What is a Termination Of Loan Agreement?
A termination of loan agreement is a legal document that is signed when the term of the original loan agreement reaches completion. This document serves to release both the lender and borrower of their obligatory roles set forth in the original loan agreement. Most commmonly, this agreement is drawn up and signed when the borrower pays back the loan amount, plus taxes, interest, and any other applicable fees.
A termination of loan agreement is not the same thing as a loan cancellation and release agreement. The main difference between the two is that while a termination of loan agreement typically requires payback of the loan as agreed, the loan cancellation and release agreement is typically put into motion when both parties agree to cancel the contract, regardless of payback status.
Common Sections in Termination Of Loan Agreements
Below is a list of common sections included in Termination Of Loan Agreements. These sections are linked to the below sample agreement for you to explore.
Termination Of Loan Agreement Sample
Exhibit 4.47
TERMINATION OF LOAN AGREEMENT
TERMINATION OF LOAN AGREEMENT, dated as of April14, 2016 (this “Termination”), among Navios Maritime Holdings Inc., aMarshall Islands corporation (the “Borrower”) and Navios Maritime Acquisition Corporation, a Marshall Islands corporation, as lender (in such capacity, the “Lender”).
W I T N E S S E T H:
WHEREAS, the Borrower and Lender entered into that certain agreement, dated as of March9, 2016 (the “Loan Agreement”),pursuant to which the Lender agreed to make loans under a $50,000,000 revolving loan facility to the Borrower upon the terms and subject to the conditions set forth therein;
WHEREAS, Clause 15.1 of the Loan Agreement provides that any term of the Loan Agreement may be amended with the agreement of the Lender andthe Borrower;
WHEREAS, the Board of Directors of each of the Borrower and Lender have determined that it is in the best interest of itsrespective companies to terminate the Loan Agreement;
NOW, THEREFORE, the Borrower and the Lender each hereby agrees as follows:
| 1. | Amendment to Clause 5.3. Clause 5.3 of the Loan Agreement is hereby amended to add the following sentence to the end of Clause 5.3: |
“The Borrower and NNA may immediately terminate this Agreement at any time by written agreement between the parties.”
| 2. | Agreement to Terminate. The Borrower and the Lender hereby agree to terminate the Loan Agreement as of the date hereof. |
| 3. | Counterparts. This Termination may be executed by one or more of the parties hereto on any number of separate counterparts and all of said counterparts taken together shall be deemed to constitute one and thesame instrument. |
Unless otherwise defined herein, terms that are defined in the Loan Agreement and used herein are so usedas so defined.
IN WITNESS WHEREOF, the undersigned have caused this Termination to be duly executed anddelivered as of the date first above written.
NAVIOS MARITIME HOLDINGS INC., as Borrower
By: /s/ VasilikiPapaefthymiou
Name: Vasiliki Papaefthymiou
Title: Executive Vice President-Legal
NAVIOS MARITIME ACQUISITION
CORPORATION, as Lender
By: /s/ LeonidasKorres
Name: Leonidas Korres
Title: Chief Financial Officer
Reference:
Security Exchange Commission - Edgar Database, EX-4.47 2 d150923dex447.htm EX-4.47, ViewedAugust 13, 2022, View Source on SEC.
Who Helps With Termination Of Loan Agreements?
Lawyers with backgrounds working on termination of loan agreements work with clients to help. Do you need help with a termination of loan agreement?
Post a projectin ContractsCounsel's marketplace to get free bids from lawyers to draft, review, or negotiate termination of loan agreements. All lawyers are vetted by our team and peer reviewed by our customers for you to explore before hiring.
ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.
