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Deposit Account Control Agreement
"I need a Deposit Account Control Agreement governed by Saudi law for a project finance transaction closing on March 15, 2025, covering multiple USD and SAR accounts with electronic access provisions and enhanced Shariah compliance requirements."
1. Parties: Identifies the three main parties: Account Holder, Secured Party, and Depository Bank
2. Background: Explains the context of the agreement, including reference to the underlying security agreement
3. Definitions: Defines key terms including Deposit Account, Control Notice, Instructions, Business Day, and other relevant terms
4. Account Control: Details the mechanism of control over the deposit account and the rights of the secured party
5. Bank's Rights and Responsibilities: Outlines the obligations and rights of the depository bank, including compliance with instructions
6. Representations and Warranties: Contains statements of fact and assurances from all parties
7. Instructions and Notices: Specifies procedures for giving instructions regarding the account and sending notices
8. Fees and Expenses: Details the fees payable to the bank and allocation of expenses
9. Indemnification: Covers the indemnification obligations of the parties
10. Term and Termination: Specifies the duration of the agreement and termination procedures
11. Governing Law and Jurisdiction: Specifies Saudi law as governing law and jurisdiction for disputes
12. General Provisions: Standard boilerplate provisions including amendments, assignments, and severability
1. Shariah Compliance: Additional section specifically addressing Shariah compliance requirements, used when the agreement needs explicit Shariah compliance provisions
2. Electronic Access: Details provisions for electronic access to account information, used when online banking access is part of the arrangement
3. Multiple Accounts: Additional provisions for handling multiple deposit accounts, used when the agreement covers more than one account
4. Foreign Currency Provisions: Specific provisions for handling foreign currency accounts, used when non-SAR accounts are involved
5. Regulatory Compliance: Additional regulatory compliance provisions, used when specific regulatory requirements need to be addressed
1. Schedule 1 - Deposit Account Details: Lists all deposit accounts covered by the agreement, including account numbers and types
2. Schedule 2 - Authorized Persons: Lists individuals authorized to give instructions on behalf of the secured party
3. Schedule 3 - Fee Schedule: Details of all fees payable to the bank under the agreement
4. Schedule 4 - Form of Notice: Standard forms for various notices required under the agreement
5. Appendix A - Operating Procedures: Detailed procedures for account operation and instruction processing
6. Appendix B - Shariah Structure: Details of the Shariah-compliant structure and relevant fatwa, if applicable
Authors
Banking
Financial Services
Islamic Finance
Corporate Finance
Investment Banking
Commercial Banking
Asset Management
Private Equity
Manufacturing
Real Estate
Infrastructure
Energy
Legal
Finance
Treasury
Compliance
Risk Management
Corporate Banking
Islamic Banking
Transaction Banking
Credit Risk
Operations
Chief Financial Officer
Treasury Manager
Finance Director
Legal Counsel
Compliance Officer
Banking Relationship Manager
Security Trustee
Credit Risk Manager
Corporate Finance Manager
Islamic Finance Specialist
Account Manager
Transaction Banking Manager
Senior Legal Counsel
Finance Operations Manager
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