[{"data":1,"prerenderedAt":527},["ShallowReactive",2],{"document-guaranty-agreement-D13699":3},{"document":4,"label":21,"preview":11,"thumb":22,"description":5,"descriptionCustom":6,"apiDescription":5,"pages":8,"extension":10,"parents":23,"breadcrumb":27,"related":33,"customDescModule":179,"customdescription":6,"mdFm":180,"mdProseHtml":526},{"description":5,"descriptionCustom":6,"label":7,"pages":8,"size":9,"extension":10,"preview":11,"thumb":12,"svgFrame":13,"seoMetadata":14,"parents":16,"keywords":15},"GUARANTY AGREEMENT This Guaranty Agreement (\"Agreement\") is entered into effect as of [DATE], BETWEEN: [GUARANTOR'S NAME], (\"Guarantor\"), an individual with their 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: [CREDITOR'S NAME], (\"Creditor\") an individual with their 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] PURPOSE OF THE AGREEMENT The Guarantor agrees to guarantee and be responsible for the obligations of the debtor (hereinafter referred to as the \"Debtor\") to the Creditor, as described herein. DEFINITIONS 2.1 Debtor: The individual or entity for whom the Guarantor is providing the guarantee, and who has obligations to the Creditor. GUARANTEE OF OBLIGATIONS 3.1 The Guarantor hereby guarantees and promises to pay to the Creditor all obligations, debts, and liabilities owed by the Debtor to the Creditor, as described in Exhibit A attached hereto. TERMS OF GUARANTEE 4.1 The Guarantor's obligation under this Agreement shall not be affected or impaired by any extension, renewal, modification, or change of the terms of the Debtor's obligations to the Creditor. 4",null,"Guaranty Agreement","3",513,"doc","https://templates.business-in-a-box.com/imgs/1000px/guaranty-agreement-D13699.png","https://templates.business-in-a-box.com/imgs/250px/13699.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#13699.xml",{"title":15,"description":6},"guaranty agreement",[17,20],{"label":18,"url":19},"Legal Agreements","/templates/business-legal-agreements/",{"label":18,"url":19},"Guaranty Agreement Template","https://templates.business-in-a-box.com/imgs/400px/13699.png",[24,17,20],{"label":25,"url":26},"Templates","/templates/",[28,29,30],{"label":25,"url":26},{"label":18,"url":19},{"label":31,"url":32},"Guaranties & Collateral","/templates/guaranties-and-collateral/",[34,38,42,46,50,54,58,62,66,70,74,78,82,102,116,132,150,164],{"label":35,"url":36,"thumb":37,"extension":10},"Guaranty","/template/guaranty-D401","https://templates.business-in-a-box.com/imgs/250px/401.png",{"label":39,"url":40,"thumb":41,"extension":10},"Payment Guaranty","/template/payment-guaranty-D404","https://templates.business-in-a-box.com/imgs/250px/404.png",{"label":43,"url":44,"thumb":45,"extension":10},"Unlimited Guaranty","/template/unlimited-guaranty-D412","https://templates.business-in-a-box.com/imgs/250px/412.png",{"label":47,"url":48,"thumb":49,"extension":10},"Financial Support Agreement Regarding Guaranty of Obligation","/template/financial-support-agreement-regarding-guaranty-of-obligation-D876","https://templates.business-in-a-box.com/imgs/250px/876.png",{"label":51,"url":52,"thumb":53,"extension":10},"Revocation of Guaranty","/template/revocation-of-guaranty-D409","https://templates.business-in-a-box.com/imgs/250px/409.png",{"label":55,"url":56,"thumb":57,"extension":10},"General Continuing Guaranty","/template/general-continuing-guaranty-D399","https://templates.business-in-a-box.com/imgs/250px/399.png",{"label":59,"url":60,"thumb":61,"extension":10},"Guaranty of a Lease","/template/guaranty-of-a-lease-D1177","https://templates.business-in-a-box.com/imgs/250px/1177.png",{"label":63,"url":64,"thumb":65,"extension":10},"Termination of Future Guaranty","/template/termination-of-future-guaranty-D301","https://templates.business-in-a-box.com/imgs/250px/301.png",{"label":67,"url":68,"thumb":69,"extension":10},"Security Agreement","/template/security-agreement-D915","https://templates.business-in-a-box.com/imgs/250px/915.png",{"label":71,"url":72,"thumb":73,"extension":10},"Guarantee Agreement","/template/guarantee-agreement-D5194","https://templates.business-in-a-box.com/imgs/250px/5194.png",{"label":75,"url":76,"thumb":77,"extension":10},"Request Release of Personal Guaranty","/template/request-release-of-personal-guaranty-D299","https://templates.business-in-a-box.com/imgs/250px/299.png",{"label":79,"url":80,"thumb":81,"extension":10},"Cyber Security Audit Agreement","/template/cyber-security-audit-agreement-D13513","https://templates.business-in-a-box.com/imgs/250px/13513.png",{"description":83,"descriptionCustom":6,"label":84,"pages":8,"size":85,"extension":10,"preview":86,"thumb":87,"svgFrame":88,"seoMetadata":89,"parents":90,"keywords":100,"url":101},"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",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},[91,94,97],{"label":92,"url":93},"Finance & Accounting","finance-accounting",{"label":95,"url":96},"Business Loans","business-loan",{"label":98,"url":99},"Promissory Notes","promisory-note","promissory note","/template/promissory-note-D434",{"description":103,"descriptionCustom":6,"label":104,"pages":105,"size":9,"extension":10,"preview":106,"thumb":107,"svgFrame":108,"seoMetadata":109,"parents":111,"keywords":110,"url":115},"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","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":110,"description":6},"loan agreement",[112,113,114],{"label":92,"url":93},{"label":95,"url":96},{"label":95,"url":96},"/template/loan-agreement-D417",{"description":117,"descriptionCustom":6,"label":118,"pages":119,"size":9,"extension":10,"preview":120,"thumb":121,"svgFrame":122,"seoMetadata":123,"parents":125,"keywords":124,"url":131},"INDEMNIFICATION AGREEMENT This Indemnification Agreement (\"Agreement\") is effective as of [DATE], BETWEEN: [NAME OF THE INDEMNIFYING PARTY] (the \"Indemnifier\"), 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: [NAME OF THE INDEMNITEE] (the \"Indemnitee \"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] WHEREAS, the Indemnitee seeks protection against any personal liability, claim, suit, action, loss, or damage that may result from the Indemnitee's participation in the Activity. WHEREAS, the Indemnifier seeks to minimize any hardship the Indemnitee might suffer as the result of any personal liability, claim, suit, action, loss, or damage that may result from the Indemnitee's participation in the Activity. NOW THEREFORE in consideration and as a condition of the Indemnifier and the Indemnitee entering into this Agreement and other valuable considerations, the receipt and sufficiency of which consideration is acknowledged, the Parties agree as follows: INDEMNIFIED ACTIVITY The Indemnitee seeks to be protected from the following indemnified activity (hereinafter referred to as the \"Activity\"): [SPECIFY ACTIVITY] INDEMNITY The Indemnifier agrees to indemnify and hold harmless the Indemnitee, its respective affiliates, officers, agents, employees, and permitted successors and assigns against any and all claims, losses, damages, liabilities, penalties, punitive damages, expenses, reasonable legal fees and costs of any kind or amount whatsoever, which result from the Activity. EXCEPTIONS TO INDEMNIFICATION The Indemnifier shall not be obligated to indemnify the Indemnitee for any fines, expenses, judgments, settlements, and other obligations incurred as the result of the Indemnitee's participation in the Activity: In the case of a criminal proceeding; or In the case of a civil claim where the Indemnitee did not act in good faith and/or in a reasonable manner; or If the Indemnitee will or has received payment under a valid and collectible insurance policy or under a valid and enforcement indemnity clause, bylaw or agreement, except where payment under the insurance policy, clause, bylaw or agreement is not sufficient to fully indemnify the Indemnitee, in which case the Indemnifier will be responsible for any shortfall in the payment received; or If an action or proceeding was initiated in whole in or in part by the Indemnitee, whether alone or along with one or more other claimants, unless the action or proceeding has the written consent of the Indemnifier. NOTICE OF CLAIM In the event of any claim or action, the Indemnitee must promptly provide the Indemnifier with written notice of the claim or action and will notify the Indemnifier of any legal proceedings relating to the claim or action within [NUMBER OF DAYS] of the Indemnitee's receipt of notice of such proceedings. The Indemnitee must provide the Indemnifier with all known information available to the Indemnitee relating to the claim or action. COOPERATION ​ The Indemnitee agrees to wholly cooperate with the Indemnifier in the defence of any claim or action against it that the Indemnitee seeks to be indemnified for, including but not limited to, providing the Indemnifier with all available information related to the claim or action, responding to reasonable requests from the Indemnifier for information, documentation, and the like","Indemnification Agreement","4","https://templates.business-in-a-box.com/imgs/1000px/sample-doc-for-test-D13016.png","https://templates.business-in-a-box.com/imgs/250px/13016.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#13016.xml",{"title":124,"description":6},"indemnification agreement",[126,128],{"label":18,"url":127},"business-legal-agreements",{"label":129,"url":130},"Release Agreements","release-agreement","/template/indemnification-agreement-D13016",{"description":133,"descriptionCustom":6,"label":134,"pages":135,"size":136,"extension":10,"preview":137,"thumb":138,"svgFrame":139,"seoMetadata":140,"parents":141,"keywords":148,"url":149},"COMMERCIAL LEASE AGREEMENT This Lease Agreement (the \"Agreement\") is made and effective [DATE], BETWEEN: [YOUR COMPANY NAME] (the \"Landlord\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [TENANT NAME] (the \"Tenant\"), 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] DESCRIPTION OF PREMISES Landlord leases to Tenant the premises located at [address], [city], [state], and described more particularly as follows: [insert legal description]. GRANT OF LEASE Landlord, in consideration of the rents to be paid and the covenants and agreements to be performed and observed by the Tenant, does hereby lease to the Tenant and the Tenant does hereby lease and take from the Landlord the property described in Exhibit \"A\" attached hereto and by reference made a part hereof (the \"Leased Premises\"), together with, as part of the parcel, all improvements located thereon. LEASE TERM Total Term of Lease: The term of this Lease shall begin on the commencement date, as defined in Section b) of this Article 3, and shall terminate on [DATE]. Commencement Date: The \"Commencement Date\" shall mean the date on which the Tenant shall commence to conduct business on the Leased Premised, so long as such date is not in excess of [NUMBER] days subsequent to execution hereof. EXTENSIONS The parties hereto may elect to extend this Agreement upon such terms and conditions as may be agreed upon in writing and signed by the parties at the time of any such extension. DETERMINATION OF RENT The Tenant agrees to pay the Landlord and the Landlord agrees to accept, during the term hereof, at such place as the Landlord shall from time to time direct by notice to the Tenant, rent at the following rates and times: Annual Rent: Annual rent for the term of the Lease shall be [AMOUNT], plus applicable sales tax. Payment of Yearly Rent: The annual rent shall be payable in advance in equal monthly installments of one-twelfth (1/12th) of the total yearly rent, which shall be [AMOUNT], on the first day of each and every calendar month during the term hereof, and prorata for the fractional portion of any month, except that on the first day of the calendar month immediately following the Commencement Date, the Tenant shall also pay to the Landlord rent at the said rate for any portion of the preceding calendar month included in the term of this Lease. Reference to yearly rent hereunder shall not be implied or construed to the effect that this Lease or the obligation to pay rent hereunder is from year to year, or for any term shorter than the existing Lease term, plus any extensions as may be agreed upon. A late fee in the amount of [AMOUNT] shall be assessed if payment is not postmarked or received by Landlord on or before the tenth day of each month. USE OF PROPERTY BY TENANT The Leased Premises may be occupied and used by Tenant exclusively as a [DESCRIBE], to be known as a [DESCRIBE]. Nothing herein shall give Tenant the right to use the property for any other purpose or to sublease, assign, or license the use of the property to any Sub-Tenant, assignee, or licensee, which or who shall use the property for any other use. RESTRICTIONS ON USE Tenant shall not use the demised premises in any manner that will increase risks covered by insurance on the demised premises and result in an increase in the rate of insurance or a cancellation of any insurance policy, even if such use may be in furtherance of Tenant's business purposes. Tenant shall not keep, use, or sell anything prohibited by any policy of fire insurance covering the demised premises, and shall comply with all requirements of the insurers applicable to the demised premises necessary to keep in force the fire and liability insurance. WASTE, NUISANCE, OR UNLAWFUL ACTIVITY Tenant shall not allow any waste or nuisance on the demised premises, or use or allow the demised premises to be used for any unlawful purpose. DELAY IN DELIVERING POSSESSION This lease agreement shall not be rendered void or voidable by the inability of Landlord to deliver possession to Tenant on the date set forth in Section 3. Landlord shall not be liable to Tenant for any loss or damage suffered by reason of such a delay; provided, however, that Landlord does deliver possession no later than [date]. In the event of a delay in delivering possession, the rent for the period of such delay will be deducted from the total rent due under this lease agreement. No extension of this lease agreement shall result from a delay in delivering possession. SECURITY DEPOSIT The Tenant has deposited with the Landlord the sum of [AMOUNT] as security for the full and faithful performance by the Tenant of all the terms of this lease required to be performed by the Tenant. Such sum shall be returned to the Tenant after the expiration of this lease, provided the Tenant has fully and faithfully carried out all of its terms. In the event of a bona fide sale of the property of which the leased premises are a part, the Landlord shall have the right to transfer the security to the purchaser to be held under the terms of this lease, and the Landlord shall be released from all liability for the return of such security to the Tenant. TAXES Property Taxes: The Tenant shall be liable for all taxes levied against any leasehold interest of the Tenant or personal property and trade fixtures owned or placed by the Tenant in the Leased Premises. Real Estate Taxes: During the continuance of this lease Landlord shall deliver to Tenant a copy of any real estate taxes and assessments against the Leased Property. From and after the Commencement Date, the Tenant shall pay to Landlord not later than [NUMBER] days after the day on which the same may become initially due, all real estate taxes and assessments applicable to the Leased Premises, together with any interest and penalties lawfully imposed thereon as a result of Tenant's late payment thereof, which shall be levied upon the Leased Premises during the term of this Lease. Contest of Taxes: The Tenant, at its own cost and expense, may, if it shall in good faith so desire, contest by appropriate proceedings the amount of any personal or real property tax. The Tenant may, if it shall so desire, endeavor at any time or times, by appropriate proceedings, to obtain a reduction in the assessed valuation of the Leased Premises for tax purposes. In any such event, if the Landlord agrees, at the request of the Tenant, to join with the Tenant at Tenant's expense in said proceedings and the Landlord agrees to sign and deliver such papers and instruments as may be necessary to prosecute such proceedings, the Tenant shall have the right to contest the amount of any such tax and the Tenant shall have the right to withhold payment of any such tax, if the statute under which the Tenant is contesting such tax so permits. Payment of Ordinary Assessments: The Tenant shall pay all assessments, ordinary and extraordinary, attributable to or against the Leased Premises not later than [NUMBER] days after the day on which the same became initially due. The Tenant may take the benefit of any law allowing assessments to be paid in installments and in such event the Tenant shall only be liable for such installments of assessments due during the term hereof. ","Commercial Lease Agreement","19",145,"https://templates.business-in-a-box.com/imgs/1000px/lease-agreement-D1179.png","https://templates.business-in-a-box.com/imgs/250px/1179.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#1179.xml",{"title":6,"description":6},[142,145],{"label":143,"url":144},"Real Estate","real-estate-business",{"label":146,"url":147},"Business Checklists","business-checklists","lease agreement","/template/lease-agreement-D1179",{"description":151,"descriptionCustom":6,"label":152,"pages":8,"size":9,"extension":10,"preview":153,"thumb":154,"svgFrame":155,"seoMetadata":156,"parents":158,"keywords":157,"url":163},"NON-DISCLOSURE AGREEMENT (NDA) This Non-Disclosure Agreement (the \"Agreement\") is made and effective [DATE], BETWEEN: [YOUR COMPANY NAME] (the \"Disclosing Party\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [RECEIVING PARTY NAME] (the \"Receiving Party\"), 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] WHEREAS, Receiving Party has been or will be engaged in the performance of work on [DESCRIBE]; and in connection therewith will be given access to certain confidential and proprietary information; and WHEREAS, Receiving Party and Disclosing Party wish to evidence by this Agreement the manner in which said confidential and proprietary material will be treated. NOW, THEREFORE, it is agreed as follows: NON-DISCLOSURE OF CONFIDENTIAL INFORMATION Both Parties understand and agree that each Party may have access to the confidential information of the other party. For the purposes of this Agreement, \"Confidential Information\" means proprietary and confidential information about the Disclosing Party's (or it's suppliers') business or activities. Such information includes all business, financial, technical, and other information marked or designated by such Party as \"confidential\" or \"proprietary.\" Confidential Information also includes information which, by the nature of the circumstances surrounding the disclosure, ought in good faith to be treated as confidential. For the purposes of this Agreement, Confidential Information does not include: Information that is currently in the public domain or that enters the public domain after the signing of this Agreement. Information a Party lawfully receives from a third Party without restriction on disclosure and without breach of a non-disclosure obligation. Information that the Receiving Party knew prior to receiving any Confidential Information from the Disclosing Party. Information that the Receiving Party independently develops without reliance on any Confidential Information from the Disclosing Party. Each Party agrees that it will not disclose to any third Party or use any Confidential Information disclosed to it by the other Party except when expressly permitted in writing by the other Party. Each Party also agrees that it will take all reasonable measures to maintain the confidentiality of all Confidential Information of the other Party in its possession or control. TERM The term of this Agreement is [number] of [years/months] from the date of execution by both Parties. TITLE The Receiving Party agrees that all Confidential Information furnished by the Disclosing Party shall remain the sole property of the Disclosing Party. DISCLAIMER","Non Disclosure Agreement Nda","https://templates.business-in-a-box.com/imgs/1000px/non-disclosure-agreement-nda-D12692.png","https://templates.business-in-a-box.com/imgs/250px/12692.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#12692.xml",{"title":157,"description":6},"non disclosure agreement nda",[159,160],{"label":18,"url":127},{"label":161,"url":162},"Confidentiality Agreements","confidentiality-agreement","/template/non-disclosure-agreement-nda-D12692",{"description":165,"descriptionCustom":6,"label":166,"pages":167,"size":9,"extension":10,"preview":168,"thumb":169,"svgFrame":170,"seoMetadata":171,"parents":173,"keywords":172,"url":178},"PARTNERSHIP AGREEMENT This Partnership Agreement (\"Agreement\") is made and effective this [Date], BETWEEN: [YOUR COMPANY NAME] (the \"First Partner\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTNER NAME] (the \"Second Partner\"), 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] RECITALS Partners desire to join together for the pursuit of common business goals. Partners have considered various forms of joint business enterprises for their business activities. Partners desire to enter into a partnership agreement as the most advantageous business form for their mutual purposes. The parties hereto agree to form a limited partnership (the \"Partnership\") under [LAW, CODE OR ACT]. In consideration of the mutual promises contained in this agreement, partners agree as follows: NAME AND DOMICILE The name of the partnership shall be [name]. The principal place of business shall be at [address], [city], [state/province], unless relocated by consent of the partners. Purposes Subject to the limitations set forth in this Agreement, the purposes of the Partnership are to engage in the business of [DESCRIBE ACTIVITIES]; and to conduct other activities as may be necessary or incidental to or desirable in connection with the foregoing. DURATION OF AGREEMENT The term of this agreement shall be for [number] years, commencing on [date], and terminating on [date], unless sooner terminated by mutual consent of the parties or by operation of the provisions of this agreement. CLASSIFICATION AND PERFORMANCE BY PARTNERS Partners shall be classified as active partners, advisory partners, or estate partners. An active partner may voluntarily become an advisory partner, may be required to become one irrespective of age, and shall automatically become one after attaining the age of [age] years, and in each case shall continue as such for [number] years unless the partner sooner withdraws or dies. If an active partner dies, the partner's estate will become an estate partner for [number] years. If an advisory partner dies within [Number] years of having become an advisory partner, the partner will become an estate partner for the balance of the [number]-year period. Only active partners shall have any vote in any partnership matter. At the time of the taking effect of this partnership agreement, all the partners shall be active partners except [name] and [name], who shall be advisory partners. An active partner, after attaining the age of [age] years, or prior to that age if the [executive committee or as the case may be] with the approval of [two-thirds or as the case may be] of all the other active partners determines that the reason for the change in status is bad health, may become an advisory partner at the end of any calendar month on giving [number] calendar months' prior notice in writing of the partner's intention to do so. The notice shall be deemed to be sufficient if sent by registered mail addressed to the partnership at its principal office at [address], [city], [state/province] not less than [number] calendar months prior to the date when the change is to become effective. Any active partner may at any age be required to become an advisory partner at any time if the [executive committee or as the case may be] with the approval of [two-thirds or as the case may be] of the other active partners shall decide that the change is for any reason in the best interests of the partnership, provided notice of the decision shall be given in writing to the partner. The notice shall be signed by the [chairman or as the case may be] of the [executive committee or as the case may be] or, in the event of his or her being unable to sign at the time, by another member of the [executive committee or as the case may be]. The notice shall be served personally on the partner required to change his or her status or mailed by registered mail to the partner's last known address. Change of the partner's status shall become effective as of the date specified in the notice. Every active partner shall automatically and without further act become an advisory partner at the end of the fiscal year in which the partner's birthday occurs. In the event that an active partner becomes an advisory partner or dies, the partner or the partner's estate shall be entitled to the following payments at the following times: [describe] Each active partner shall apply all of the partner's experience, training, and ability in discharging the partner's assigned functions in the partnership and in the performance of all work that may be necessary or advantageous to further the business interests of the partnership. CONTRIBUTION Each partner shall contribute [amount] on or before [date] to be used by the partnership to establish its capital position. Any additional contribution required of partners shall only be determined and established in accordance with Article Nineteen. MANAGEMENT OF THE PARTNERSHIP The Partnership shall be managed by [SPECIFY]. Subject to the limitations specifically contained in this Agreement, [PARTY MANAGING THE PARTNERSHIP] shall have the full, exclusive and absolute right, power and authority to manage and control the Partnership and the property, assets and business thereof. [PARTY MANAGING THE PARTNERSHIP] shall have all of the rights, powers and authority conferred by law or under other provisions of this Agreement. Without limiting the generality of the foregoing, such powers include the right on behalf of the Partnership, in [PARTY MANAGING THE PARTNERSHIP]' sole discretion, to: Acquire, purchase, renovate, improve, and own any property or assets necessary or appropriate or in the best interests of the business of the Partnership, and to acquire options for the purchase of any such property; Borrow money, issue evidences of indebtedness in connection therewith, refinance, increase the amount of, modify, amend or change the terms of, or extend the time for the payment of, any indebtedness or obligation of the Partnership, and secure such indebtedness by mortgage, deed of trust, pledge or other lien on Partnership assets; Sue on, defend or compromise any and all claims or liabilities in favor of or against the Partnership and to submit any or all such claims or liabilities to arbitration; File applications, communicate and otherwise deal with any and all governmental agencies having jurisdiction over, or in any way affecting, the Partnership's assets or any part thereof or any other aspect of the Partnership business; Retain services of any kind or nature in connection with the Partnership business, and to pay therefore such remuneration deem reasonable and proper; and Perform any and all other acts deem necessary or appropriate to the Partnership business. TRANSFER OF PARNERSHIP INTERESTS Restrictions on Transfer None of the Partners shall sell, assign, transfer, mortgage, encumber, or otherwise dispose of the whole or part of that Partner's interest in the Partnership, and no purchaser or other transferee shall have any rights in the Partnership as an assignee or otherwise with respect to all or any part of that Partnership interest attempted to be sold, assigned, transferred, mortgaged, encumbered, or otherwise disposed of, unless and to the extent that the remaining Partner(s) have given consent to such sale, assignment, transfer, mortgage, or encumbrance, but only if the transferee forthwith assumes and agrees to be bound by the provisions of this Agreement and to become a Partner for all purposes hereof, in which event, such transferee shall become a substituted partner under this Agreement.","Partnership Agreement","8","https://templates.business-in-a-box.com/imgs/1000px/partnership-agreement-D12551.png","https://templates.business-in-a-box.com/imgs/250px/12551.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#12551.xml",{"title":172,"description":6},"partnership agreement",[174,175],{"label":18,"url":127},{"label":176,"url":177},"Partnership Agreements","partnership-agreement","/template/partnership-agreement-D12551",false,{"seo":181,"reviewer":192,"legal_disclaimer":196,"quick_facts":197,"at_a_glance":199,"personas":203,"variants":228,"glossary":254,"clauses":288,"how_to_fill":339,"common_mistakes":380,"faqs":405,"industries":433,"comparisons":450,"diy_vs_lawyer":466,"jurisdictions":479,"related_template_ids_curated":500,"schema":513,"classification":514},{"meta_title":182,"meta_description":183,"primary_keyword":184,"secondary_keywords":185},"Guaranty Agreement Template | BIB","Free guaranty agreement template for business loans, leases, and credit obligations. Covers guarantor terms, liability limits, and default conditions.","guaranty agreement template",[15,186,187,188,189,190,191],"personal guaranty agreement template","commercial guaranty agreement","guaranty agreement template word","guaranty agreement free download","business guaranty agreement","guaranty contract template",{"name":193,"credential":194,"reviewed_date":195},"Bruno Goulet","CEO, Business in a Box","2026-05-02",true,{"difficulty":198,"legal_review_recommended":196,"signature_required":196,"notarization_required":179},"advanced",{"what_it_is":200,"when_you_need_it":201,"whats_inside":202},"A Guaranty Agreement is a legally binding contract in which a guarantor promises to satisfy a debtor's financial obligation to a creditor if the debtor defaults. This free Word download provides a structured, editable template covering guarantor liability, scope, waivers, and default conditions — ready to export as PDF and execute with all parties.\n","Use it when a lender, landlord, or vendor requires a creditworthy third party — typically a business owner, parent company, or investor — to back a loan, lease, or supply agreement before extending credit to the primary obligor. It is commonly required when the borrowing entity lacks a sufficient credit history or collateral on its own.\n","Identification of all parties, the guaranteed obligation, the scope and limit of the guarantor's liability, representations and warranties, default triggers and remedies, waiver of defenses, and governing law. The template also includes optional provisions for limited versus continuing guaranties and notice requirements.\n",[204,208,212,216,220,224],{"title":205,"use_case":206,"icon_asset_id":207},"Small business owners","Personally guaranteeing a business loan or commercial lease to secure approval","persona-small-business-owner",{"title":209,"use_case":210,"icon_asset_id":211},"Commercial landlords","Requiring a principal guaranty before leasing to a newly formed LLC or startup","persona-commercial-landlord",{"title":213,"use_case":214,"icon_asset_id":215},"Lenders and credit unions","Documenting a personal or corporate guaranty as a condition of a business loan","persona-lender",{"title":217,"use_case":218,"icon_asset_id":219},"Startup founders","Providing a personal guaranty to a vendor or creditor when the company lacks credit history","persona-startup-founder",{"title":221,"use_case":222,"icon_asset_id":223},"Corporate treasury teams","Issuing a parent company guaranty for a subsidiary's financing or supplier contract","persona-operations-director",{"title":225,"use_case":226,"icon_asset_id":227},"Private lenders and investors","Securing a guaranty from a principal before funding a real estate or business deal","persona-private-lender",[229,233,236,240,243,246,250],{"situation":230,"recommended_template":231,"slug":232},"Business owner personally backing a company loan or lease","Personal Guaranty Agreement","guaranty-agreement-D13699",{"situation":234,"recommended_template":235,"slug":232},"Parent company backing a subsidiary's debt or performance obligation","Corporate Guaranty Agreement",{"situation":237,"recommended_template":238,"slug":239},"Guaranty covering all present and future obligations indefinitely","Continuing Guaranty Agreement","general-continuing-guaranty-D399",{"situation":241,"recommended_template":242,"slug":232},"Guaranty capped at a fixed dollar amount or specific transaction","Limited Guaranty Agreement",{"situation":244,"recommended_template":245,"slug":232},"Multiple guarantors each liable for the full obligation","Joint and Several Guaranty Agreement",{"situation":247,"recommended_template":248,"slug":249},"Guarantor liable only for remaining balance after primary obligor pays","Conditional Guaranty Agreement","conditional-sale-agreement-D1235",{"situation":251,"recommended_template":252,"slug":253},"Guaranty supporting a commercial real estate lease","Lease Guaranty Agreement","guaranty-of-a-lease-D1177",[255,258,261,264,267,270,273,276,279,282,285],{"term":256,"definition":257},"Guarantor","The party who agrees to satisfy the debtor's obligation to the creditor if the debtor fails to perform.",{"term":259,"definition":260},"Principal Obligor","The primary debtor or borrower whose obligation the guaranty secures — also called the obligor or borrower.",{"term":262,"definition":263},"Creditor / Beneficiary","The party in whose favor the guaranty is given — typically a lender, landlord, or supplier extending credit.",{"term":265,"definition":266},"Continuing Guaranty","A guaranty that covers all current and future obligations of the principal obligor until formally revoked or the underlying debt is fully discharged.",{"term":268,"definition":269},"Limited Guaranty","A guaranty capped at a specific dollar amount or restricted to a defined transaction, time period, or type of obligation.",{"term":271,"definition":272},"Joint and Several Liability","A guaranty structure where multiple guarantors are each individually liable for the full obligation — the creditor may pursue any one guarantor for the entire amount.",{"term":274,"definition":275},"Subrogation","A guarantor's right, after paying the creditor, to step into the creditor's position and pursue the principal obligor for reimbursement.",{"term":277,"definition":278},"Waiver of Presentment and Notice","A clause in which the guarantor gives up the right to be formally notified of the debtor's default before the creditor can demand payment from the guarantor.",{"term":280,"definition":281},"Indemnification","An obligation by the principal obligor or a third party to reimburse the guarantor for any amounts paid under the guaranty.",{"term":283,"definition":284},"Deficiency","The remaining unpaid balance after a creditor liquidates collateral — the guarantor is typically liable for this amount under an unconditional guaranty.",{"term":286,"definition":287},"Bad Boy Carve-Out","A provision in an otherwise non-recourse loan that triggers personal guaranty liability if the borrower commits specified wrongful acts, such as fraud or unauthorized asset transfers.",[289,294,299,304,309,314,319,324,329,334],{"name":290,"plain_english":291,"sample_language":292,"common_mistake":293},"Parties and Recitals","Identifies the guarantor, the principal obligor, and the creditor by full legal name, and describes the underlying transaction that the guaranty supports.","This Guaranty Agreement ('Agreement') is entered into as of [DATE] by [GUARANTOR FULL NAME] ('Guarantor') in favor of [CREDITOR LEGAL NAME] ('Creditor') in connection with that certain [LOAN AGREEMENT / LEASE / CONTRACT] dated [DATE] between [PRINCIPAL OBLIGOR NAME] ('Borrower') and Creditor.","Using trade names instead of registered legal entity names. If the guarantor is an individual, omitting their full legal name and address makes enforcement — especially cross-state — significantly harder.",{"name":295,"plain_english":296,"sample_language":297,"common_mistake":298},"Guaranty of Payment","The operative clause where the guarantor unconditionally promises to pay or perform the principal obligor's obligations if the obligor defaults.","Guarantor unconditionally and irrevocably guarantees to Creditor the full and prompt payment and performance of all Obligations of Borrower under the [UNDERLYING AGREEMENT], including principal, interest, fees, costs, and expenses (collectively, 'Obligations').","Drafting a guaranty of collection rather than a guaranty of payment. A guaranty of collection requires the creditor to exhaust remedies against the borrower first — dramatically limiting the guaranty's practical value to the creditor.",{"name":300,"plain_english":301,"sample_language":302,"common_mistake":303},"Scope of Guaranty (Limited vs. Continuing)","Defines whether the guaranty covers only a specific obligation or all present and future obligations, and states any applicable dollar cap or time limit.","This is a [continuing / limited] guaranty. Guarantor's liability shall not exceed $[MAXIMUM AMOUNT] in the aggregate. This guaranty [shall / shall not] extend to future advances or modifications of the Obligations without separate written consent of Guarantor.","Failing to specify whether the guaranty is continuing or limited. An ambiguous scope leads to disputes — guarantors assume they are only on the hook for a single transaction while creditors claim coverage for every subsequent advance.",{"name":305,"plain_english":306,"sample_language":307,"common_mistake":308},"Representations and Warranties of Guarantor","The guarantor's sworn statements that they have the legal capacity, authority, and financial standing to enter the guaranty, and that no undisclosed liabilities impair their ability to perform.","Guarantor represents and warrants that: (a) Guarantor has full legal capacity to enter into this Agreement; (b) this Agreement constitutes a valid and binding obligation of Guarantor; (c) no litigation, judgment, or lien is pending against Guarantor that would materially impair performance hereunder.","Omitting financial condition representations. Without them, a guarantor who was insolvent at signing can later argue the creditor knew — or should have known — the guaranty was worthless, complicating enforcement.",{"name":310,"plain_english":311,"sample_language":312,"common_mistake":313},"Waivers of Defenses","The guarantor gives up specific legal defenses — such as requiring the creditor to first sue the borrower or to notify the guarantor of a default — that would otherwise delay or limit enforcement.","Guarantor hereby waives: (a) notice of acceptance of this Guaranty; (b) presentment, demand, protest, and notice of dishonor; (c) any right to require Creditor to proceed against Borrower or any collateral before proceeding against Guarantor; and (d) any defense based on modification of the Obligations.","Including only partial waivers and leaving out the waiver of suretyship defenses. Courts in many jurisdictions will apply statutory suretyship protections unless they are explicitly waived — rendering the guaranty effectively conditional.",{"name":315,"plain_english":316,"sample_language":317,"common_mistake":318},"Default and Remedies","Specifies what constitutes a default by the principal obligor, what triggers the creditor's right to demand performance from the guarantor, and what remedies the creditor may pursue.","Upon default by Borrower under the [UNDERLYING AGREEMENT], Creditor may, at its option and without prior notice to Guarantor, demand immediate payment of all Obligations from Guarantor. Creditor's rights hereunder are cumulative and in addition to any other rights or remedies available at law or equity.","Linking the default trigger exclusively to a court judgment against the borrower. Requiring a judgment first defeats the purpose of a guaranty — include a cross-default provision that triggers the guaranty on any material default under the underlying agreement.",{"name":320,"plain_english":321,"sample_language":322,"common_mistake":323},"Subrogation and Indemnification","After the guarantor pays the creditor, this clause grants the guarantor the right to pursue the borrower for reimbursement and defines any indemnification obligations running between the parties.","Upon full payment of the Obligations by Guarantor, Guarantor shall be subrogated to the rights of Creditor against Borrower. Borrower agrees to indemnify and hold harmless Guarantor from any amounts paid under this Guaranty, plus interest at [RATE]% per annum from the date of payment.","Omitting any subrogation clause — or subordinating the guarantor's subrogation rights to the creditor's remaining claims. Without this, a guarantor who pays in full has no clear legal path to recover from the borrower.",{"name":325,"plain_english":326,"sample_language":327,"common_mistake":328},"Amendments and Modifications","States that changes to the underlying obligation — such as loan extensions, payment deferrals, or rate changes — do not release the guarantor without their express written consent, and specifies how modifications must be documented.","Creditor may, without notice to or consent of Guarantor, modify, extend, renew, or accelerate the Obligations without releasing Guarantor from liability hereunder, unless Guarantor provides prior written objection within [X] days of receiving notice of the modification.","No modification clause at all. When the lender later grants the borrower a 90-day forbearance or restructures the loan, the guarantor argues the change released their obligation — a dispute this clause prevents.",{"name":330,"plain_english":331,"sample_language":332,"common_mistake":333},"Governing Law and Dispute Resolution","Identifies which jurisdiction's law governs interpretation and enforcement of the guaranty, and specifies the forum — court or arbitration — for resolving disputes.","This Agreement shall be governed by the laws of [STATE / PROVINCE / COUNTRY], without regard to conflict-of-law principles. Any dispute shall be resolved by [binding arbitration in [CITY] / the courts of [JURISDICTION]], and Guarantor hereby consents to personal jurisdiction therein.","Choosing a governing state with no connection to either party or the underlying transaction. Courts may decline to apply foreign governing law if the choice was made solely to avoid consumer-protection or anti-waiver statutes in the guarantor's home jurisdiction.",{"name":335,"plain_english":336,"sample_language":337,"common_mistake":338},"Termination and Release","Defines the conditions under which the guaranty expires — full payment of the underlying obligation, expiration of a fixed term, or written release by the creditor — and what documentation confirms the guaranty is discharged.","This Guaranty shall terminate upon full and final payment and discharge of all Obligations. Creditor shall provide Guarantor with a written release within [30] days of such discharge. A continuing guaranty may be revoked by Guarantor on [90] days' written notice, but such revocation shall not affect liability for Obligations incurred prior to the effective date of revocation.","No termination clause in a continuing guaranty. Without one, a guarantor who sold their shares in the business years ago can remain liable for obligations incurred long after their departure.",[340,345,350,355,360,365,370,375],{"step":341,"title":342,"description":343,"tip":344},1,"Identify all parties with full legal names","Enter the guarantor's full legal name and address, the principal obligor's registered entity name and jurisdiction, and the creditor's legal name. For individual guarantors, use the name exactly as it appears on government-issued ID.","For corporate guarantors, confirm the exact registered entity name against a current certificate of good standing before execution.",{"step":346,"title":347,"description":348,"tip":349},2,"Describe the underlying obligation with precision","Reference the specific loan agreement, lease, or contract being guaranteed by name, date, and dollar amount. Attach the underlying agreement as an exhibit if the creditor requires it.","Avoid broad language like 'all obligations of any kind.' Specify the instrument — the guarantor needs to know exactly what they are backing.",{"step":351,"title":352,"description":353,"tip":354},3,"Choose limited or continuing coverage and set a cap if applicable","Decide whether the guaranty covers only this specific transaction or all present and future obligations. If limited, enter the maximum dollar liability the guarantor is accepting.","Guarantors should always push for a limited guaranty with a dollar cap. Creditors will often accept a cap equal to 12–24 months of the underlying obligation's value.",{"step":356,"title":357,"description":358,"tip":359},4,"Complete the representations and warranties section","Confirm the guarantor's legal capacity, authority, and financial condition. For corporate guarantors, attach a board resolution authorizing execution of the guaranty.","Individual guarantors should also confirm that no undisclosed liens or judgments exist against them — omitting this is the most common source of enforcement challenges.",{"step":361,"title":362,"description":363,"tip":364},5,"Review and customize the waivers block","Read each waiver carefully. Standard creditor-friendly templates waive all suretyship defenses. Guarantors negotiating for themselves should consider retaining the right to notice of default and the right to require the creditor to first exhaust collateral.","A carve-out preserving the guarantor's right to receive notice of default — even if not required before enforcement — creates a practical early-warning mechanism with minimal cost to the creditor.",{"step":366,"title":367,"description":368,"tip":369},6,"Define default triggers and remedies","Cross-reference the default definitions in the underlying agreement so both documents are consistent. Specify whether any cure period applies before the creditor can demand payment from the guarantor.","If the underlying loan has a 30-day cure period for payment defaults, replicate that period in the guaranty — otherwise the creditor can demand from the guarantor before the borrower has had a chance to cure.",{"step":371,"title":372,"description":373,"tip":374},7,"Execute with required formalities","Both parties must sign in the spaces provided, with witnesses or notarization as required by the applicable jurisdiction. Date the signature block on or before the closing date of the underlying transaction.","Several states and Canadian provinces require guaranties to be notarized or witnessed to be enforceable against an individual — confirm local requirements before execution.",{"step":376,"title":377,"description":378,"tip":379},8,"Retain executed copies and calendar the termination date","Each party should retain a fully executed original or certified copy. If the guaranty has a fixed term, calendar the expiration date and the 90-day notice window for any renewal or revocation.","Store executed guaranties with the underlying loan file — courts have voided guaranty enforcement attempts where the original signed document could not be produced.",[381,385,389,393,397,401],{"mistake":382,"why_it_matters":383,"fix":384},"Guaranty of collection instead of guaranty of payment","A guaranty of collection requires the creditor to obtain a judgment against the borrower and exhaust all remedies before turning to the guarantor — often making the guaranty commercially worthless.","Use unconditional guaranty-of-payment language that allows the creditor to demand performance from the guarantor immediately upon a defined default, without first pursuing the borrower or collateral.",{"mistake":386,"why_it_matters":387,"fix":388},"Omitting a dollar cap on a continuing guaranty","Without a cap, a guarantor who signed to back a $200,000 loan can find themselves liable for $2 million in subsequent advances the borrower takes years later under the same credit facility.","Negotiate a maximum liability cap expressed as a specific dollar amount or a percentage of the original obligation, and ensure the cap is stated clearly in the scope-of-guaranty clause.",{"mistake":390,"why_it_matters":391,"fix":392},"No termination provision in a continuing guaranty","A guarantor who exits a business — through a share sale, retirement, or buyout — can remain personally liable for obligations incurred by the company years after their departure if no revocation mechanism exists.","Include a clause allowing the guarantor to revoke the continuing guaranty on 60 to 90 days' written notice, with liability limited to obligations incurred before the revocation effective date.",{"mistake":394,"why_it_matters":395,"fix":396},"Executing after the underlying transaction closes","In most jurisdictions, a guaranty signed after the underlying obligation was already incurred may lack consideration, potentially voiding the guaranty or requiring proof of independent consideration.","Execute the guaranty simultaneously with or before closing on the underlying loan, lease, or contract. If post-closing execution is unavoidable, document a separate consideration payment or benefit provided to the guarantor.",{"mistake":398,"why_it_matters":399,"fix":400},"Using a trade name or assumed name instead of the legal entity name","A guaranty naming 'ABC Services' instead of 'ABC Services, LLC, a Delaware limited liability company' creates ambiguity about which legal entity is bound — and courts have dismissed enforcement actions on this basis.","Confirm the guarantor's and obligor's exact registered legal names from their formation documents or a current certificate of good standing before drafting the agreement.",{"mistake":402,"why_it_matters":403,"fix":404},"No cross-reference to the underlying agreement's default definitions","If the guaranty defines default differently from the underlying loan or lease, the creditor may be able to demand payment from the guarantor based on a technical default that would not trigger remedies under the primary agreement — or vice versa.","Expressly incorporate the default definitions from the underlying agreement by reference, or reproduce them verbatim, so that both documents use identical trigger language.",[406,409,412,415,418,421,424,427,430],{"question":407,"answer":408},"What is a guaranty agreement?","A guaranty agreement is a legally binding contract in which a third party — the guarantor — agrees to satisfy the debt or obligation of a primary borrower if that borrower defaults. It gives the creditor a secondary source of repayment beyond the borrower's own assets or collateral. Guaranties are commonly required in commercial lending, commercial real estate leases, and supply agreements where the primary obligor lacks sufficient creditworthiness on its own.\n",{"question":410,"answer":411},"What is the difference between a guaranty and a co-signer?","A co-signer is jointly and primarily liable alongside the borrower from day one — the creditor can pursue them simultaneously with the borrower without any prior default. A guarantor is a secondary obligor whose liability is typically triggered only by the borrower's default. In practice, many commercial guaranties waive this distinction by making the guarantor's obligation independent of the borrower's performance, effectively creating primary liability.\n",{"question":413,"answer":414},"What is the difference between a limited and a continuing guaranty?","A limited guaranty applies to a specific transaction, dollar amount, or time period. Once that obligation is paid or the period expires, the guaranty terminates. A continuing guaranty covers all present and future obligations of the borrower to the creditor — including new advances, renewals, and modifications — until formally revoked or the entire credit relationship ends. Continuing guaranties carry significantly more risk for the guarantor and should always include a cap and a revocation mechanism.\n",{"question":416,"answer":417},"Can a guaranty agreement be revoked?","A limited guaranty terminates automatically when the specified obligation is discharged. A continuing guaranty can typically be revoked by the guarantor on written notice — commonly 60 to 90 days — but revocation only terminates liability for future obligations; the guarantor remains bound for amounts already outstanding at the time of revocation. Revocability must be explicitly addressed in the agreement, as courts in some jurisdictions treat a silent continuing guaranty as irrevocable.\n",{"question":419,"answer":420},"Does a personal guaranty expose the guarantor's personal assets?","Yes. A personal guaranty signed by an individual means the creditor can pursue the guarantor's personal bank accounts, real property, investments, and other assets if the business defaults. This is precisely why lenders require it — it removes the liability shield that an LLC or corporation would otherwise provide. Guarantors should carefully evaluate their personal balance sheet and negotiate a dollar cap before signing.\n",{"question":422,"answer":423},"Is a guaranty agreement enforceable without notarization?","In most US states, a guaranty signed by two parties and supported by consideration is generally enforceable without notarization. However, some states — and most Canadian provinces — require notarization or witnessing for a personal guaranty to be enforceable against an individual. Real estate-related guaranties often follow the formality requirements of the underlying lease or mortgage. Confirming local requirements before execution is strongly recommended.\n",{"question":425,"answer":426},"What is a bad boy carve-out in a guaranty?","A bad boy carve-out converts an otherwise non-recourse loan into a personal recourse obligation if the borrower commits specified wrongful acts — such as fraud, unauthorized asset transfers, filing for bankruptcy in bad faith, or environmental violations. It is common in commercial real estate financing and protects the lender against deliberate misconduct without imposing full personal liability for ordinary business losses.\n",{"question":428,"answer":429},"What happens to a personal guaranty when a business is sold?","Unless the creditor expressly releases the guarantor in writing, a personal guaranty typically survives the sale of the business. The new owner may assume the underlying debt, but the original guarantor remains liable until the obligation is fully discharged or the creditor provides a written release. Guarantors negotiating the sale of a business should make creditor release of the personal guaranty a condition of closing.\n",{"question":431,"answer":432},"Do I need a lawyer to draft a guaranty agreement?","For a straightforward personal guaranty on a standard commercial loan or lease, a high-quality template provides a solid starting point. Legal review is strongly recommended when the guaranteed amount is material, the guaranty is continuing rather than limited, the transaction is cross-border, or the guarantor is a corporate entity with complex authority and capacity considerations. A 1–2 hour attorney review typically costs $300–$700 and is worthwhile for any guaranty exposing the guarantor to more than six months of the underlying obligation's value.\n",[434,438,442,446],{"industry":435,"icon_asset_id":436,"specifics":437},"Commercial Real Estate","industry-real-estate","Landlords routinely require personal guaranties from principals of newly formed LLCs before executing commercial leases, with burn-down provisions reducing the guaranty cap as the tenant demonstrates payment history.",{"industry":439,"icon_asset_id":440,"specifics":441},"Banking and Commercial Lending","industry-fintech","SBA 7(a) and 504 loans require personal guaranties from any owner holding 20% or more of the borrowing entity — the guaranty form and scope are heavily regulated by SBA standard operating procedures.",{"industry":443,"icon_asset_id":444,"specifics":445},"Construction and Contracting","industry-construction","General contractors require performance guaranties or payment guaranties from subcontractors' principals on projects above threshold values to protect against default mid-project.",{"industry":447,"icon_asset_id":448,"specifics":449},"Manufacturing and Supply Chain","industry-manufacturing","Suppliers extending credit terms to distributors or resellers often require a principal guaranty to secure open accounts, particularly for newer counterparties without a track record of on-time payment.",[451,455,459,462],{"vs":452,"vs_template_id":453,"summary":454},"Indemnity Agreement","indemnification-agreement-D13707","An indemnity agreement obligates one party to compensate another for specified losses or damages — it is a forward-looking risk allocation tool between parties to a transaction. A guaranty agreement creates a secondary obligation to pay a third party's debt. The guarantor backs someone else's obligation to a creditor; the indemnitor compensates the protected party directly for covered losses.",{"vs":456,"vs_template_id":457,"summary":458},"Surety Bond","D{SURETY_BOND_ID}","A surety bond is a three-party instrument in which a licensed surety company guarantees a principal's performance to an obligee in exchange for a premium. A guaranty agreement is a direct contractual promise — the guarantor is personally liable and receives no premium. Surety bonds are regulated financial products; guaranty agreements are private contracts that require no insurance license.",{"vs":84,"vs_template_id":460,"summary":461},"promissory-note-D396","A promissory note is the primary debt instrument — the borrower's direct promise to repay. A guaranty agreement is a secondary document in which a third party backs that promise. The note creates the obligation; the guaranty secures it with a creditworthy backstop. Both documents are typically executed simultaneously at loan closing.",{"vs":463,"vs_template_id":464,"summary":465},"Letter of Credit","D{LETTER_OF_CREDIT_ID}","A letter of credit is a bank's irrevocable payment commitment to a beneficiary upon presentation of specified documents, independent of the underlying transaction. A guaranty agreement is a contingent personal or corporate promise triggered by default — the creditor must establish the default before demanding payment. Letters of credit are faster and more certain to pay; guaranties are less expensive to obtain.",{"use_template":467,"template_plus_review":471,"custom_drafted":475},{"best_for":468,"cost":469,"time":470},"Straightforward personal guaranties on standard commercial leases or loans under $250,000 in a single jurisdiction","Free","30–60 minutes",{"best_for":472,"cost":473,"time":474},"Guaranties on obligations above $250,000, continuing guaranties, cross-border transactions, or corporate guarantors requiring board authorization","$300–$700","1–3 days",{"best_for":476,"cost":477,"time":478},"Complex multi-party credit facilities, bad boy carve-out structures, SBA-regulated transactions, or guaranties governed by foreign law","$1,500–$5,000+","1–3 weeks",[480,485,490,495],{"code":481,"name":482,"flag_asset_id":483,"note":484},"us","United States","flag-us","Guaranty law is primarily state-law driven and varies significantly. The Statute of Frauds requires guaranties to be in writing in all US states to be enforceable. California has some of the most protective guaranty statutes, including mandatory anti-deficiency protections and one-action rules that limit creditor remedies. SBA loans require personal guaranties from all 20%-or-greater owners using SBA-prescribed forms. Some states — including New York — require that continuing guaranties be explicitly labeled as such to be enforceable against individuals.",{"code":486,"name":487,"flag_asset_id":488,"note":489},"ca","Canada","flag-ca","Each province governs guaranties under its own Mercantile Law Amendment Act or equivalent statute. Ontario, Alberta, and British Columbia all require personal guaranties to be in writing and signed by the guarantor. Ontario's Statute of Frauds applies to all guaranty agreements. In Quebec, guaranties are governed by the Civil Code and require a specific written form; suretyship rules impose additional protections on individual guarantors, including a right to be informed of the debtor's payment failures.",{"code":491,"name":492,"flag_asset_id":493,"note":494},"uk","United Kingdom","flag-uk","Under the Statute of Frauds 1677, a guaranty must be in writing and signed by the guarantor or their authorized agent to be enforceable. English courts scrutinize undue influence claims when a guarantor has a close personal relationship with the borrower — lenders are required to advise individual guarantors to seek independent legal advice, and failure to do so can void enforcement. The Unfair Contract Terms Act 1977 and the FCA Consumer Credit Act may apply to guaranties involving individuals.",{"code":496,"name":497,"flag_asset_id":498,"note":499},"eu","European Union","flag-eu","Guaranty law varies substantially across EU member states, with no harmonized framework. France governs guaranties under the Code Civil, which requires guaranties to include a handwritten statement of the amount guaranteed in words and figures — failure to comply voids the guaranty against an individual. Germany applies strict formality requirements for surety agreements under the BGB. Consumer guarantors across most EU member states receive enhanced protections under national implementations of consumer credit directives, including mandatory cooling-off periods and disclosure requirements.",[501,502,503,504,505,506,507,508,509,510,511,512],"promissory-note-D434","loan-agreement-D417","indemnification-agreement-D13016","lease-agreement-D1179","security-agreement-D915","non-disclosure-agreement-nda-D12692","partnership-agreement-D12551","independent-contractor-agreement-D160","letter-of-intent_acquisition-of-business-D5197","demand-letter-D13262","settlement-agreement-D916","service-agreement-D12711",{"emit_how_to":196,"emit_defined_term":196},{"primary_folder":127,"secondary_folder":515,"document_type":516,"industry":517,"business_stage":518,"tags":519,"confidence":525},"guaranties-and-collateral","agreement","general","all-stages",[520,521,522,523,524],"legal","liability","contract","guaranty","credit-management",0.95,"\u003Ch2>What is a Guaranty Agreement?\u003C/h2>\n\u003Cp>A \u003Cstrong>Guaranty Agreement\u003C/strong> is a legally binding contract in which a third party — the guarantor — unconditionally promises to satisfy a borrower's or tenant's financial obligation to a creditor if the primary obligor fails to perform. Unlike a co-signer arrangement, a guaranty creates a secondary obligation: the guarantor steps in when the principal obligor defaults, giving the creditor a creditworthy backstop beyond whatever collateral or assets the borrower can offer. Guaranties are among the most commonly required documents in commercial lending, commercial real estate leasing, and trade credit — and among the most consequential contracts an individual or company can sign, because they expose the guarantor's personal or corporate assets to direct enforcement.\u003C/p>\n\u003Ch2>Why You Need This Document\u003C/h2>\n\u003Cp>Without a properly drafted guaranty agreement, creditors extending credit to entities with limited track records or thin balance sheets have no enforceable recourse beyond the borrower itself. For guarantors, an unsigned or informally drafted guaranty offers no protection — courts have voided guaranty enforcement attempts where the document was ambiguous about scope, lacked a termination clause, or used trade names instead of registered legal entity names. A precise, written guaranty protects both sides: the creditor gets a clear, enforceable secondary obligation it can act on immediately at default; the guarantor gets defined limits — a dollar cap, a termination date, and a subrogation right — that prevent open-ended personal exposure. This template gives you a complete, jurisdiction-aware starting point that covers every essential clause, reduces the most common drafting errors, and is ready for attorney review or direct execution on standard transactions.\u003C/p>\n",1778773532801]