Bank Guarantee Sample - English Version
A bank guarantee is a type of financial instrument that is issued by a bank on behalf of a customer. It serves as a guarantee to the beneficiary, assuring them that the customer will fulfill their obligations. The bank guarantee ensures that the beneficiary will receive payment in the event that the customer fails to fulfill their contractual obligations.
Here is a sample bank guarantee in English:
Bank Guarantee
[Name of the Bank]
[Bank's Address]
[City, State, Postal Code]
[Country]
Date: [Date]
To: [Beneficiary's Name]
[Beneficiary's Address]
[City, State, Postal Code]
[Country]
Dear Sir/Madam,
Re: Bank Guarantee
We hereby irrevocably guarantee and undertake to pay you, without any delay or objection, up to the maximum amount of [Amount in Words] ([Amount in Numbers]) upon receipt of your first written demand. This guarantee is valid until [Expiry Date of the Guarantee] and is subject to the following terms and conditions:
1. Our guarantee is issued in favor of [Beneficiary's Name] for the purpose of securing the performance of the contract dated [Contract Date] between [Customer's Name] and [Beneficiary's Name].
2. This guarantee shall come into effect immediately upon its issuance and shall remain in force until the expiry date mentioned above.
3. Any demand made under this guarantee must be in writing and accompanied by the original copy of the performed contract, stating the reasons for the demand and the amount claimed.
4. In case of any dispute, the jurisdiction shall be [City, State, Country].
5. Our liability under this guarantee is limited to the maximum amount mentioned above, and we shall not be liable for any indirect or consequential loss or damages.
6. This guarantee is freely transferable without the need for any consent or approval from us.
7. This guarantee shall be governed by and construed in accordance with the laws of [Country].
This bank guarantee is subject to the Uniform Rules for Demand Guarantees (URDG) as published by the International Chamber of Commerce (ICC), Publication No. 758.
Yours faithfully,
[Bank's Name]
[Authorized Signatory]
Disclaimer: This is a sample bank guarantee and should be used for informational purposes only. It is recommended to seek professional advice or consult with a legal expert before drafting a bank guarantee specific to your requirements.
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