[{"data":1,"prerenderedAt":516},["ShallowReactive",2],{"document-promissory-note-with-acceleration-clause-D436":3},{"document":4,"label":26,"preview":11,"thumb":27,"thumb600":28,"description":5,"descriptionCustom":6,"apiDescription":5,"pages":8,"extension":10,"parents":29,"breadcrumb":33,"related":41,"customDescModule":176,"customdescription":6,"mdFm":177,"mdProseHtml":515},{"description":5,"descriptionCustom":6,"label":7,"pages":8,"size":9,"extension":10,"preview":11,"thumb":12,"svgFrame":13,"seoMetadata":14,"parents":15,"keywords":25},"PROMISSORY NOTE - WITH ACCELERATION CLAUSE This Promissory Note with Acceleration Clause (the \"Note\") is made and effective the [DATE], BETWEEN: [YOUR COMPANY NAME] (the \"Maker\"), 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: [PAYEE NAME] (the \"Payee\"), 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] TERMS FOR VALUE RECEIVED, Maker jointly and severally promises to pay, in lawful money of [COUNTRY], to the order of Payee at [address], [amount] in installments as follows: [amount of payment] on [date], and [number] successive payments of [amount] beginning on [date of payment] together with a delinquency charge on each installment in default for days in an amount equal to percent of such installment but not less than [AMOUNT]. In the event of default in the payment of any of the said installments or said interest when due as herein provided, time being of the essence hereof, the Payee of this note may, without notice or demand, declare the entire principal sum then unpaid immediately due and payable. Payee may, with or without notice to any of us, cause additional parties to be added hereto, or release any party hereto, or revise, extend, or renew the note, or extend the time for making any installment provided for herein, or accept any installment in advance, all without affecting the liability of us, or any of us, hereon. If suit be commenced on said note, the parties hereto jointly and severally agree to pay to the Payee of said note a reasonable attorney fee. The borrower agrees to pay a reasonable collection charge should collection be referred to a collection agency or to the payee's collection facilities.",null,"Promissory Note With Acceleration Clause","2",33,"doc","https://templates.business-in-a-box.com/imgs/1000px/promissory-note_with-acceleration-clause-D436.png","https://templates.business-in-a-box.com/imgs/250px/436.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#436.xml",{"title":6,"description":6},[16,19,22],{"label":17,"url":18},"Finance & Accounting","/templates/finance-accounting/",{"label":20,"url":21},"Business Loans","/templates/business-loan/",{"label":23,"url":24},"Promissory Notes","/templates/promisory-note/","promissory note with acceleration clause","Promissory Note With Acceleration Clause Template","https://templates.business-in-a-box.com/imgs/400px/436.png","https://templates.business-in-a-box.com/imgs/600px/436.png",[30,16,19,22],{"label":31,"url":32},"Templates","/templates/",[34,35,38],{"label":31,"url":32},{"label":36,"url":37},"Legal Agreements","/templates/business-legal-agreements/",{"label":39,"url":40},"Loans & Promissory Notes","/templates/loans-and-promissory-notes/",[42,46,50,54,58,62,66,70,74,78,82,86,90,106,120,134,148,163],{"label":43,"url":44,"thumb":45,"extension":10},"Promissory Note","/template/promissory-note-D434","https://templates.business-in-a-box.com/imgs/250px/434.png",{"label":47,"url":48,"thumb":49,"extension":10},"Promissory Note Line of Credit","/template/promissory-note-line-of-credit-D435","https://templates.business-in-a-box.com/imgs/250px/435.png",{"label":51,"url":52,"thumb":53,"extension":10},"Collection Letter_Following Promissory Note","/template/collection-letter_following-promissory-note-D196","https://templates.business-in-a-box.com/imgs/250px/196.png",{"label":55,"url":56,"thumb":57,"extension":10},"Demand to Pay Promissory Note","/template/demand-to-pay-promissory-note-D207","https://templates.business-in-a-box.com/imgs/250px/207.png",{"label":59,"url":60,"thumb":61,"extension":10},"Promissory Note With Acknowledgment","/template/promissory-note-with-acknowledgment-D437","https://templates.business-in-a-box.com/imgs/250px/437.png",{"label":63,"url":64,"thumb":65,"extension":10},"Guarantee of Claim Promissory Note","/template/guarantee-of-claim-promissory-note-D884","https://templates.business-in-a-box.com/imgs/250px/884.png",{"label":67,"url":68,"thumb":69,"extension":10},"Letter of Default on Promissory Note","/template/letter-of-default-on-promissory-note-D431","https://templates.business-in-a-box.com/imgs/250px/431.png",{"label":71,"url":72,"thumb":73,"extension":10},"Movable Hypothec Promissory Note","/template/movable-hypothec-promissory-note-D432","https://templates.business-in-a-box.com/imgs/250px/432.png",{"label":75,"url":76,"thumb":77,"extension":10},"Security Agreement and Promissory Note","/template/security-agreement-and-promissory-note-D912","https://templates.business-in-a-box.com/imgs/250px/912.png",{"label":79,"url":80,"thumb":81,"extension":10},"Demand for Payment on Installment Promissory Note","/template/demand-for-payment-on-installment-promissory-note-D428","https://templates.business-in-a-box.com/imgs/250px/428.png",{"label":83,"url":84,"thumb":85,"extension":10},"Request for Extension of Time on Promissory Note","/template/request-for-extension-of-time-on-promissory-note-D439","https://templates.business-in-a-box.com/imgs/250px/439.png",{"label":87,"url":88,"thumb":89,"extension":10},"Secured Lumpsum Promissory Note Agreement","/template/secured-lumpsum-promissory-note-agreement-D13041","https://templates.business-in-a-box.com/imgs/250px/13041.png",{"description":91,"descriptionCustom":6,"label":43,"pages":92,"size":93,"extension":10,"preview":94,"thumb":45,"svgFrame":95,"seoMetadata":96,"parents":97,"keywords":104,"url":105},"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","3",39,"https://templates.business-in-a-box.com/imgs/1000px/promissory-note-D434.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#434.xml",{"title":6,"description":6},[98,100,102],{"label":17,"url":99},"finance-accounting",{"label":20,"url":101},"business-loan",{"label":23,"url":103},"promisory-note","secured promissory note","/template/secured-promissory-note-D434",{"description":107,"descriptionCustom":6,"label":108,"pages":8,"size":109,"extension":10,"preview":110,"thumb":111,"svgFrame":112,"seoMetadata":113,"parents":115,"keywords":114,"url":119},"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",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":114,"description":6},"loan agreement",[116,117,118],{"label":17,"url":99},{"label":20,"url":101},{"label":20,"url":101},"/template/loan-agreement-D417",{"description":121,"descriptionCustom":6,"label":122,"pages":123,"size":109,"extension":10,"preview":124,"thumb":125,"svgFrame":126,"seoMetadata":127,"parents":129,"keywords":128,"url":133},"SHAREHOLDER LOAN AGREEMENT This Shareholder Loan Agreement (the \"Agreement\") is effective as of [DATE], BETWEEN: [SHAREHOLDER NAME] (the \"Shareholder\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE] with its head office located at: [COMPLETE ADDRESS] AND: [COMPANY NAME] (the \"Borrower\"), 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 Shareholder desires to loan funds to the Borrower for the Borrower's operations; WHEREAS, the Parties wish to memorialize the terms and conditions governing the Loan; WHEREAS, for the purposes of this Agreement, the Shareholder is willing (i) to be deemed to have accepted the Borrower's assertion that no Existing Default has occurred, (ii) to be deemed to have withdrawn the Default Notice, retroactively, as of [SPECIFY DATE], and (iii) to accept the Borrower's proposal so to restructure the Loan and other Secured Obligations, all on the terms and conditions provided herein; WHEREAS, both the Parties affirm to understand all of the provisions contained in this Agreement, and in case either Party requires clarification as to one or more of the provisions contained herein, either Party has requested clarification or otherwise sought guidance. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: LOAN AND INTEREST RATE The Shareholder shall loan a total of [SPECIFY THE AMOUNT] to the Borrower to finance the operations of the Borrower's business (the \"Loan\"). The Loan shall bear interest at the rate of [SPECIFY RATE] % per annum, compounded annually. The Parties shall calculate the interest based on a full year (365 days) consisting of twelve months. Interest will accrue until repayment of the Loan. The amount owed to the Shareholder shall be calculated as the Loan plus accrued interest thereon (the \"Loan Amount\"). If the Borrower fails to pay any sum payable under this Agreement when due, the Borrower shall from time to time on demand pay interest on such sum from and including the due date to the date of actual payment (after as well as before judgment) at a per annum interest rate equal to [SPECIFY RATE] % above the interest rate. REPAYMENT The Loan Amount shall be due and payable on [SPECIFY DATE] (the \"Maturity Date\"), provided that the Borrower has enough cash flow to repay the Loan Amount without adversely affecting its then-current business activities. In the event the repayment of the Loan would adversely affect the then-current business activities of the Borrower, the Maturity Date shall be postponed until the Borrower has enough cash flow to repay the Loan Amount without adversely affecting its then-current business activities. At any time, the Borrower, with one week's prior written notice, may repay the entire Loan Amount to the Shareholder without penalty. OBLIGATIONS OF THE BORROWER The Borrower hereby agrees neither to invest in any new business in any other country, nor shall it pay dividends to any other shareholders of the Company unless and until the entire Loan Amount, along with the interest, has been repaid by it to the Shareholder. DEFAULT If any of the following events of default occur, this Agreement and any other obligations of the Borrower to the Shareholder shall become due immediately, without demand or notice. Failure of the Borrower to pay the principal and any accrued interest when due. The filing of bankruptcy proceedings involving the Borrower as a debtor. The application for the appointment of a receiver for the Borrower. The making of a general assignment for the benefit of the Borrower's creditors. The insolvency of the Borrower. A misrepresentation by the Borrower to the Shareholder for the purpose of obtaining or extending credit.","Shareholder Loan Agreement","4","https://templates.business-in-a-box.com/imgs/1000px/shareholder-loan-agreement-D13239.png","https://templates.business-in-a-box.com/imgs/250px/13239.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#13239.xml",{"title":128,"description":6},"shareholder loan agreement",[130,132],{"label":36,"url":131},"business-legal-agreements",{"label":36,"url":131},"/template/shareholder-loan-agreement-D13239",{"description":135,"descriptionCustom":6,"label":136,"pages":137,"size":138,"extension":10,"preview":139,"thumb":140,"svgFrame":141,"seoMetadata":142,"parents":143,"keywords":146,"url":147},"CONVERTIBLE NOTE AGREEMENT This Convertible Note Agreement (\"Agreement\") is made and effective the [DATE], BETWEEN: [YOUR COMPANY NAME] (the \"Company\"), 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: [NOTE HOLDERS NAME] (the \"Note Holders\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] WHEREAS, Note Holders are willing to lend Company the aggregate sum of [AMOUNT] be evidenced by [%] Convertible Promissory Notes. In consideration of the mutual covenants and conditions herein contained, the parties hereby agree, represent and warrant as follows: Issue of Notes The Company will authorize the issue of its [%] Convertible notes (hereinafter called \"Notes\") in the aggregate principal amount of [amOUNT] to be dated [date] to mature on [date] to bear interest on the unpaid principal thereof at the rate of [%] per annum until maturity, payable on the [day] of [month] in each year, commencing on [date], [year], and after maturity at the rate of [%] per annum until paid, and to be substantially in the form of Exhibit A attached hereto. For the purposes of calculating interest for any period for which the interest shall be payable, such interest shall be calculated on the basis of a [number] day month and a [number] day year. The Company will promptly and punctually pay to Note Holders or their nominee the interest on any of the Notes held by Note Holders without presentment of the Notes. In the event that Note Holders shall sell or transfer any of the Notes, they shall notify the Company of the name and address of the transferee. In the event the Company defaults on any installment of interest or principal, then any Holder of these Notes may, at his option, without notice, declare the entire principal and the interest accrued thereon immediately due and payable and may proceed to enforce the collection thereof. All the Notes shall contain a confession of judgment provision. The Company will also authorize the issue of [number] shares of its common stock (hereinafter called \"The Stock\") and will authorize the issuance of and reserve for such purchase such a number of additional shares of common stock (hereinafter called the \"Conversion Stock\") as may from time to time be the maximum number required for issuance upon conversion of the Notes pursuant to the conversion privileges hereinafter stated. Sale and Purchase of Notes and Stock The Company will sell the Notes to the purchasers listed on Exhibit A, each of whom agrees to purchase the principal amount of the Notes set opposite their names, subject to the terms and conditions hereof and in reliance upon the representations and warranties of the Company contained herein, at the purchase price of [%] of the principal amount. Representations and Warranties by the Company Company is a corporation duly organized and existing in good standing under the laws of the State of [state/province] has the corporate power to own its own property and to carry on in the business as it is now being conducted. Company has on its corporate records the names of the following individuals who each own [number] shares of common stock which constitute all the issue and outstanding capital stock of the Company as of this date. The Company has furnished to the Note Holders an Offering Circular which is attached hereto as Exhibit B. The financial statements contained therein are true and correct and have been prepared in accordance with generally accepted accounting principles consistently followed throughout the period indicated. There is no action or proceeding pending or, to the knowledge of the Company, threatened against the Company before any court or administrative agency, the determination of which might result in any material adverse change in the business of the Company. The Company has title to the respective properties and assets including the properties and assets reflected on the financial statement for the year ending [date] and which assets and properties are subject to no liens, mortgages, encumbrances or charges except a security interest to [specify]. The Company is not a party to any contract or agreement or subject to any restriction which materially and adversely affects its business, property or assets, or financial condition, and neither the execution nor delivery of this Agreement, nor the confirmation of the transactions contemplated herein, nor the fulfillment of the terms hereof, nor the compliance with the terms and provisions hereof and of the Notes, will conflict with or result in the breach of the terms, conditions or provisions or constitute a default, under the Articles of Incorporation or Code of Regulations of the Company or of any Agreement or instrument to which the Company is now a party. The Company has not declared, set aside, paid or made any dividend or other distributions with respect to its capital stock and has not made or caused to be made directly or indirectly, any payment or other distribution of any nature whatsoever to any of the holders of its capital stock except for regular salary payments for services rendered and the reimbursement of business expenses. All of the equipment and automobiles of the Company are in good condition and repair. There are no outstanding options or rights to purchase shares of the Company and no outstanding securities with the right of conversion into shares of the Company. The Company owns or possesses adequate licenses or other rights to use, all patents, trademarks, trade names, trade secrets, and copyrights used in its business. No one has asserted to the Company that its operations infringe on the patents, trademarks, trade secrets or other rights utilized in the operation of its business. Neither the Company nor any agent or employee acting in its behalf has offered the Notes or the Stock or any portion thereof for sale to or solicited in any offer to buy the same or any thereof from any person or persons other than the purchasers listed in the attached Exhibit A and [NUMBER] other persons, and neither the Company nor any agent or employee acting in its behalf will sell or offer for sale the Notes or Stock or any portion thereof to or solicit any offer to buy the Notes or the Stock from any person or persons so as to bring the issuance or sale thereof within the provisions of Section [NUMBER] of the [ACT]. Representations and Warranties by the Note Holders The Note Holders represent and warrant that: The Note Holders are subscribing for the Notes and Stock for investment purposes and not with the view to or for sale in connection with any distribution thereof and that they have no present intent to sell, give or otherwise transfer the Notes or Stock. The Note Holders state that they are and residents of the State of [state/province]. The Note Holders understand that this is a highly speculative investment in a Company which is insolvent both from a legal and an equity standpoint. Individuals represent and warrant that they have a net worth in excess of [amount] exclusive of their residences and that they are sophisticated investors who are knowledgeable about the [specify] business. Note Holders state that they will be active in the affairs of the business of the Company. Prepayment of the Notes Company shall have the right to make prepayments on principal of the Notes at any time on [number] days written notice. Such prepayment shall be accompanied by a payment of all accrued interest to date. There shall be no premium for the amount so prepaid. Conversion","Convertible Note Agreement","6",64,"https://templates.business-in-a-box.com/imgs/1000px/convertible-note-agreement-D870.png","https://templates.business-in-a-box.com/imgs/250px/870.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#870.xml",{"title":6,"description":6},[144,145],{"label":36,"url":131},{"label":36,"url":131},"convertible note agreement","/template/convertible-note-agreement-D870",{"description":149,"descriptionCustom":6,"label":150,"pages":8,"size":109,"extension":10,"preview":151,"thumb":152,"svgFrame":153,"seoMetadata":154,"parents":156,"keywords":155,"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":155,"description":6},"personal guarantee",[157,158,159],{"label":17,"url":99},{"label":20,"url":101},{"label":160,"url":161},"Guaranties & Collateral","guaranties-collateral","/template/personal-guarantee-D405",{"description":164,"descriptionCustom":6,"label":165,"pages":166,"size":109,"extension":10,"preview":167,"thumb":168,"svgFrame":169,"seoMetadata":170,"parents":172,"keywords":171,"url":175},"Payment Plan Agreement By this contract, [BORROWER'S NAME] agrees to pay for the services rendered by [NAME OF THE LENDER], hereafter known as \"Lender,\" by the following schedule in exchange for [SPECIFY]. By this agreement, it is agreed that a payment of [SPECIFY AMOUNT] will be surrendered to the Lender every [WEEK/MONTH], for the next [SPECIFY THE NUMBER OF WEEKS/MONTHS] until the total of the payment required, which is [SPECIFY] has been delivered. The first payment will start [SPECIFY DATE] and will end [SPECIFY DATE]. The payment schedule will take the following form:","Payment Plan Agreement","1","https://templates.business-in-a-box.com/imgs/1000px/payment-plan-agreement-D12663.png","https://templates.business-in-a-box.com/imgs/250px/12663.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#12663.xml",{"title":171,"description":6},"payment plan agreement",[173,174],{"label":36,"url":131},{"label":36,"url":131},"/template/payment-plan-agreement-D12663",false,{"seo":178,"reviewer":189,"legal_disclaimer":193,"quick_facts":194,"at_a_glance":196,"personas":200,"variants":225,"glossary":251,"clauses":287,"how_to_fill":337,"common_mistakes":378,"faqs":403,"industries":431,"comparisons":448,"diy_vs_lawyer":460,"jurisdictions":473,"related_template_ids_curated":494,"schema":502,"classification":503},{"meta_title":179,"meta_description":180,"primary_keyword":25,"secondary_keywords":181},"Promissory Note With Acceleration Clause Template (Free Word)","Free promissory note with acceleration clause template. Covers loan amount, interest rate, repayment schedule, and default triggers. Used in 190+ countries. Free Word and PDF download.",[182,183,184,185,186,187,188],"promissory note with acceleration clause template","promissory note template word","promissory note template free","loan promissory note template","acceleration clause promissory note","business promissory note template","demand promissory note template",{"name":190,"credential":191,"reviewed_date":192},"Bruno Goulet","CEO, Business in a Box","2026-05-02",true,{"difficulty":195,"legal_review_recommended":193,"signature_required":193,"notarization_required":176},"advanced",{"what_it_is":197,"when_you_need_it":198,"whats_inside":199},"A Promissory Note With Acceleration Clause is a legally binding written promise by a borrower to repay a specified sum to a lender under defined terms — including an acceleration provision that makes the entire unpaid balance immediately due if the borrower defaults. This free Word download covers principal, interest rate, repayment schedule, default triggers, and acceleration rights in a single enforceable document you can edit online and export as PDF.\n","Use it when lending money to a business partner, employee, or third party, when a buyer is financing a purchase directly from a seller, or when formalizing any structured loan arrangement where you need the option to call the full balance due upon default.\n","Parties and principal amount, interest rate and calculation method, repayment schedule, acceleration clause and default triggers, late payment penalties, prepayment rights, governing law, and signature blocks for borrower and lender.\n",[201,205,209,213,217,221],{"title":202,"use_case":203,"icon_asset_id":204},"Private lenders","Documenting personal or business loans to individuals with enforceable repayment terms","persona-private-lender",{"title":206,"use_case":207,"icon_asset_id":208},"Small business owners","Formalizing loans between the business and a co-founder, employee, or supplier","persona-small-business-owner",{"title":210,"use_case":211,"icon_asset_id":212},"Real estate investors","Structuring seller-financed property transactions with acceleration on default","persona-real-estate-investor",{"title":214,"use_case":215,"icon_asset_id":216},"Startup founders","Documenting shareholder loans or bridge financing before a formal funding round","persona-startup-founder",{"title":218,"use_case":219,"icon_asset_id":220},"Sellers in owner-financed deals","Securing repayment from a buyer who is purchasing a business or asset on installment terms","persona-business-seller",{"title":222,"use_case":223,"icon_asset_id":224},"Corporate treasurers","Recording intercompany loans between related entities with defined default remedies","persona-corporate-treasurer",[226,230,234,238,241,244,248],{"situation":227,"recommended_template":228,"slug":229},"Simple loan with no acceleration right — borrower low-risk, relationship informal","Simple Promissory Note","promissory-note-D434",{"situation":231,"recommended_template":232,"slug":233},"Loan secured by specific collateral such as real property or equipment","Secured Promissory Note","secured-promissory-note-D434",{"situation":235,"recommended_template":236,"slug":237},"Loan repayable on lender demand at any time without a fixed schedule","Demand Promissory Note","demand-to-pay-promissory-note-D207",{"situation":239,"recommended_template":240,"slug":229},"Business-to-business loan between two corporate entities","Business Promissory Note",{"situation":242,"recommended_template":136,"slug":243},"Convertible bridge loan that may convert to equity at a future round","convertible-note-agreement-D870",{"situation":245,"recommended_template":246,"slug":247},"Installment purchase of a business asset with title retained by seller","Installment Sale Agreement","installment-sale-contract-D12709",{"situation":249,"recommended_template":122,"slug":250},"Loan between shareholders and the company with board approval on record","shareholder-loan-agreement-D13239",[252,255,258,260,263,266,269,272,275,278,281,284],{"term":253,"definition":254},"Acceleration Clause","A contract provision that makes the entire outstanding loan balance immediately due and payable upon the occurrence of a defined default event.",{"term":256,"definition":257},"Principal","The original amount of money borrowed, before interest or fees are added.",{"term":43,"definition":259},"A written, signed promise by one party (the maker or borrower) to pay a specific sum of money to another party (the payee or lender) under stated terms.",{"term":261,"definition":262},"Default Event","A specific action or failure — such as missing a payment, filing for bankruptcy, or breaching a covenant — that triggers the lender's remedies under the note.",{"term":264,"definition":265},"Amortization","The process of spreading loan repayment across a series of scheduled payments, each of which reduces the outstanding principal balance.",{"term":267,"definition":268},"Balloon Payment","A lump-sum payment of the remaining principal balance due at the end of a loan term, after a series of smaller periodic payments.",{"term":270,"definition":271},"Cure Period","A defined window of time — typically 5 to 30 days — given to the borrower to remedy a default before the lender exercises acceleration or other remedies.",{"term":273,"definition":274},"Prepayment Penalty","A fee charged to the borrower for repaying all or part of the loan before the scheduled due date, compensating the lender for lost interest income.",{"term":276,"definition":277},"Usury","The practice of charging an interest rate that exceeds the maximum allowed by applicable law; promissory notes with usurious rates may be partially or wholly unenforceable.",{"term":279,"definition":280},"Maker","The party who signs a promissory note and accepts the legal obligation to repay the stated amount — also called the borrower or payor.",{"term":282,"definition":283},"Payee","The party to whom a promissory note is payable — also called the lender or holder of the note.",{"term":285,"definition":286},"Recourse","The lender's legal right to pursue the borrower's personal assets to satisfy the debt if the collateral or primary repayment source is insufficient.",[288,293,298,303,307,312,317,322,327,332],{"name":289,"plain_english":290,"sample_language":291,"common_mistake":292},"Parties, Principal Amount, and Loan Date","Identifies the lender and borrower as legal entities or individuals, states the principal loan amount, and records the date the note is executed and funds are advanced.","For value received, [BORROWER FULL LEGAL NAME] ('Maker'), promises to pay to the order of [LENDER FULL LEGAL NAME] ('Payee') the principal sum of $[AMOUNT] ([WRITTEN AMOUNT] Dollars), advanced on [DATE].","Using informal names or trade names instead of full legal names. If the borrower defaults and enforcement is required, the note must identify the correct legal party to sue.",{"name":294,"plain_english":295,"sample_language":296,"common_mistake":297},"Interest Rate and Calculation Method","States the annual interest rate, whether it is fixed or variable, how it is calculated (simple or compound), and the basis for daily accrual.","This Note shall bear interest at the rate of [X]% per annum, calculated on the basis of a 365-day year on the unpaid principal balance from the date of this Note until paid in full.","Omitting the calculation basis (365-day vs. 360-day year). The difference affects accrued interest on large principals and has been the subject of litigation in commercial lending disputes.",{"name":299,"plain_english":300,"sample_language":301,"common_mistake":302},"Repayment Schedule","Sets out the payment frequency, payment amount, first payment date, and whether payments are interest-only, fully amortizing, or structured with a balloon.","Maker shall pay [MONTHLY / QUARTERLY] installments of $[AMOUNT], beginning on [FIRST PAYMENT DATE], with a final balloon payment of all remaining principal and accrued interest due on [MATURITY DATE].","Leaving the repayment structure ambiguous by stating only the maturity date without specifying interim payments. Courts have had to imply repayment terms, with results unfavorable to the lender.",{"name":253,"plain_english":304,"sample_language":305,"common_mistake":306},"Grants the lender the right to declare the entire unpaid balance — principal plus accrued interest — immediately due and payable upon the occurrence of any defined default event.","Upon the occurrence of any Event of Default, at the option of Payee, the entire unpaid principal balance of this Note, together with all accrued and unpaid interest, shall immediately become due and payable without further notice or demand.","Forgetting to specify that acceleration is at the lender's option rather than automatic. Automatic acceleration can trigger unintended consequences — including accelerating subordinate obligations — before the lender is ready to enforce.",{"name":308,"plain_english":309,"sample_language":310,"common_mistake":311},"Events of Default","Lists the specific circumstances that constitute a default, such as missed payments, insolvency, bankruptcy filing, breach of a related agreement, or material misrepresentation.","Each of the following shall constitute an Event of Default: (a) Maker fails to pay any installment within [X] days of its due date; (b) Maker files for bankruptcy or becomes insolvent; (c) Maker breaches any material term of any agreement securing this Note.","Defining default only as missed payment and omitting insolvency, judgment liens, and breach of related collateral agreements. A borrower can be technically current on payments while their financial position deteriorates to the point where collection becomes impossible.",{"name":313,"plain_english":314,"sample_language":315,"common_mistake":316},"Cure Period and Notice","Gives the borrower a defined period — typically 5 to 30 days — to remedy a default after written notice from the lender, before acceleration or other remedies are exercised.","Payee shall provide Maker with written notice of any Event of Default. Maker shall have [X] calendar days from receipt of such notice to cure the default before Payee may exercise acceleration or any other remedy.","Including no cure period at all. Courts in many jurisdictions imply a reasonable cure opportunity even when the note is silent; specifying the period gives the lender control over the timeline and reduces legal risk.",{"name":318,"plain_english":319,"sample_language":320,"common_mistake":321},"Late Payment Penalty","Imposes a fixed fee or percentage charge on any payment not received within a defined grace period after its due date.","If any payment is not received within [X] days of its due date, Maker shall pay a late charge equal to [X]% of the overdue payment, but not less than $[MINIMUM] and not more than $[MAXIMUM], as liquidated damages.","Setting late fees as a flat dollar amount rather than a percentage of the overdue payment. On a large loan, a flat $25 late fee is commercially meaningless and provides no incentive for timely payment.",{"name":323,"plain_english":324,"sample_language":325,"common_mistake":326},"Prepayment Rights","States whether the borrower may repay the loan early, and if so, whether a prepayment penalty applies and how it is calculated.","Maker may prepay this Note in whole or in part at any time without penalty. [ALTERNATIVE: Maker may prepay this Note, provided that any prepayment within the first [X] months shall be subject to a prepayment fee equal to [X]% of the amount prepaid.]","Remaining silent on prepayment. In many jurisdictions, silence means prepayment is permitted without penalty — lenders who intend to charge a yield-maintenance fee must expressly state it.",{"name":328,"plain_english":329,"sample_language":330,"common_mistake":331},"Governing Law and Venue","Specifies which jurisdiction's law governs interpretation and enforcement of the note, and where any legal proceedings must be filed.","This Note shall be governed by and construed in accordance with the laws of the State of [STATE], without regard to its conflict-of-law provisions. Any legal action shall be brought exclusively in the courts of [COUNTY], [STATE].","Choosing a governing law with no connection to either party. Courts may disregard a governing-law clause that appears designed to avoid the borrower's home-state consumer protections or usury limits.",{"name":333,"plain_english":334,"sample_language":335,"common_mistake":336},"Waiver of Presentment and Demand","The borrower formally waives the right to require the lender to present the note, make formal demand, give notice of dishonor, or protest before enforcement — streamlining collection.","Maker and all endorsers, sureties, and guarantors hereby waive presentment, demand for payment, notice of dishonor, protest, and notice of protest, and consent to any extension of time for payment without notice.","Omitting the waiver clause entirely and relying on state-law defaults. Several states require formal presentment and demand before a note holder can sue — the waiver clause removes this procedural barrier.",[338,343,348,353,358,363,368,373],{"step":339,"title":340,"description":341,"tip":342},1,"Identify both parties with their full legal names","Enter the borrower's and lender's complete legal names — individual or registered entity — along with addresses. For businesses, use the exact name on the incorporation or registration certificate.","For LLC or corporate borrowers, confirm the signing officer has authority to bind the entity; attach a board resolution or member consent if the loan is material.",{"step":344,"title":345,"description":346,"tip":347},2,"Set the principal amount and loan date","Enter the exact dollar amount being lent and the date funds are or will be advanced. If funding occurs in tranches, use the date of the first advance and attach a disbursement schedule.","Write the amount in both numerals and words — e.g., '$50,000 (Fifty Thousand Dollars)' — to prevent disputes over transcription errors.",{"step":349,"title":350,"description":351,"tip":352},3,"Define the interest rate and confirm it is below your jurisdiction's usury ceiling","State the annual rate, whether fixed or variable, and the calculation basis (365-day year is most common). Check your state or provincial usury limit before setting the rate.","For variable-rate notes, tie the rate to a published index (e.g., Wall Street Journal Prime Rate) plus a spread, and cap the maximum rate to reduce borrower default risk.",{"step":354,"title":355,"description":356,"tip":357},4,"Build the repayment schedule","Specify payment frequency, the dollar amount of each installment, the first payment date, and the maturity date. Decide whether the note is fully amortizing, interest-only with a balloon, or structured differently.","Attach a full amortization table as Exhibit A so both parties can verify each payment reduces principal as expected — this prevents disputes mid-term.",{"step":359,"title":360,"description":361,"tip":362},5,"Draft the events of default and cure period","List every trigger that will constitute a default — missed payment, insolvency, bankruptcy, breach of related agreements — and specify the number of days the borrower has to cure after written notice.","A 10-day cure period for payment default and a 30-day period for non-payment defaults is a commonly accepted commercial standard that balances lender protection with borrower fairness.",{"step":364,"title":365,"description":366,"tip":367},6,"Confirm the acceleration clause is at the lender's option","Review the acceleration provision to ensure it says 'at the option of Payee' rather than triggering automatically. Add language specifying that failure to exercise acceleration on one default does not waive the right on a later default.","Include an anti-waiver clause: 'No failure or delay by Payee in exercising any right shall constitute a waiver of that right.' This protects lenders who accept a late payment without intending to forgive future defaults.",{"step":369,"title":370,"description":371,"tip":372},7,"State prepayment and late-fee terms explicitly","Decide whether early repayment is allowed without penalty, and set your late-fee rate as a percentage of the overdue amount with a grace period of 5 to 10 days.","Courts scrutinize late fees as potential penalties — framing them as 'liquidated damages reflecting estimated collection costs' strengthens enforceability.",{"step":374,"title":375,"description":376,"tip":377},8,"Execute before funds are advanced","Both parties must sign the note before or simultaneously with the transfer of funds. Date the note accurately and retain the original signed copy in a secure location.","Have the note notarized even if not legally required — notarization authenticates signatures and simplifies enforcement if the borrower later denies signing.",[379,383,387,391,395,399],{"mistake":380,"why_it_matters":381,"fix":382},"Setting an interest rate above the jurisdiction's usury ceiling","A usurious rate can render the interest provisions void or, in some states, void the entire note — leaving the lender unable to collect any interest and potentially forfeiting principal.","Look up the applicable usury limit for the borrower's state or province before executing. For commercial loans between businesses, usury ceilings are often higher or inapplicable, but confirm this in writing from a licensed attorney.",{"mistake":384,"why_it_matters":385,"fix":386},"Omitting a defined list of default events beyond missed payment","A borrower can remain technically current on installments while filing for bankruptcy, encumbering collateral, or entering a transaction that makes collection impossible — leaving the lender with no acceleration right.","Include at least five default triggers: payment default, insolvency, bankruptcy filing, judgment liens exceeding a defined threshold, and breach of any agreement securing the note.",{"mistake":388,"why_it_matters":389,"fix":390},"No anti-waiver clause","Accepting a late payment without reserving rights can be construed as a course-of-dealing waiver, making it harder to accelerate on a later default after a pattern of tolerance.","Add a standard anti-waiver provision stating that acceptance of any payment — late or partial — does not waive the lender's right to enforce the note strictly on any subsequent default.",{"mistake":392,"why_it_matters":393,"fix":394},"Making acceleration automatic rather than optional","Automatic acceleration triggers the entire balance due without lender action, which can complicate workout negotiations, modify subordination arrangements, and expose the lender to claims they acted in bad faith.","Draft the clause as 'at the option of Payee, the entire balance shall become immediately due' — this preserves lender flexibility to forbear, negotiate, or accelerate on their own timeline.",{"mistake":396,"why_it_matters":397,"fix":398},"Executing the note after funds have already been advanced","A note signed after the loan is made may lack consideration in some jurisdictions, making it potentially unenforceable as a matter of contract law.","Always execute the promissory note before or simultaneously with the transfer of funds. If funds were advanced informally, have a lawyer draft a ratification agreement alongside the note.",{"mistake":400,"why_it_matters":401,"fix":402},"Failing to attach or reference an amortization schedule","Disputes over how much principal remains outstanding — especially after partial prepayments or negotiated deferrals — are common and expensive to resolve without a contemporaneous schedule.","Attach a full amortization table as Exhibit A at signing and update it in writing any time the repayment terms are modified.",[404,407,410,413,416,419,422,425,428],{"question":405,"answer":406},"What is a promissory note with an acceleration clause?","A promissory note with an acceleration clause is a written, signed promise to repay a specified loan amount under defined terms — including a provision that makes the entire unpaid balance immediately due if the borrower defaults. The acceleration clause is the lender's most powerful collection tool: rather than suing for each missed installment separately, the lender can call the full balance due at once and pursue enforcement in a single action.\n",{"question":408,"answer":409},"When should I use an acceleration clause in a promissory note?","Include an acceleration clause any time there is meaningful default risk — specifically when the loan is unsecured, when the borrower's financial position could deteriorate, or when the repayment term exceeds 12 months. Short-term loans between trusted parties with strong collateral may not require one, but for most commercial and private lending situations the acceleration clause is standard practice and is expected by sophisticated lenders and borrowers alike.\n",{"question":411,"answer":412},"Is a promissory note legally binding without notarization?","In most US states, Canada, and the UK, a promissory note is legally binding when signed by the borrower (maker) — notarization is generally not required for enforceability. However, notarization authenticates the signatures and makes the document self-proving in court, which simplifies enforcement if the borrower later claims they did not sign. Some jurisdictions require notarization for notes secured by real property.\n",{"question":414,"answer":415},"What is the difference between a secured and an unsecured promissory note?","An unsecured promissory note, like this template, is backed only by the borrower's personal or corporate promise to pay. A secured promissory note is backed by a specific asset — real estate, equipment, receivables — that the lender can seize upon default. Secured notes generally carry lower interest rates because the lender has a defined recovery path. Unsecured notes rely entirely on the acceleration clause and subsequent judgment enforcement for collection.\n",{"question":417,"answer":418},"How does an acceleration clause interact with bankruptcy?","When a borrower files for bankruptcy, an automatic stay under US Bankruptcy Code §362 typically halts the lender's ability to enforce the acceleration clause or collect on the note outside the bankruptcy proceeding. The lender must file a proof of claim and may need to seek relief from the automatic stay to pursue collateral. In Canada, similar stay protections apply under the Companies' Creditors Arrangement Act and the Bankruptcy and Insolvency Act. Including bankruptcy as a defined default event is still important — it preserves the acceleration right for use after stay relief is obtained.\n",{"question":420,"answer":421},"What interest rate can I charge on a promissory note?","The maximum allowable rate depends on the jurisdiction and whether the note is a consumer or commercial transaction. In the US, usury laws vary by state — consumer loan limits range from 10% to 36% annually depending on the state, while many states exempt business-to-business loans above a threshold principal amount. In Canada, the Criminal Code sets a maximum effective annual rate of 60% for all loans. In the UK, consumer credit regulations cap certain loan rates, while commercial rates are largely unregulated. Always confirm the applicable ceiling before drafting.\n",{"question":423,"answer":424},"Can the borrower prepay a promissory note early?","Unless the note expressly prohibits or penalizes prepayment, the borrower generally has the right to repay early in most jurisdictions. Lenders who want to preserve expected interest income should include a prepayment penalty clause — typically a percentage of the outstanding principal during a defined penalty period. For longer-term commercial notes, a yield-maintenance formula may be used instead of a flat percentage.\n",{"question":426,"answer":427},"What happens if the lender waives one default — does that waive future defaults?","Without an anti-waiver clause, a pattern of accepting late payments or overlooking minor defaults can create a course-of-dealing argument that the lender waived strict compliance. With a properly drafted anti-waiver clause, acceptance of any payment — on time, late, or partial — does not waive the lender's right to strictly enforce the note going forward. This is one of the most important protective provisions a lender can include.\n",{"question":429,"answer":430},"Do I need a lawyer to draft a promissory note with an acceleration clause?","For straightforward loans between businesses in a single jurisdiction with standard repayment terms, a high-quality template is typically sufficient. Engage a lawyer when the loan exceeds $100,000, when collateral is involved, when the borrower is in a different jurisdiction, when the transaction is cross-border, or when the note is part of a broader financing arrangement with subordination or intercreditor agreements. A 1–2 hour legal review typically costs $300–$600 and is worthwhile for any loan where collection risk is significant.\n",[432,436,440,444],{"industry":433,"icon_asset_id":434,"specifics":435},"Real Estate","industry-real-estate","Seller-financed transactions use acceleration clauses tied to property insurance lapse, title transfer without consent (due-on-sale), or missed installments — protecting the seller's security interest in the property.",{"industry":437,"icon_asset_id":438,"specifics":439},"Small Business and Startups","industry-saas","Shareholder loans and bridge notes between related parties rely on acceleration clauses to protect lenders if the company enters insolvency proceedings or closes a funding round that could dilute repayment priority.",{"industry":441,"icon_asset_id":442,"specifics":443},"Manufacturing and Equipment","industry-manufacturing","Equipment purchase financing documented by a promissory note typically ties acceleration to physical destruction, unauthorized sale, or failure to maintain insurance on the financed asset.",{"industry":445,"icon_asset_id":446,"specifics":447},"Professional Services","industry-professional-services","Law firms, accountancies, and consulting practices use promissory notes when partners buy into or out of the firm on installment terms, with acceleration triggered by departure, disbarment, or breach of the partnership agreement.",[449,452,454,457],{"vs":228,"vs_template_id":450,"summary":451},"promissory-note-D433","A simple promissory note documents the loan and repayment terms but does not include an acceleration clause. If the borrower misses a payment, the lender can only sue for that installment — not the full balance. The acceleration clause version is appropriate any time there is meaningful default risk or the repayment term exceeds 12 months.",{"vs":232,"vs_template_id":233,"summary":453},"A secured promissory note attaches a specific asset as collateral, giving the lender a priority claim to seize that asset upon default. An unsecured note with an acceleration clause relies on the borrower's general creditworthiness and subsequent judgment enforcement. Use the secured version when the loan is large, the borrower's credit is uncertain, or a specific asset directly supports repayment.",{"vs":236,"vs_template_id":455,"summary":456},"demand-promissory-note-D435","A demand note makes the entire balance payable whenever the lender chooses to demand it — there is no fixed repayment schedule and no specific default trigger required. A note with an acceleration clause has a defined schedule and requires a default event before the lender can call the balance. Demand notes are simpler but give the borrower no schedule certainty; acceleration-clause notes balance lender protection with a predictable repayment structure.",{"vs":108,"vs_template_id":458,"summary":459},"loan-agreement-D13248","A loan agreement is a comprehensive bilateral contract covering all lending terms in detail — covenants, representations, conditions precedent, and remedies — typically used for larger or more complex transactions. A promissory note is a simpler, one-sided instrument focused on the borrower's payment obligation. For loans above $250,000 or with multiple financial covenants, a full loan agreement provides stronger protection; a promissory note with acceleration is appropriate for straightforward private lending arrangements.",{"use_template":461,"template_plus_review":465,"custom_drafted":469},{"best_for":462,"cost":463,"time":464},"Private loans under $100,000 between parties in the same jurisdiction with standard repayment terms","Free","20–30 minutes",{"best_for":466,"cost":467,"time":468},"Loans above $50,000, cross-state transactions, or notes tied to a broader purchase or shareholder agreement","$300–$600","1–3 days",{"best_for":470,"cost":471,"time":472},"Commercial loans exceeding $250,000, cross-border lending, subordinated debt arrangements, or notes with intercreditor agreements","$1,500–$5,000+","1–2 weeks",[474,479,484,489],{"code":475,"name":476,"flag_asset_id":477,"note":478},"us","United States","flag-us","Usury laws vary by state — consumer loan rate ceilings range from 10% (California) to 36% (payday-loan regimes), while many states exempt commercial loans above $250,000 from usury limits entirely. Acceleration clauses are broadly enforceable in commercial transactions; however, mortgage-backed notes are subject to federal and state foreclosure procedures that impose additional notice and cure requirements before acceleration can be exercised against real property.",{"code":480,"name":481,"flag_asset_id":482,"note":483},"ca","Canada","flag-ca","The Criminal Code of Canada caps the effective annual interest rate at 60% for all loans, including fees and charges. Acceleration clauses are enforceable across provinces, but Quebec's Civil Code requires clear, unambiguous language and may impose additional borrower-protection requirements. Ontario's Mortgages Act governs acceleration on real-property-secured notes and requires specific notice periods. Notes between related corporations may attract scrutiny under thin-capitalization tax rules.",{"code":485,"name":486,"flag_asset_id":487,"note":488},"uk","United Kingdom","flag-uk","Commercial promissory notes are governed by the Bills of Exchange Act 1882, which recognizes the acceleration clause as a standard term. Consumer credit transactions are regulated by the Consumer Credit Act 1974, imposing form requirements and a 14-day cooling-off period. The Financial Conduct Authority regulates consumer lending rates. For business-to-business notes, there are no statutory interest-rate caps, but courts may strike terms that are found to be unfair or penal in nature.",{"code":490,"name":491,"flag_asset_id":492,"note":493},"eu","European Union","flag-eu","The EU Consumer Credit Directive limits interest rates and requires mandatory pre-contractual disclosure for consumer loans; business lending is largely governed by member-state law. Germany, France, and the Netherlands each impose their own usury ceilings for consumer transactions. GDPR considerations apply where the note involves personal data processing between parties. Acceleration clauses in cross-border EU commercial lending are generally enforceable under Rome I Regulation, which allows parties to choose governing law, subject to overriding mandatory provisions of the borrower's home member state.",[229,233,237,495,250,243,496,497,498,499,500,501],"loan-agreement-D417","personal-guarantee-D405","secured-lumpsum-promissory-note-agreement-D13041","payment-plan-agreement-D12663","security-agreement-D915","business-credit-application-D247","sales-invoice-D383",{"emit_how_to":193,"emit_defined_term":193},{"primary_folder":99,"secondary_folder":504,"document_type":505,"industry":506,"business_stage":507,"tags":508,"confidence":514},"loans-and-promissory-notes","agreement","general","all-stages",[509,510,511,512,513],"loan","legal","contract","promissory-note","acceleration-clause",0.95,"\u003Ch2>What is a Promissory Note With Acceleration Clause?\u003C/h2>\n\u003Cp>A \u003Cstrong>Promissory Note With Acceleration Clause\u003C/strong> is a legally binding written instrument in which a borrower (the maker) unconditionally promises to repay a specified principal amount — plus interest — to a lender (the payee) according to a defined repayment schedule, with an added provision that makes the entire outstanding balance immediately due and payable if the borrower defaults. The acceleration clause transforms what would otherwise be a series of separate installment claims into a single, immediately enforceable debt obligation the moment a defined trigger event occurs — such as a missed payment, insolvency, or bankruptcy filing. It is the standard form for private commercial lending, seller-financed transactions, shareholder loans, and any structured loan arrangement where the lender needs a clear, swift collection remedy.\u003C/p>\n\u003Ch2>Why You Need This Document\u003C/h2>\n\u003Cp>A loan advanced without a signed promissory note is effectively an unsecured gift in any courtroom — you have no written evidence of the terms, the interest rate, or the repayment schedule, and collecting on it requires proving an oral agreement, which courts treat with considerable skepticism. Without an acceleration clause specifically, a lender whose borrower stops paying can only sue for each missed installment as it comes due, dragging out collection over months or years while the borrower's assets erode. The acceleration clause closes this gap: one default, one demand, one lawsuit for the full balance. It also signals to the borrower at the outset that the lender is serious — reducing the frequency of missed payments in practice. This template gives private lenders, business owners, and seller-financiers a professionally drafted, jurisdiction-aware starting point they can complete in under 30 minutes, without paying a lawyer to draft from scratch for a routine transaction.\u003C/p>\n",1781186016344]