fbpx
Size of letters 1x
Site color
Image
Additionally
Line height
Letter spacing
Font
Embedded items (videos, maps, etc.)
 

Surety agreement for sale & purchase of participatory interests

15/ 09/ 2023
  The new Client filed to Interlegal quite an interesting request in the framework of its deed. The Client was selling its participatory interests in Ukrainian and foreign entities in favor of a large group of companies. At the stage of closing the deal, it had doubts concerning provisions of surety agreement (in the form of deed) governed by English law. Based on English law, agreements in the form of deed may apply in cases when one party provided particular guarantees or obligations (e.g. not to commit certain actions or not to exercise its individual rights etc.) but does not expect any remedies or considerations from the other party. Agreements in the form of deed prescribe, in particular, the larger limitation period (12 years) for filing claims or lawsuits upon violation of provisions (under the English law, basic limitation period under effective agreements makes up 6 years). Interlegal experts promptly analyzed structure and terms & conditions of sale & purchase contract jointly with enclosed transaction documents. Having fully understood the situation, guided by our Client’s interests, Interlegal lawyers developed and proposed amendments to surety agreement, as well as provided legal support to the Client during negotiations with the counterparty upon proposed amendments and provided legal advice upon signing the final wording. As the result the parties entered into surety agreement (in the form of deed) governed by English law and on the terms acceptable for both counterparties. Interlegal partner & corporate lawyer Irina Voyevodina and lawyer Dmytro Bondar led the case.

The new Client filed to Interlegal quite an interesting request in the framework of its deed. The Client was selling its participatory interests in Ukrainian and foreign entities in favor of a large group of companies. At the stage of closing the deal, it had doubts concerning provisions of surety agreement (in the form of deed) governed by English law.

Based on English law, agreements in the form of deed may apply in cases when one party provided particular guarantees or obligations (e.g. not to commit certain actions or not to exercise its individual rights etc.) but does not expect any remedies or considerations from the other party. Agreements in the form of deed prescribe, in particular, the larger limitation period (12 years) for filing claims or lawsuits upon violation of provisions (under the English law, basic limitation period under effective agreements makes up 6 years).

Interlegal experts promptly analyzed structure and terms & conditions of sale & purchase contract jointly with enclosed transaction documents. Having fully understood the situation, guided by our Client’s interests, Interlegal lawyers developed and proposed amendments to surety agreement, as well as provided legal support to the Client during negotiations with the counterparty upon proposed amendments and provided legal advice upon signing the final wording. As the result the parties entered into surety agreement (in the form of deed) governed by English law and on the terms acceptable for both counterparties.

Interlegal partner & corporate lawyer Irina Voyevodina and lawyer Dmytro Bondar led the case.

If you have found a spelling error, please, notify us by selecting that text and pressing Ctrl+Enter.

Start
in the Telegram bot
Read articles. Share in social networks

Spelling error report

The following text will be sent to our editors: