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The Master Credit Agreement is a fundamental document used to establish and govern credit relationships between financial institutions and borrowers under German law. This agreement type is particularly crucial when parties anticipate multiple credit facilities or ongoing lending relationships, providing a standardized framework that can accommodate various credit products and future facilities. The document incorporates mandatory provisions required by German banking regulations, including the Kreditwesengesetz (KWG) and Bürgerliches Gesetzbuch (BGB), while also addressing EU regulatory requirements. It typically includes detailed sections on facility usage, interest calculation methods, security arrangements, representations and warranties, and events of default. The Master Credit Agreement structure allows for flexibility through supplemental facility agreements while maintaining consistent core terms and conditions.

1. Parties: Identification of the lender(s) and borrower(s), including their legal status and registration details

2. Background: Context of the agreement and general purpose of the credit facility

3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the agreement and rules of interpretation

4. The Facility: Main terms of the credit facility, including type, purpose, and total amount

5. Conditions Precedent: Documents and conditions required before the facility becomes available

6. Utilization: Process and requirements for drawing down the facility

7. Interest: Interest calculation, periods, rates, and payment provisions

8. Repayment: Terms and schedule for repayment of the facility

9. Prepayment and Cancellation: Provisions for voluntary and mandatory prepayment, and facility cancellation

10. Fees: All applicable fees, including arrangement, commitment, and administration fees

11. Tax Gross Up and Indemnities: Tax-related provisions and associated indemnities

12. Representations: Borrower's representations and warranties

13. Information Undertakings: Borrower's obligations to provide financial and other information

14. General Undertakings: Borrower's general operational and financial covenants

15. Events of Default: Circumstances constituting default and consequences

16. Changes to Parties: Assignment and transfer provisions

17. Payment Mechanics: Administrative provisions regarding payments

18. Notices: Communication methods and contact details

19. Calculations and Certificates: Provisions regarding calculations and certificates

20. Governing Law and Jurisdiction: Choice of German law and jurisdiction provisions