¶¶Òõ¶ÌÊÓƵ

All Countries
Investment
Negative Pledge Agreement

Negative Pledge Agreement Template for United Arab Emirates

Create a bespoke document in minutes,  or upload and review your own.

4.6 / 5
4.8 / 5

Let's create your Negative Pledge Agreement

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Get your first 2 documents free

Your data doesn't train Genie's AI

You keep IP ownership of your information

Key Requirements PROMPT example:

Negative Pledge Agreement

"I need a Negative Pledge Agreement under UAE law for a manufacturing company taking out a syndicated loan of AED 50 million, where the borrower needs to retain the ability to create security over its inventory in the ordinary course of business."

Celebrated by
Collaborations with
Investors
Document background
The Negative Pledge Agreement is a fundamental document in UAE financing transactions, commonly used alongside facility agreements and other security documents. It serves as a key protection mechanism for lenders by restricting a borrower's ability to grant security interests over its assets to other parties. The agreement is particularly relevant in unsecured lending scenarios or where full security packages are not practical or desirable. Under UAE law, while negative pledges may not provide the same level of protection as direct security interests, they form an important contractual obligation that can trigger events of default if breached. The document typically includes detailed provisions on permitted security interests, monitoring requirements, and enforcement mechanisms, all structured to comply with UAE federal laws including the Civil Code (Federal Law No. 5 of 1985) and Commercial Transactions Law (Federal Law No. 18 of 1993).
Suggested Sections

1. Parties: Identification of the parties entering into the agreement, including the debtor/grantor and the beneficiary of the negative pledge

2. Background: Context of the agreement, including reference to any related facility agreements or other financing arrangements

3. Definitions and Interpretation: Key terms used in the agreement, including 'Security Interest', 'Permitted Security', and other relevant definitions

4. Negative Pledge Covenant: Core provision containing the undertaking not to create or permit to subsist any security interest over the specified assets

5. Permitted Security: List of exceptions to the negative pledge covenant that are explicitly allowed

6. Representations and Warranties: Statements regarding the grantor's authority, capacity, and current status of assets

7. Duration: Period for which the negative pledge remains in effect

8. Events of Default: Circumstances constituting breach of the agreement

9. Remedies: Rights and remedies available to the beneficiary upon breach

10. Governing Law and Jurisdiction: Specification of UAE law as governing law and choice of courts

Optional Sections

1. Information Undertakings: Additional obligations to provide information about assets and potential security interests - include when dealing with significant assets or complex corporate structures

2. Further Assurance: Obligations to execute additional documents or take further steps - relevant for complex transactions or where additional security might be needed

3. Costs and Expenses: Allocation of costs related to the agreement - include when significant costs are anticipated

4. Assignment and Transfer: Provisions regarding the ability to transfer rights under the agreement - relevant for syndicated facilities

5. Power of Attorney: Grant of authority to the beneficiary to execute certain documents - include when stronger enforcement mechanisms are required

Suggested Schedules

1. Schedule 1 - Specified Assets: Detailed list of assets subject to the negative pledge, if not all assets are covered

2. Schedule 2 - Form of Compliance Certificate: Standard form for periodic confirmation of compliance with the negative pledge obligations

3. Schedule 3 - Permitted Security: Detailed list of pre-approved or permitted security interests that are excluded from the negative pledge

4. Appendix A - Notice Requirements: Specific requirements for serving notices under UAE law

5. Appendix B - Authorized Signatories: List of persons authorized to act under the agreement on behalf of each party

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓƵ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions

























Clauses






















Relevant Industries

Banking & Financial Services

Real Estate & Construction

Manufacturing & Industrial

Energy & Natural Resources

Healthcare

Technology & Telecommunications

Trading & Commercial

Infrastructure & Projects

Maritime & Shipping

Retail & Consumer Goods

Relevant Teams

Legal

Finance

Treasury

Compliance

Risk Management

Corporate Secretariat

Credit

Corporate Finance

Investment Banking

Commercial Banking

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Legal Counsel

Corporate Lawyer

Compliance Officer

Risk Manager

Credit Manager

Investment Manager

Banking Relationship Manager

Corporate Finance Manager

Financial Controller

Company Secretary

Senior Finance Executive

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Simple Security Deposit Agreement

UAE-governed agreement establishing terms for handling security deposits between landlord and tenant, including payment, deductions, and return conditions.

find out more

Security Cheque Agreement

A UAE-governed agreement establishing terms and conditions for security cheques provided as collateral for financial obligations.

find out more

Agreement For Security Cheque

UAE-governed agreement establishing terms for providing and managing security cheques as collateral for business obligations.

find out more

Security Agreement For Promissory Note

UAE-governed security agreement establishing legal rights over a promissory note as collateral, compliant with UAE Federal Commercial Law.

find out more

Pledge Agreement

UAE law-governed security document creating a pledge over assets, structured under UAE Federal Law No. 4 of 2020 and related legislation.

find out more

Data Privacy Contract

UAE-compliant data privacy agreement governing personal data processing activities and obligations under Federal Decree-Law No. 45 of 2021.

find out more

Collateral Substitution Agreement

UAE law-governed agreement enabling the replacement of existing collateral with new security assets while maintaining security effectiveness and legal compliance.

find out more

Agreement To Exclude Security Of Tenure

A UAE-compliant agreement between landlord and tenant to exclude security of tenure rights, commonly used in commercial property leasing.

find out more

Lending Agreement With Collateral

UAE-governed lending agreement establishing loan terms and security arrangements, with collateral provisions complying with UAE federal and emirate-level regulations.

find out more

Auto Security Agreement

UAE-governed security agreement establishing lender's rights over a vehicle as collateral for financing.

find out more

Loan Against Shares Agreement

UAE-governed agreement establishing terms for loans secured against shares, compliant with UAE federal banking and securities regulations.

find out more

Factoring And Security Agreement

UAE-governed agreement for the sale of receivables to a factor with associated security arrangements, providing businesses with immediate working capital financing.

find out more

Debenture Trustee Agreement

UAE-governed agreement establishing the appointment and duties of a trustee for debenture holders, compliant with UAE Federal Law and SCA regulations.

find out more

Commercial Pledge Agreement

A UAE law-governed security agreement creating a pledge over movable assets in compliance with UAE Federal Law No. 4 of 2020.

find out more

Compulsory Convertible Debentures Agreement

UAE law-governed agreement for issuing compulsory convertible debentures, establishing terms for mandatory conversion of debt to equity shares.

find out more

Account Control Agreement Collateral

UAE law-governed agreement establishing control over bank accounts as collateral security between account holder, secured party, and bank.

find out more

Personal Loan Contract With Collateral

UAE-governed agreement establishing terms for a personal loan secured by collateral, compliant with UAE Federal Laws and Central Bank regulations.

find out more

Shareholder Agreement Transfer Of Shares

UAE-governed agreement facilitating the formal transfer of shares between shareholders, ensuring compliance with local company law and regulations.

find out more

Deposit Pledge Agreement

UAE law-governed agreement creating security over bank deposits, typically used to secure financial obligations.

find out more

Security Control Agreement

UAE-governed agreement establishing security control arrangements between parties, defining control mechanisms and compliance requirements under UAE federal laws.

find out more

Key Holding Agreement

UAE-governed agreement for professional key holding services, including security protocols, access management, and emergency response procedures.

find out more

Reinsurance Security Agreement

A UAE-governed agreement establishing security arrangements between reinsurers and cedants, including security provision, maintenance, and enforcement mechanisms in compliance with UAE regulations.

find out more

Title Transfer Collateral Agreement

UAE-governed agreement for temporary transfer of collateral ownership between parties as security for financial obligations, compliant with UAE banking and civil law requirements.

find out more

Third Party Pledge Agreement

UAE law-governed agreement creating a third-party pledge over assets as security for another party's obligations.

find out more

Stock Pledge Agreement

UAE law-governed agreement creating a security interest over company shares as collateral for financial obligations.

find out more

Security Account Control Agreement

A UAE-law governed agreement establishing control over bank accounts as collateral security between an account holder, secured party, and account bank.

find out more

Collateral Security Agreement

UAE law-governed agreement creating security interests over assets to secure specified obligations, complying with local security and enforcement regulations.

find out more

Receivables Pledge Agreement

UAE law-governed security agreement creating a pledge over receivables under Federal Law No. 4 of 2020.

find out more

Collateral Sharing Agreement

A UAE law-governed agreement establishing the framework for multiple creditors to share and manage security interests over collateral assets.

find out more

Promissory Note And Security Agreement

A UAE-governed document combining a promise to pay with collateral security arrangements, compliant with UAE Commercial Transactions Law and Pledge Law requirements.

find out more

Convertible Note Agreement

UAE-governed agreement for convertible debt investment that can transform into equity shares, detailing loan terms and conversion mechanisms while ensuring UAE regulatory compliance.

find out more

Third Party Security Agreement

UAE law-governed security agreement where a third party provides security for another party's obligations to a secured creditor.

find out more

Property Collateral Agreement

UAE-governed agreement creating security interest over real property as collateral for financial obligations, compliant with UAE Civil Code and emirate-specific property laws.

find out more

Agreement For Security Deposit

UAE-governed agreement establishing terms for holding, managing, and returning a security deposit, compliant with UAE Federal Laws and emirate-level regulations.

find out more

Master Repurchase Agreement

A UAE law-governed framework agreement for repurchase transactions between financial institutions, incorporating local regulatory requirements and market practices.

find out more

Personal Guarantee Promissory Note

A UAE-governed financial instrument combining a promissory note with a personal guarantee, creating direct payment obligations for the guarantor under UAE Commercial and Civil Laws.

find out more

Asset Pledge Agreement

A UAE law-governed agreement creating a security interest over assets through a pledge arrangement, establishing rights and obligations between pledgor and pledgee.

find out more

Warrant Purchase Agreement

A UAE-law governed agreement for the purchase of warrants, establishing terms for future share acquisition rights in compliance with UAE securities regulations.

find out more

Intercreditor Agreement

UAE law-governed agreement establishing priorities and relationships between multiple creditors in a financing arrangement.

find out more

Overnight Reverse Repurchase Agreement

UAE-governed agreement for overnight reverse repurchase transactions, compliant with UAE Federal Law and Central Bank regulations.

find out more

Film Investment Contract

UAE-governed agreement establishing terms for film production investment, including rights, obligations, and revenue sharing mechanisms.

find out more

Collateral Trust Agreement

A UAE law-governed agreement establishing a trust arrangement for holding and managing collateral security on behalf of secured creditors, compliant with UAE Federal laws and banking regulations.

find out more

Convertible Debt Agreement

A UAE law-governed agreement establishing terms for debt financing that can be converted to equity shares, detailing loan terms, conversion rights, and regulatory compliance requirements.

find out more

Security Sharing Agreement

UAE-governed agreement establishing protocols for sharing security-related information between parties while ensuring compliance with local data protection and cybersecurity laws.

find out more

Reverse Repurchase Agreement

UAE-governed agreement for reverse repurchase transactions between financial institutions, outlining securities transfer and repurchase terms under UAE federal and central bank regulations.

find out more

Contract Of Sale Of Shares

UAE-governed agreement for the sale and transfer of shares between parties, compliant with UAE Commercial Companies Law and related regulations.

find out more

Negative Pledge Agreement

A UAE law-governed agreement where a borrower commits not to create security interests over its assets in favor of third parties, protecting the lender's position.

find out more

Security Lending Agreement

UAE-governed agreement for securities lending transactions, establishing terms for temporary securities transfers against collateral under UAE financial regulations.

find out more

Deposit Control Agreement

A UAE-law governed agreement establishing control over deposit accounts between an account holder, bank, and secured party, enabling perfection of security interests in deposit accounts.

find out more

Convertible Bond Agreement

UAE-governed agreement establishing terms for issuing convertible bonds, including conversion rights and compliance with local securities regulations.

find out more

General Security Agreement

UAE law-governed security agreement creating security interests over assets, compliant with UAE Federal Laws and local security registration requirements.

find out more

Download our whitepaper on the future of AI in Legal

By providing your email address you are consenting to our Privacy Notice.
Thank you for downloading our whitepaper. This should arrive in your inbox shortly. In the meantime, why not jump straight to a section that interests you here: /our-research
Oops! Something went wrong while submitting the form.

³Ò±ð²Ô¾±±ð’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; ³Ò±ð²Ô¾±±ð’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

Our bank-grade security infrastructure undergoes regular external audits

We are ISO27001 certified, so your data is secure

Organizational security

You retain IP ownership of your documents

You have full control over your data and who gets to see it

Innovation in privacy:

Genie partnered with the Computational Privacy Department at Imperial College London

Together, we ran a £1 million research project on privacy and anonymity in legal contracts

Want to know more?

Visit our for more details and real-time security updates.

Read our Privacy Policy.