������Ƶ

The Caveat Loan Agreement is a crucial document in Malaysian secured lending practices, particularly used when parties need a quicker or more flexible security arrangement than a traditional mortgage. This type of agreement is commonly employed in bridge financing, short-term lending, or situations requiring rapid security implementation. The document combines standard loan provisions with specific clauses enabling the registration of a caveat over the borrower's property as security. It must comply with Malaysian banking regulations, property laws, and the National Land Code 1965. The agreement typically includes detailed sections covering loan terms, interest rates, repayment schedules, security arrangements, default provisions, and enforcement mechanisms. It's particularly relevant in situations where time is of essence or where parties prefer a less complex security structure than a formal charge or mortgage.

1. Parties: Identification of the Lender and Borrower with full legal names and addresses

2. Background: Context of the loan arrangement and brief description of the property being used as security

3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement

4. Loan Amount and Purpose: Specification of the loan amount, purpose, and disbursement terms

5. Interest and Repayment: Details of interest rate, calculation method, and repayment schedule

6. Security Arrangements: Terms relating to the caveat, including registration and maintenance

7. Borrower's Representations and Warranties: Borrower's confirmations regarding their capacity, property ownership, and other material facts

8. Borrower's Covenants: Ongoing obligations of the borrower during the loan term

9. Events of Default: Circumstances constituting default and consequences thereof

10. Enforcement Rights: Lender's rights and remedies upon default, including power of sale

11. Costs and Expenses: Allocation of legal fees, stamp duty, and other costs

12. Notices: Process for giving formal notices under the agreement

13. General Provisions: Standard boilerplate clauses including governing law, assignment, and amendments