Advance payment bond - demandAdvance payment bond - demand

Name and address of beneficiary
Guarantee No.
Amount
Date of Expiry

We are informed by * ('the Seller') that they have entered into Contract No. * dated * ("the Contract") with you for the supply of * .

In accordance with the terms thereof they are to receive an amount of * by way of an advance payment representing * % of the amount of the Contract and in this connection they are required to furnish a guarantee.

In consideration, therefore, of your paying to the Seller the amount of *, we, Danske Bank A/S T/A Danske Bank, hereby irrevocably undertake to repay up to the said sum to you despite any objection by the Seller upon receipt by us of your first demand in writing provided that such demand contains your certification that the Seller has failed to fulfil their obligations under the Contract and that the sum demanded is accordingly due and payable under this Guarantee. The signatures to such demand must be authenticated by your bankers. Such demand shall be accepted by us as conclusive evidence that the sum claimed is due under this Guarantee.

Always provided that:

  • Our liability is limited to a maximum aggregate total amount not exceeding *inclusive of any costs, expenses and taxes.
  • Our guarantee will come into force upon receipt of the amount of the advance payment in account number * held with Danske Bank A/S T/A Danske Bank * in the name of the Seller and will expire on *. Any claims hereunder must be lodged with us at our Registered Office at 3rd Floor, International House, 3 Harbourmaster Place, I.F.S.C. Dublin 1 (marked for the attention of Trade Finance, Guarantee No. *) by 17.00 hrs Dublin time on that date, when our Guarantee will become of no effect whether returned to us or not.
  • You are not entitled to rank in any insolvency of the Sellers prior to any claim of Danske Bank A/S T/A Danske Bank for any payment made to you under this Guarantee.
  • The rights and benefits arising hereunder are personal to you and may not be assigned or transferred to any third party. 
  • This Guarantee shall be governed by and construed in accordance with the law of Ireland and you agree to submit to the exclusive jurisdiction of the Courts of Ireland.

    When the guarantee expires, please return this document to us.

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