contingent liabilities) of the Debtor to the Secured Party, including but not limited to the Note; (ii) any and all sums advanced by the Secured Party in order to preserve the Collateral or preserve its security interest in the Collateral; and (iii) in the event of any proceeding for the collection or enforcement of any indebtedness, obligations or liabilities of the Debtor referred to in clause (i), after an Event of Default shall have occurred and be continuing, the reasonable expenses of retaking, holding, preparing for sale or lease, selling or otherwise disposing or realizing on the Collateral, or of any exercise by the Collateral Agent of its rights hereunder, together with reasonable attorneys' fees and court costs. \"Patents\" shall mean any [country] patent to which the Debtor now or hereafter has title, as well as any application for a [country] patent now or hereafter made by Debtor. \"Proceeds\" shall have the meaning assigned that term under the [law or code] as in effect in the State of [state/province] on the date hereof or under other relevant law and, in any event, shall include, but not be limited to, (i) any and all proceeds of any insurance, indemnity, warranty or guaranty payable to the Secured Party or the Debtor from time to time with respect to any of the Collateral, (ii) any and all payments (in any form whatsoever) made or due and payable to the Debtor from time to time in connection with any requisition, confiscation, condemnation, seizure or forfeiture of all or any part of the Collateral by any governmental authority and (iii) any and all other amounts from time to time paid or payable under or in connection with any of the Collateral. \"Receivables\" shall mean any \"account\" as such term is defined in the [law or code] as in effect on the date hereof in the State of [STATE/PROVINCE], now or hereafter owned by Debtor and, in any event, shall include, but shall not be limited to, all of the Debtor's rights to payment for goods sold or leased or services performed by the Debtor, whether now in existence or arising from time to time hereafter, including, without limitation, rights evidenced by an account, note, contract, security agreement, or other evidence of indebtedness or security, together with (i) all security pledged, assigned, hypothecated or granted to or held by the Debtor to secure the foregoing; (ii) all of the Debtor's right, title and interest in and to any goods, the sale of which gave rise thereto; (iii) all guarantees, endorsements and indemnifications on, or of, any of the foregoing; (iv) all powers of attorney for the execution of any evidence of indebtedness or security or other writing in connection therewith; (v) all books, records, ledger cards and invoices relating thereto; (vi) all evidences of the filing of financing statements and other statements and the registration of other instruments in connection therewith and amendments thereto, notices to other creditors or secured parties, and certificates from filing or other registration officers; (vii) all credit information, reports and memoranda relating thereto and (viii) all other writings related in any way to the foregoing. GRANT OF SECURITY INTEREST The Debtor does hereby grant to the Secured Party a continuing security interest of first priority in all of the right, title and interest of the Debtor in, to and under all of the following property whether now existing or hereafter created or arising: ","Security Agreement",96,"https://templates.business-in-a-box.com/imgs/1000px/security-agreement-D915.png","https://templates.business-in-a-box.com/imgs/250px/915.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#915.xml",{"title":6,"description":6},[109,110],{"label":17,"url":95},{"label":17,"url":95},"security agreement","/template/security-agreement-D915",{"description":114,"descriptionCustom":6,"label":115,"pages":116,"size":117,"extension":10,"preview":118,"thumb":119,"svgFrame":120,"seoMetadata":121,"parents":123,"keywords":122,"url":131},"LOAN AGREEMENT This Loan Agreement (\"Agreement\") is made and effective the [DATE], BETWEEN: [LENDER NAME] (the \"Lender\"), an individual with his main address located at OR a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Borrower\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] Promise to Pay Within [NUMBER] months from today, Borrower promises to pay to Lender the sum of [AMOUNT], and interest and other charges stated below. Responsibility Although this Agreement may be signed below by more than one person, Borrower understands that both parties are individuals responsible for paying back the full amount. Breakdown of Loan Amount of Loan: Other (Describe): Amount Financed: Finance Charge: Total of Payments: Annual Rate: Repayment Borrower will repay the amount of this note in [NUMBER] equal uninterrupted monthly installments of [AMOUNT] each on the [DAY] of each month starting on the [DATE], and ending on [DATE]. Prepayment Borrower has the right to prepay the whole outstanding amount at any time","Loan Agreement","2",513,"https://templates.business-in-a-box.com/imgs/1000px/loan-agreement-D417.png","https://templates.business-in-a-box.com/imgs/250px/417.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#417.xml",{"title":122,"description":6},"loan agreement",[124,127,130],{"label":125,"url":126},"Finance & Accounting","finance-accounting",{"label":128,"url":129},"Business Loans","business-loan",{"label":128,"url":129},"/template/loan-agreement-D417",{"description":133,"descriptionCustom":6,"label":134,"pages":135,"size":136,"extension":10,"preview":137,"thumb":138,"svgFrame":139,"seoMetadata":140,"parents":141,"keywords":147,"url":148},"PROMISSORY NOTE This Promissory Note (the \"Note\") is made and effective the [DATE], BETWEEN: [LENDER NAME] (the \"Lender\"), an individual with his main address located at OR a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Borrower\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] TERMS FOR VALUE RECEIVED, the Borrower promises to pay to the order of Lender, at its principal office located at [ADDRESS], or at such other place that is designated in writing by the holder hereof, the principal sum of [AMOUNT], together with all charges and interest herein provided, payable at the rate and in the manner hereinafter set forth: Borrower shall make monthly payments of principal and interest at the rate of [%] per annum based upon an amortization of [NUMBER] months. Monthly payments shall be due on or before the first day of each month with the first payment being due on or before [DATE]. If not sooner paid, all amounts due under this Note, including principal, interest and other charges shall be due and payable in full on or before the first day of [MONTH], [YEAR] (the \"Maturity Date\"). Time is of the essence of the payment obligations hereunder and each monthly payment shall be due and payable on or before the first day of each month. This Note is and will be secured by a certain first priority security interest in all of the tangible and intangible property of the Borrower, to be recorded in all applicable governmental offices. The parties shall execute a separate security agreement, in form and substance acceptable to the Lender in all respects. Borrower agrees to execute any such security agreements presented by the Lender or other documents required by the Lender in order to perfect its security interest in the above described property. Said Security Agreement and any other instruments and documents executed in connection with or given as security for this Note shall hereinafter be referred to collectively as the \"Loan Documents.\" All of the terms, covenants, Conditions, representations and warranties contained in the Loan Documents are hereby made part of this Note to the same extent and with the same force and effect as if fully set forth herein. If all or any portion of any payment due hereunder is not received by the Lender within [NUMBER] calendar days after the date when such payment is due, Borrower shall pay a late charge equal to [%] of such payment, such late charge to be immediately due and payable without demand by Lender. Borrower shall have the right to prepay all (but not a portion) of the indebtedness evidenced by this Note at any time, by paying the Lender an amount equal to the sum of (I) the principal balance then outstanding, (ii) all interest accrued to the date of such prepayment, (iii) all interest calculated through the Maturity Date, and (iv) any late charge or charges then due and owing. If any payment under this Note is not paid in full by the [DAY] of any month during the term hereof or if the entire amount due as represented by this Note is not paid in full on or before the Maturity Date, or should default be made in the performance or observation of any of the terms, covenants, or conditions contained in the Loan Documents, or if any representation or warranty contained in the Loan Documents is breached or is or becomes untrue, this Note shall be in default, and the entire principal amount outstanding hereunder, accrued interest thereon, all late charges, if any, and any and all other charges due hereunder, shall, at Lender's option, immediately become due and payable, without further notice, the giving of such notice being expressly waived by the Borrower","Promissory Note","3",39,"https://templates.business-in-a-box.com/imgs/1000px/promissory-note-D434.png","https://templates.business-in-a-box.com/imgs/250px/434.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#434.xml",{"title":6,"description":6},[142,143,144],{"label":125,"url":126},{"label":128,"url":129},{"label":145,"url":146},"Promissory Notes","promisory-note","promissory note","/template/promissory-note-D434",{"description":150,"descriptionCustom":6,"label":151,"pages":116,"size":117,"extension":10,"preview":152,"thumb":153,"svgFrame":154,"seoMetadata":155,"parents":157,"keywords":156,"url":162},"PERSONAL GUARANTEE This Personal Guarantee (the \"Agreement\") is effective [DATE], BETWEEN: [FIRST PARTY NAME] (the \"Guarantor\"), an individual with his main address located at: [YOUR COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Second Party\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] I, [NAME OF GUARANTOR], residing at [COMPLETE ADDRESS], hereby personally and solidarity guarantee all of the obligations of [YOUR COMPANY NAME] and agree to be bound solidarity with [YOUR COMPANY NAME] for the prompt performance of [YOUR COMPANY NAME]'s obligations under that certain [SPECIFY] Agreement dated [DATE] (the \"Agreement\") between [YOUR COMPANY NAME] and [COMPANY NAME], including without limitation the payment of all goods, wares and merchandise as [YOUR COMPANY NAME] may from time to time select and purchase on credit from [COMPANY NAME], and hereby expressly renounce to the benefits of division and discussion. Furthermore, I agree that waive may extend the time for payment of any amounts owing to it by waive and/or may waive any default by waive without it in any way lessening or limiting my liability hereunder. Notwithstanding the foregoing, my guarantee hereunder to pay any and all amounts owing by [YOUR COMPANY NAME] to [COMPANY NAME] shall be limited to the sum of [AMOUNT] OR [%] of such outstanding amount.","Personal Guarantee","https://templates.business-in-a-box.com/imgs/1000px/personal-guarantee-D405.png","https://templates.business-in-a-box.com/imgs/250px/405.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#405.xml",{"title":156,"description":6},"personal guarantee",[158,159,160],{"label":125,"url":126},{"label":128,"url":129},{"label":33,"url":161},"guaranties-collateral","/template/personal-guarantee-D405",{"description":164,"descriptionCustom":6,"label":165,"pages":166,"size":167,"extension":10,"preview":168,"thumb":169,"svgFrame":170,"seoMetadata":171,"parents":172,"keywords":176,"url":177},"SUBORDINATION AGREEMENT This Subordination Agreement (the \"Agreement\") is effective [DATE], BETWEEN: [FIRST PARTY NAME] (the \"Borrower), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTY NAME] (the \"General Partner\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [THIRD PARTY NAME] (the \"Lender\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] WHEREAS [COMPANY NAME] (herein called the \"Borrower\") is indebted and may hereafter become further indebted or liable to the undersigned (herein called [SPECIFY]); WHEREAS concurrently with the execution hereof, [COMPANY NAME] (the \"Lender\") and the Borrower did execute a credit agreement bearing formal date of [DATE] (the said agreement, as same may be amended, supplemented or restated at any time and from time to time, shall be referred to herein as the \"Credit Agreement\"); WHEREAS [COMPANY NAME] is the general partner of the Borrower (the \"General Partner\"); WHEREAS it is a condition of the Credit Agreement that [SPECIFY] enter into this Subordination Agreement in favor of the Lender; WHEREAS the General Partner is a wholly-owned subsidiary of [SPECIFY] it is in the best interests and to the advantage of [SPECIFY] that the Lender agree to lend to the Borrower an amount up to the Aggregate Commitment on the terms and conditions of the Credit Agreement; NOW, THEREFORE, in consideration of the Lender making advances to the Borrower pursuant to the Credit Agreement, and for other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, [SPECIFY] covenants and agrees with the Lender as follows: [SPECIFY] hereby acknowledges, agrees and confirms that, subject to Section [NUMBER], any and all present and future Indebtedness and liabilities of the Borrower to [SPECIFY] (all of which present and future Indebtedness and liabilities being herein collectively called \"[SPECIFY] Indebtedness\" are hereby and shall hereafter be junior and subordinate to, and the payment thereof, whether in whole or in part, and whether as to principal, interest, fees or otherwise, and whether at or prior to maturity or upon acceleration of maturity, is postponed to the prior payment in full of, all present and future Indebtedness and liabilities of the Borrower to the Lender under the Credit Agreement (all of which present and future Indebtedness and liabilities being herein collectively called \"Lender Indebtedness\"); and any and all Liens now or hereafter held by [SPECIFY] for [SPECIFY] Indebtedness or any part thereof (all of which present and future Liens being herein collectively called \"[SPECIFY] Liens\"), as well as all rights, remedies and recourses which now are or may hereafter be granted by the Borrower to [SPECIFY], whether directly or indirectly, under the terms of the [SPECIFY] Liens are hereby and shall hereafter be subject, postponed, and fully and completely subordinated to any and all Liens now or hereafter held by the Lender for Lender Indebtedness or any part thereof including, without limitation, the Liens constituted pursuant to the Security Documents to which the Borrower is a party (all of which present and future Liens being herein collectively called \"Lender Liens\"), notwithstanding any priorities that might otherwise be established by [YOUR COUNTRY LAW] and resulting either from the nature of the Lien which now is or may hereafter be created under the [SPECIFY] Liens, or from the date of execution, issue, delivery, registration, notification, publication or perfection of any deed, document, instrument or notice, or otherwise howsoever. In order to effectuate this Agreement, subject to Section [NUMBER], [SPECIFY] hereby assigns, transfers and makes over to the Lender any and all [SPECIFY] Indebtedness; and [SPECIFY] hereby authorizes the Lender to collect and receive any dividends, distributions or payments which may be payable to [SPECIFY] in the course of any receivership, bankruptcy, liquidation or winding-up of the Borrower or upon realization of any [SPECIFY] Liens, and in the event of the amount of Lender Indebtedness at such time not being paid in full (in principal, interest, costs and accessories), [SPECIFY] hereby authorizes the Lender to apply the amount of the dividends, distributions or payments so collected by the Lender in payment of the balance of the Lender Indebtedness, the surplus, if any, to be paid to [SPECIFY]. [SPECIFY] shall, upon demand of the Lender, execute all sworn statements of claim, assignments and other documents and do all matters and things which may be necessary or advisable in the opinion of the Lender, acting reasonably, to give effect to this Agreement. Subject to Section [NUMBER], moneys owing and which may hereafter become owing by the Borrower to [SPECIFY] shall not be paid to or withdrawn by [SPECIFY], but shall hereafter either remain on the books of the Borrower or be paid to the Lender pursuant to this Agreement, unless the Lender's prior written consent is obtained. Any moneys received by [SPECIFY] or by any agent of [SPECIFY] on account of any [SPECIFY] Indebtedness without the prior written consent of the Lender shall be held as agent for the Lender and shall forthwith be paid to the Lender upon demand. Notwithstanding any provision to the contrary herein contained, unless an Event of Default shall have occurred and be continuing, the Borrower may pay to [SPECIFY], without the prior written consent of the Lender:","Subordination Agreement","4",55,"https://templates.business-in-a-box.com/imgs/1000px/subordination-agreement-D423.png","https://templates.business-in-a-box.com/imgs/250px/423.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#423.xml",{"title":6,"description":6},[173,174,175],{"label":125,"url":126},{"label":128,"url":129},{"label":128,"url":129},"subordination agreement","/template/subordination-agreement-D423",false,{"seo":180,"reviewer":193,"legal_disclaimer":197,"quick_facts":198,"at_a_glance":200,"personas":204,"variants":229,"glossary":256,"clauses":290,"how_to_fill":341,"common_mistakes":382,"faqs":407,"industries":435,"comparisons":460,"diy_vs_lawyer":473,"jurisdictions":486,"related_template_ids_curated":507,"schema":517,"classification":518},{"meta_title":181,"meta_description":182,"primary_keyword":183,"secondary_keywords":184},"Deed of Movable Hypothec Template | Free Word Download","Free Deed of Movable Hypothec template for securing business loans against movable assets. Covers collateral, hypothec amount, default, and enforcement.","deed of movable hypothec template",[185,186,187,188,189,190,191,192],"movable hypothec agreement","hypothec on movable property","secured loan agreement template","deed of hypothec word template","business secured financing template","movable collateral security agreement","hypothec deed free download","commercial hypothec template",{"name":194,"credential":195,"reviewed_date":196},"Bruno Goulet","CEO, Business in a Box","2026-05-02",true,{"difficulty":199,"legal_review_recommended":197,"signature_required":197,"notarization_required":178},"advanced",{"what_it_is":201,"when_you_need_it":202,"whats_inside":203},"A Deed of Movable Hypothec is a legally binding security document in which a debtor grants a creditor a real right over specified movable property — such as equipment, inventory, receivables, or intellectual property — as collateral for a loan or obligation. This free Word download gives you a structured, notary-ready starting point you can edit online and export as PDF. It is most commonly used in Quebec civil law and other civil law jurisdictions as the functional equivalent of a security interest or chattel mortgage in common-law systems.\n","Use it when a lender requires collateral security over movable business assets before advancing funds, or when a borrower wants to formally document and publish a hypothec to establish priority over other creditors. It is also needed whenever a financing arrangement requires registration under a personal property or movable-property registry.\n","Identification of the grantor and creditor, a precise description of the hypothecated movable assets, the secured amount and interest rate, representations and warranties, obligations of the grantor, default and enforcement provisions, and governing law and publication clauses.\n",[205,209,213,217,221,225],{"title":206,"use_case":207,"icon_asset_id":208},"Business owners seeking secured financing","Pledging equipment or inventory as collateral to obtain a commercial loan","persona-small-business-owner",{"title":210,"use_case":211,"icon_asset_id":212},"Commercial lenders and banks","Documenting a real security right over movable assets before disbursing funds","persona-lender",{"title":214,"use_case":215,"icon_asset_id":216},"Startup founders","Granting a hypothec over receivables or IP to a seed or venture lender","persona-startup-founder",{"title":218,"use_case":219,"icon_asset_id":220},"Corporate finance officers","Structuring asset-backed credit facilities secured by corporate movables","persona-cfo",{"title":222,"use_case":223,"icon_asset_id":224},"Factoring and leasing companies","Securing obligations under receivables financing or equipment lease arrangements","persona-finance-company",{"title":226,"use_case":227,"icon_asset_id":228},"Legal and notarial professionals","Drafting or reviewing movable hypothec deeds on behalf of debtor or creditor clients","persona-lawyer",[230,234,238,241,245,249,252],{"situation":231,"recommended_template":232,"slug":233},"Hypothec granted over specific identified equipment or machinery","Deed of Movable Hypothec — Specific Assets","",{"situation":235,"recommended_template":236,"slug":237},"Hypothec granted over a universality of present and future assets","Deed of Movable Hypothec with Delivery (Universality)","deed-of-movable-hypothec-D982",{"situation":239,"recommended_template":240,"slug":233},"Securing a line of credit with a floating charge over inventory","Deed of Movable Hypothec — Revolving Credit",{"situation":242,"recommended_template":243,"slug":244},"Pledging accounts receivable as collateral for invoice financing","Deed of Hypothec on Receivables","deed-of-hypothec-on-movables-D981",{"situation":246,"recommended_template":247,"slug":248},"Securing obligations under a commercial lease with movable property","Commercial Security Agreement","security-agreement-D915",{"situation":250,"recommended_template":251,"slug":248},"Common-law jurisdiction requiring a PPSA-style security interest","General Security Agreement",{"situation":253,"recommended_template":254,"slug":255},"Creditor requiring immovable property as additional collateral","Deed of Immovable Hypothec","deed-of-immovable-hypothec-D983",[257,260,263,266,269,272,275,278,281,284,287],{"term":258,"definition":259},"Hypothec","A real security right granted over property that allows a creditor to have the property sold and recover the debt from the proceeds if the debtor defaults, without requiring the creditor to take physical possession.",{"term":261,"definition":262},"Grantor (Hypothecor)","The debtor or owner of the movable property who grants the hypothec to the creditor as security for an obligation.",{"term":264,"definition":265},"Creditor (Hypothecary Creditor)","The lender or obligee in whose favour the hypothec is granted, giving them a real right over the collateral.",{"term":267,"definition":268},"Movable Property","Physical or intangible assets that are not permanently affixed to land, including equipment, vehicles, inventory, receivables, intellectual property, and financial instruments.",{"term":270,"definition":271},"Universality of Assets","A floating charge over all present and future assets of a defined category — such as all inventory or all receivables — rather than individually identified items.",{"term":273,"definition":274},"Publication (Registration)","The formal filing of the hypothec in the applicable personal property or movable-property registry to make it enforceable against third parties and establish creditor priority.",{"term":276,"definition":277},"Prior Claim","A preferential right recognized by law that ranks ahead of hypothecary claims in the distribution of proceeds on enforcement — such as unpaid wages or municipal taxes.",{"term":279,"definition":280},"Hypothecary Rights","The remedies available to a creditor on default, including taking possession, selling the collateral, or taking the asset in payment (dation en paiement) subject to court or statutory process.",{"term":282,"definition":283},"Accessory Hypothec","A hypothec that secures a specific, defined debt and extinguishes automatically when that debt is fully repaid.",{"term":285,"definition":286},"Autonomous Hypothec","A hypothec securing a demand obligation or letter of credit independent of the underlying debt — does not automatically extinguish when the primary obligation is paid.",{"term":288,"definition":289},"Dation en Paiement (Taking in Payment)","A hypothecary remedy where the creditor takes ownership of the collateral in full satisfaction of the debt, subject to a 60-day prior notice requirement and court oversight in most civil law jurisdictions.",[291,296,301,306,311,316,321,326,331,336],{"name":292,"plain_english":293,"sample_language":294,"common_mistake":295},"Identification of Parties","Names and fully describes the grantor (debtor) and the creditor as legal entities, including their addresses and capacity to contract.","This Deed of Movable Hypothec is granted by [GRANTOR LEGAL NAME], a [ENTITY TYPE] duly incorporated under the laws of [JURISDICTION], with its principal place of business at [ADDRESS] ('Grantor'), in favour of [CREDITOR LEGAL NAME], a [ENTITY TYPE], with its principal place of business at [ADDRESS] ('Creditor').","Using a trade name instead of the registered legal entity name. If the grantor name does not match the entity on the asset registry, the hypothec may be unenforceable against third parties.",{"name":297,"plain_english":298,"sample_language":299,"common_mistake":300},"Description of Hypothecated Property","Precisely identifies the movable assets over which the hypothec is granted — either as a list of specific items or as a defined universality of present and future assets.","The Grantor hereby hypothecates and charges in favour of the Creditor the following movable property: [LIST OF SPECIFIC ASSETS / all present and future [CATEGORY OF ASSETS] of the Grantor, including but not limited to [DESCRIPTION]] (collectively, the 'Hypothecated Property').","Using vague descriptions such as 'all business assets.' Courts and registries require sufficient specificity to identify the collateral — overbroad descriptions can be challenged and may fail to attach to specific assets.",{"name":302,"plain_english":303,"sample_language":304,"common_mistake":305},"Secured Amount and Interest","States the maximum amount secured by the hypothec, the interest rate, and the nature of the obligation (term loan, line of credit, or other).","This hypothec secures the repayment of the sum of $[AMOUNT] ([WRITTEN AMOUNT]), bearing interest at the rate of [X]% per annum, calculated [monthly/annually], together with all interest, fees, costs, and charges related to the Secured Obligation.","Failing to specify a maximum secured amount. In Quebec and other civil law jurisdictions, a hypothec without a stated maximum amount is void. Include a figure that covers principal, accrued interest, and enforcement costs.",{"name":307,"plain_english":308,"sample_language":309,"common_mistake":310},"Representations and Warranties of the Grantor","The grantor confirms ownership of the collateral, absence of prior encumbrances, authority to grant the hypothec, and that the assets are in good condition and unencumbered.","The Grantor represents and warrants that: (a) it is the sole owner of the Hypothecated Property, free and clear of all liens, hypothecs, and encumbrances except as disclosed; (b) it has full authority to grant this hypothec; and (c) no insolvency or bankruptcy proceedings are pending or threatened.","Omitting a representation about existing encumbrances. If the grantor has already pledged the same assets to another creditor, the new creditor's priority depends on registration date — not on a warranty the grantor failed to give.",{"name":312,"plain_english":313,"sample_language":314,"common_mistake":315},"Obligations of the Grantor","Sets out ongoing covenants the grantor must maintain — preserving and insuring the collateral, not disposing of it without consent, and notifying the creditor of material changes.","During the term of this hypothec, the Grantor shall: (a) maintain the Hypothecated Property in good repair; (b) keep it insured for not less than $[AMOUNT] naming the Creditor as loss payee; (c) not sell, transfer, or further encumber the Hypothecated Property without prior written consent of the Creditor.","No insurance requirement. If the collateral is destroyed without insurance and the grantor is insolvent, the creditor has no recovery. Require the grantor to name the creditor as loss payee on all applicable policies.",{"name":317,"plain_english":318,"sample_language":319,"common_mistake":320},"Events of Default","Lists the specific events that trigger the creditor's hypothecary remedies — non-payment, breach of covenant, insolvency, material adverse change, or seizure by another creditor.","Each of the following constitutes an Event of Default: (a) failure to pay any amount due within [X] days of the due date; (b) breach of any representation, warranty, or covenant herein not cured within [X] days of notice; (c) commencement of insolvency or bankruptcy proceedings; (d) seizure or attachment of any Hypothecated Property by a third party.","Defining default only as non-payment. A creditor whose collateral has been seized by the CRA or pledged again to a third party needs contractual rights to act immediately — not wait for a missed payment.",{"name":322,"plain_english":323,"sample_language":324,"common_mistake":325},"Hypothecary Remedies and Enforcement","Describes the creditor's rights on default — including taking possession, selling the collateral, or taking it in payment — and incorporates the statutory notice requirements that apply in the governing jurisdiction.","Upon an Event of Default, the Creditor may exercise any and all hypothecary rights available under applicable law, including: (a) taking possession of the Hypothecated Property; (b) selling it by private or public sale after giving [60] days' prior notice as required by law; or (c) taking the Hypothecated Property in payment of the Secured Obligation, subject to the conditions prescribed by law.","Purporting to waive the statutory prior-notice period. In Quebec, the 60-day prior notice for taking in payment is mandatory — any contractual waiver is void and can expose the creditor to liability for irregular enforcement.",{"name":327,"plain_english":328,"sample_language":329,"common_mistake":330},"Publication and Priority","Requires the hypothec to be registered in the applicable movable-property registry (e.g., RPMRR in Quebec) to make it opposable against third parties and establish priority over subsequent creditors.","The Grantor authorizes the Creditor to publish and register this hypothec in the Register of Personal and Movable Real Rights (RPMRR) or such other applicable registry, and to take all steps necessary to perfect and maintain the Creditor's rights hereunder.","Failing to register promptly after execution. An unregistered hypothec is not opposable to third parties — a subsequent creditor who registers first will rank ahead, regardless of who signed first.",{"name":332,"plain_english":333,"sample_language":334,"common_mistake":335},"Discharge and Release","Sets out the conditions under which the creditor will discharge the hypothec from the registry upon full repayment of the secured obligation.","Upon full and final payment of all amounts secured hereunder, the Creditor shall, within [30] days of written request by the Grantor, execute and deliver a discharge of this hypothec and authorize its removal from the applicable registry.","No timeline for discharge. Without a contractual obligation to discharge promptly, creditors may delay removal — leaving the grantor's assets encumbered and blocking future financing.",{"name":337,"plain_english":338,"sample_language":339,"common_mistake":340},"Governing Law and Dispute Resolution","Specifies which jurisdiction's law governs the deed and how disputes will be resolved — arbitration, mediation, or courts of a named jurisdiction.","This Deed is governed by and construed in accordance with the laws of the Province of [PROVINCE / JURISDICTION]. Any dispute arising under this Deed shall be submitted to the exclusive jurisdiction of the courts of [CITY / JURISDICTION], except that the Creditor may seek injunctive or hypothecary relief in any competent court.","Selecting a governing law with no connection to where the assets are located. Hypothecary rights over movable property are generally governed by the law of the jurisdiction where the property is situated — a conflicting governing-law clause can create unenforceable remedies.",[342,347,352,357,362,367,372,377],{"step":343,"title":344,"description":345,"tip":346},1,"Identify the parties with full legal entity names","Enter the grantor's and creditor's complete registered legal names, entity types, jurisdictions of incorporation, and principal business addresses. Do not use trade names or abbreviations.","Cross-reference the grantor's corporate registry entry to confirm the exact legal name matches the entity that owns the assets — mismatches at registration will be rejected.",{"step":348,"title":349,"description":350,"tip":351},2,"Describe the hypothecated assets with precision","List specific assets by serial number, VIN, or asset tag where possible. For a universality, define the category clearly (e.g., 'all present and future inventory of the Grantor located at [ADDRESS]'). Attach a Schedule A for long asset lists.","For accounts receivable, include the debtor names or categories, the outstanding balance as of the deed date, and any future receivables of the same class.",{"step":353,"title":354,"description":355,"tip":356},3,"State the secured amount and interest rate","Enter the maximum principal amount secured, the annual interest rate, the calculation method (monthly or annually), and a cross-reference to the underlying loan agreement or credit facility.","Set the maximum secured amount at 10–15% above the principal to cover accrued interest and enforcement costs — this prevents a shortfall if you need to enforce.",{"step":358,"title":359,"description":360,"tip":361},4,"Complete the representations and warranties block","Have the grantor confirm clear title, absence of prior encumbrances, corporate authority, and no pending insolvency. Request a personal property registry search before execution to verify the representations.","Run a registry search (RPMRR in Quebec, PPSA in other provinces) immediately before signing — encumbrances registered within the last 30 days may not appear in older searches.",{"step":363,"title":364,"description":365,"tip":366},5,"Set the grantor's ongoing obligations","Define insurance minimums, maintenance covenants, disposal restrictions, and reporting requirements. Specify the creditor as loss payee and additional insured on the grantor's property policy.","Require the grantor to deliver a certificate of insurance at signing and annually thereafter — do not rely on a verbal assurance of coverage.",{"step":368,"title":369,"description":370,"tip":371},6,"Define events of default and cure periods","List every default trigger and assign an appropriate cure period — typically 5 business days for payment defaults and 15–30 days for covenant breaches. Ensure insolvency events have no cure period.","Include a cross-default clause: if the grantor defaults under any other material financing agreement, it constitutes a default here as well.",{"step":373,"title":374,"description":375,"tip":376},7,"Review and incorporate jurisdiction-specific notice requirements","Confirm the mandatory prior-notice periods for each hypothecary remedy in the governing jurisdiction. In Quebec, taking in payment requires 60 days' prior notice to the grantor and any subordinate hypothecary creditors.","Attach the required statutory prior-notice form as a schedule so it is ready to issue immediately upon default without delay.",{"step":378,"title":379,"description":380,"tip":381},8,"Execute and register without delay","Both parties sign the deed, then the creditor (or its notary) registers it in the applicable movable-property registry — RPMRR in Quebec, PPSA in other Canadian provinces. Priority runs from the date and time of registration.","Register the same day as execution if possible. Even a one-day gap creates a window during which another creditor could register and rank ahead of you.",[383,387,391,395,399,403],{"mistake":384,"why_it_matters":385,"fix":386},"Omitting the maximum secured amount","Under Quebec civil law and most civil-law equivalents, a hypothec that does not state a maximum secured amount is absolutely null — the entire security is void regardless of registration.","Always state a specific dollar maximum that covers principal, accrued interest at the contracted rate for at least one year, and estimated enforcement costs.",{"mistake":388,"why_it_matters":389,"fix":390},"Delaying registration after execution","A hypothec is not opposable to third parties until it is published in the applicable registry. A creditor who executes on Monday but registers on Friday loses priority to any creditor who registers in between.","Register the hypothec on the same day as execution, or instruct a notary or agent to file immediately. Treat the registration as part of the closing, not a post-closing formality.",{"mistake":392,"why_it_matters":393,"fix":394},"Vague or overbroad description of hypothecated assets","Registries and courts require the collateral description to be sufficient to identify the assets. An entry for 'all assets' without further detail can be challenged and may fail to attach to specific property.","Use serial numbers, VINs, or asset categories with location qualifiers. For a universality, specify the type of assets, their location, and whether future assets of the same class are included.",{"mistake":396,"why_it_matters":397,"fix":398},"No insurance loss-payee designation","If the hypothecated assets are destroyed by fire or flood and the creditor is not named as loss payee, the insurance proceeds go to the grantor — who may be insolvent and unable to repay.","Require the grantor to name the creditor as first loss payee in the hypothecated-asset insurance policy and deliver proof of coverage at closing.",{"mistake":400,"why_it_matters":401,"fix":402},"Purporting to waive mandatory statutory notice periods","In Quebec, the 60-day prior notice before taking in payment or forced sale is a matter of public order — any contractual waiver is void, and enforcing without proper notice exposes the creditor to a nullity action and damages.","Remove any waiver language and instead prepare the statutory prior-notice form in advance so it can be served immediately upon default.",{"mistake":404,"why_it_matters":405,"fix":406},"Using a trade name instead of the registered legal entity as grantor","A hypothec registered against a trade name rather than the legal entity name will not be found in a registry search against the entity — leaving the creditor unsecured against third-party searchers.","Confirm the grantor's exact registered corporate name from the applicable business registry before drafting and use that name verbatim throughout the deed and registration.",[408,411,414,417,420,423,426,429,432],{"question":409,"answer":410},"What is a Deed of Movable Hypothec?","A Deed of Movable Hypothec is a legal security document under which a debtor (the grantor) grants a creditor a real right over specified movable property — such as equipment, inventory, receivables, or intellectual property — as collateral for a loan or other obligation. Unlike a pledge, the grantor typically retains possession of the assets while the hypothec remains registered. It is the civil-law equivalent of a security interest or chattel mortgage used in common-law jurisdictions and is most commonly encountered in Quebec and other civil-law systems.\n",{"question":412,"answer":413},"How is a movable hypothec different from an immovable hypothec?","A movable hypothec is granted over property that is not permanently affixed to land — equipment, vehicles, inventory, receivables, IP, and financial instruments. An immovable hypothec is granted over land and buildings and is the equivalent of a mortgage. Both create real rights in favour of the creditor, but they are registered in different registries, governed by different rules, and involve different enforcement procedures. Many commercial financing transactions require both.\n",{"question":415,"answer":416},"Does a movable hypothec need to be notarized?","In Quebec, a movable hypothec granted by an individual (as opposed to a legal person) must be executed before a notary to be valid. Hypothecs granted by legal persons (corporations) can be executed under private writing and are valid without notarization, though some lenders require notarial form for additional certainty. Requirements vary by jurisdiction — always confirm the formal requirements under the governing law before execution.\n",{"question":418,"answer":419},"What assets can be covered by a movable hypothec?","Movable hypothecs can cover virtually any property that is not land or permanently affixed to land: equipment, machinery, vehicles, furniture, computers, raw materials, finished inventory, accounts receivable, bank accounts, intellectual property, shares in corporations, and even universalities of present and future assets. The description of hypothecated property must be precise enough to identify the assets — vague descriptions risk invalidity or registration rejection.\n",{"question":421,"answer":422},"How is a movable hypothec enforced on default?","On default, the hypothecary creditor typically has three main remedies under Quebec civil law: taking possession and administering the property, selling the property by judicial or extrajudicial means after giving prior notice, or taking the property in payment (dation en paiement). Each remedy requires service of a prior notice on the debtor and any subordinate creditors — the notice period is generally 20 days for taking possession and 60 days for taking in payment. Courts can reduce notice periods in urgent circumstances.\n",{"question":424,"answer":425},"What is the priority of a movable hypothec against other creditors?","Priority among hypothecary creditors is generally determined by the date and time of registration in the movable-property registry, not the date of the deed. A creditor who registers first ranks ahead of one who registered later, even if the later deed was signed first. However, certain prior claims — unpaid wages, municipal taxes, and costs of justice — rank ahead of all hypothecary creditors by operation of law regardless of registration date.\n",{"question":427,"answer":428},"Is a movable hypothec the same as a General Security Agreement?","They serve the same function — securing a loan against movable assets — but they arise from different legal systems. A General Security Agreement (GSA) is a common-law instrument used in common-law Canadian provinces under PPSA legislation. A Deed of Movable Hypothec is a civil-law instrument used in Quebec under the Civil Code. A business with assets in both Quebec and other provinces may need both documents to achieve complete security coverage.\n",{"question":430,"answer":431},"How long does a movable hypothec registration last?","In Quebec, a registration in the RPMRR is valid for the period specified in the registration, up to a maximum of 10 years. It must be renewed before it expires to maintain priority — a lapsed registration loses its ranked position and any creditor can register ahead of a renewal. Most commercial lenders set the registration period to match the loan term plus a buffer, and calendar a renewal reminder at least 6 months before expiry.\n",{"question":433,"answer":434},"Can a movable hypothec cover future assets not yet owned by the grantor?","Yes. A movable hypothec can be granted over a universality of present and future assets of a defined category — for example, all present and future inventory or all receivables arising from a specified business activity. The hypothec attaches to future assets as soon as the grantor acquires them, provided the universality is clearly described in the deed and registration. This is the civil-law equivalent of an after-acquired property clause in a common-law security agreement.\n",[436,440,444,448,452,456],{"industry":437,"icon_asset_id":438,"specifics":439},"Manufacturing","industry-manufacturing","Equipment, machinery, and raw-material inventory are the primary collateral categories; universality hypothecs covering production assets and finished goods are standard in asset-based lending facilities.",{"industry":441,"icon_asset_id":442,"specifics":443},"Retail and Distribution","industry-retail","Revolving hypothecs over inventory are common for seasonal retailers and distributors; registration must be updated when stock locations or categories change materially.",{"industry":445,"icon_asset_id":446,"specifics":447},"Technology and SaaS","industry-saas","Hypothecs over intellectual property, software licenses, and accounts receivable are used by venture lenders and revenue-based financing providers as alternatives to equity dilution.",{"industry":449,"icon_asset_id":450,"specifics":451},"Construction","industry-construction","Equipment financing in construction typically involves specific-asset hypothecs on identified heavy machinery with serial numbers; interaction with builder's liens and prior claims requires careful priority mapping.",{"industry":453,"icon_asset_id":454,"specifics":455},"Healthcare","industry-healthtech","Medical equipment financing and receivables hypothecs are used by clinics and diagnostic labs; receivables from provincial health insurers require specific assignment language to be effectively hypothecated.",{"industry":457,"icon_asset_id":458,"specifics":459},"Professional Services","industry-professional-services","Law firms, accounting practices, and consulting firms use hypothecs over work-in-progress receivables and office equipment to secure operating lines of credit from chartered banks.",[461,464,466,470],{"vs":251,"vs_template_id":462,"summary":463},"general-security-agreement-D984","A General Security Agreement (GSA) is the common-law equivalent used in Canadian provinces outside Quebec under PPSA legislation. A Deed of Movable Hypothec is the civil-law instrument used in Quebec under the Civil Code. Both secure movable assets but operate under different legal regimes, registration systems, and enforcement procedures. Businesses with assets in both Quebec and other provinces need both documents for complete coverage.",{"vs":254,"vs_template_id":255,"summary":465},"A Deed of Immovable Hypothec — the civil-law mortgage — creates a real security right over land and buildings. A Deed of Movable Hypothec covers equipment, inventory, receivables, and other non-land assets. Both create hypothecary rights but are registered in different registries and involve different enforcement rules. Lenders financing a business purchase often require both.",{"vs":467,"vs_template_id":468,"summary":469},"Pledge Agreement","D{PLEDGE_AGREEMENT_ID}","A pledge requires the creditor to take actual physical possession of the collateral as a condition of the security right. A movable hypothec allows the grantor to retain possession while still granting the creditor a real right. For operational assets like equipment and inventory, a hypothec is almost always preferable to a pledge because the grantor can continue using the assets during the loan term.",{"vs":115,"vs_template_id":471,"summary":472},"loan-agreement-D156","A Loan Agreement defines the terms of the debt — principal, interest, repayment schedule, and covenants. A Deed of Movable Hypothec is a security document that creates a real right over collateral to back the loan. They are complementary, not interchangeable: the loan agreement creates the obligation; the hypothec secures it. Both documents are required for a fully documented secured financing transaction.",{"use_template":474,"template_plus_review":478,"custom_drafted":482},{"best_for":475,"cost":476,"time":477},"Simple single-asset hypothecs between known parties where the loan terms are already documented in a separate agreement","Free","30–60 minutes",{"best_for":479,"cost":480,"time":481},"Commercial loans above $50,000, universality hypothecs, or transactions involving multiple creditors or prior encumbrances","$500–$1,500 for notarial or legal review","2–5 business days",{"best_for":483,"cost":484,"time":485},"Asset-based lending facilities, structured finance transactions, cross-border security, or hypothecs over IP or complex receivables portfolios","$2,000–$8,000+","1–3 weeks",[487,492,497,502],{"code":488,"name":489,"flag_asset_id":490,"note":491},"us","United States","flag-us","The United States does not use the civil-law hypothec concept. Security interests over movable personal property are governed by Article 9 of the Uniform Commercial Code (UCC), adopted in all 50 states. The functional equivalent is a Security Agreement with a UCC-1 financing statement filed with the Secretary of State. Louisiana, as a civil-law state, uses hypothec terminology but its framework also interacts with federal UCC principles for commercial transactions.",{"code":493,"name":494,"flag_asset_id":495,"note":496},"ca","Canada","flag-ca","Quebec is the primary Canadian jurisdiction where movable hypothecs apply, governed by Articles 2660–2802 of the Civil Code of Quebec. Registration is made in the Register of Personal and Movable Real Rights (RPMRR). All other Canadian provinces and territories use the Personal Property Security Act (PPSA) and General Security Agreements instead. Businesses operating in both Quebec and other provinces need jurisdiction-specific instruments for each. The Quebec hypothec requires a stated maximum amount or it is void.",{"code":498,"name":499,"flag_asset_id":500,"note":501},"uk","United Kingdom","flag-uk","English law does not recognize the hypothec as a distinct security instrument. Security over movable personal property in England and Wales is typically achieved through a fixed or floating charge under the Companies Act 2006, registered at Companies House within 21 days of creation. Scottish law has a distinct moveable hypothec concept in limited contexts (e.g., maritime and landlord hypothec), but commercial asset security follows broadly similar charge-registration principles. This template is not directly applicable to UK transactions without substantial adaptation.",{"code":503,"name":504,"flag_asset_id":505,"note":506},"eu","European Union","flag-eu","The hypothec on movable property exists in varying forms across EU civil-law member states — France (nantissement), Belgium (hypothèque mobilière), and Luxembourg among them. Requirements for creation, formality, registration, and enforcement differ significantly by member state. The EU Financial Collateral Directive harmonizes rules for financial instruments and cash collateral, but general movable property security remains a matter of national law. This template requires local legal adaptation before use in any specific EU jurisdiction.",[255,248,508,248,509,510,511,512,513,514,515,516],"loan-agreement-D417","promissory-note-D434","personal-guarantee-D405","subordination-agreement-D423","demand-to-pay-promissory-note-D207","letter-of-intent_acquisition-of-business-D5197","non-disclosure-agreement-nda-D12692","certificate-of-corporate-resolution-D3","secured-lumpsum-promissory-note-agreement-D13041",{"emit_how_to":197,"emit_defined_term":197},{"primary_folder":95,"secondary_folder":519,"document_type":520,"industry":521,"business_stage":522,"tags":523,"confidence":529},"guaranties-and-collateral","agreement","general","all-stages",[524,525,526,527,528],"security-agreement","collateral","movable-property","civil-law","financing",0.92,"\u003Ch2>What is a Deed of Movable Hypothec?\u003C/h2>\n\u003Cp>A \u003Cstrong>Deed of Movable Hypothec\u003C/strong> is a legally binding security document under which a debtor — the grantor — grants a creditor a real right over specified movable property as collateral for a loan or other financial obligation. Covered assets typically include equipment, machinery, vehicles, inventory, accounts receivable, intellectual property, and financial instruments — any property that is not permanently affixed to land. Unlike a pledge, the grantor generally retains possession and continues using the assets during the loan term; the hypothec operates as a registered encumbrance that gives the creditor priority rights over the collateral if the grantor defaults. The deed is the primary security instrument in Quebec and other civil-law jurisdictions, operating under the Civil Code rather than the common-law Personal Property Security Act framework used elsewhere in Canada and most of the English-speaking world.\u003C/p>\n\u003Ch2>Why You Need This Document\u003C/h2>\n\u003Cp>Without a properly drafted and registered Deed of Movable Hypothec, a creditor advancing funds against business assets has no real right in the collateral — only a personal claim against the debtor. If the grantor becomes insolvent, an unregistered or defective hypothec is unenforceable against the trustee in bankruptcy and against other creditors who registered first. The consequences are concrete: a creditor without a valid hypothec ranks as an unsecured creditor and typically recovers cents on the dollar, if anything, from an insolvent estate. For the grantor, an improperly documented hypothec can block future financing, create title defects that delay asset sales, and expose management to breach-of-warranty claims from lenders. This template provides the foundational structure — correct maximum-amount disclosure, precise asset description, statutory-compliant enforcement clauses, and discharge obligations — that keeps both parties protected and makes registration straightforward from day one.\u003C/p>\n",1779480719873]