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Intercompany Subordination Agreement
"I need an Intercompany Subordination Agreement for our Singapore-based tech group with three subsidiaries, where the parent company's debt should take priority over all subsidiary debts, to be effective from March 2025."
1. Parties: Identification of all participating companies and their roles (Senior Creditors, Subordinated Creditors, Debtor)
2. Background: Context of the subordination arrangement and existing debt relationships
3. Definitions: Key terms including Senior Debt, Subordinated Debt, Enforcement Action, etc.
4. Subordination: Core provisions establishing the subordination arrangement
5. Turnover Provisions: Requirements for subordinated creditors to turn over received payments
6. Payment Restrictions: Limitations on payments to subordinated creditors
7. Enforcement Restrictions: Limitations on enforcement actions by subordinated creditors
1. Security Provisions: Additional provisions required when any of the debt is secured
2. Intercreditor Provisions: Additional provisions governing relationships between multiple creditors when multiple classes of creditors are involved
3. Cross-Border Provisions: Provisions dealing with foreign law aspects when parties or assets are in multiple jurisdictions
1. Form of Accession Deed: Template for additional parties to join the agreement
2. Details of Existing Debt: Schedule listing all relevant existing debt arrangements
3. Form of Payment Blockage Notice: Template for notifying payment restrictions
4. Security Documents: List of relevant security documents if secured debt is involved
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