Waiver Agreement


Summary

This template is a basic waiver agreement executed between a borrower and its lender. It is a more formal way, than a simple letter from the bank to the borrower, to agree to waive defaults, but is far short of a forbearance agreement or an amendment. This template includes practical guidance and drafting notes. This template will generally be used in cases where the borrower is not in great distress and the default is viewed as unlikely to affect the borrower's credit. But, if the borrower is a publicly traded entity that needs defaults waived in order to receive a going concern audit from its accountants, this waiver agreement would be sufficient, though the borrower would need to ensure that the language will suffice to satisfy the accountants. See Collier Lending Institutions & Bankruptcy Code P 3.02 [2][d][i]. This template is intended as a general drafting aid and will require modification according to the circumstances. For a full listing of key content that provides an overview...