Loan Note (Long Form )
THIS DEED is made the day of year
BETWEEN: (1 ) ....................of.................. (the "Borrower" );
(2 )...................... Of ........................... (The "Lender" ).
NOW THIS DEED WITNESSES as follows:
1. The Borrower hereby promises to pay to the order of the Lender the sum of NAIRA (N........), together with interest thereon at the rate of.......... per annum on the unpaid balance. The said amount shall be paid in the following manner: ................................. .
2. All payments shall be first applied to interest and the balance to principal. This note may be prepaid, at any time, in whole or in part, without penalty.
3. This note shall at the option of any holder thereof be immediately due and payable upon the occurrence of any of the following:
(a ) Failure of the Borrower to make any payment due hereunder within days of its due date.
(b ) Breach of any condition of any mortgage, loan agreement, or guarantee granted as collateral security for this note.
(c ) Breach of any condition of any loan agreement or mortgage, if any, having a priority over any loan agreement or mortgage on security granted, in whole or in part, as collateral security for this note.
(d ) Upon the death, incapacity, dissolution, receivership, insolvency or liquidation of either of the parties hereto, or any endorser or guarantor of this note.
4. In the event this note shall be in default and placed for collection, then the Borrower agrees to pay all reasonable solicitors fees and costs of collection. Payments not made within five (5 ) days of the due date shall be subject to a charge of per annum of the sum due. All payments hereunder shall be made to such address as may from time to time be designated by any party.
5. The undersigned and all other parties to this note, whether as endorsers, guarantors or sureties, agree to remain fully bound until this note shall be fully paid and further agree to remain bound, notwithstanding any extension, modification, waiver, or other indulgence or discharge or release of the Borrower hereunder or exchange, substitution, or release of any collateral security granted as security for this note. No variation or waiver by any holder hereof shall be binding unless in writing; and any waiver on any one occasion shall not be a waiver for any other or future occasion. Any variation or change in terms hereunder granted by any holder hereof, shall be valid and binding upon each of the undersigned, notwithstanding the acknowledgement of any of the undersigned.
IN WITNESS OF WHICH the parties have signed this deed the day and year first above written
Signed by or on behalf of the Borrower
in the presence of (witness ) ____________________________
Signed by or on behalf of the Lender
in the presence of (witness ) Name ___________________ Name ___________________ Address ___________________
____________________ Address ___________________
__________________ Occupation ___________________ Occupation ____________________