Share Pledge Agreement Secures a loan with company shares, specifying the number and type of shares pledged as collateral, conditions for release, and default consequences.
Pledgor hereby pledges, transfers, and assigns to Lender 10,000 common shares, representing approximately 5% of the total outstanding common shares of Innovative Tech Solutions, Inc., a corporation organized under the laws of the State of [STATE] (the "Company") and registered with the Securities and Exchange Commission (the "Pledged Shares"), as security for the prompt and complete payment and performance of all obligations of Pledgor under a certain loan agreement (the "Loan Agreement") entered into between Pledgor and Lender, and all extensions, renewals, and modifications thereof. The Pledged Shares shall constitute collateral (the "Collateral") securing the repayment of the loan made by Lender to Pledgor pursuant to the Loan Agreement (the "Loan").
Pledgor shall promptly deliver to Lender the original stock certificates representing the Pledged Shares, endorsed in blank or accompanied by duly executed stock powers, and any other necessary instruments of transfer, all in form and substance satisfactory to Lender.
3.1. Title and Authority
Pledgor represents and warrants that Pledgor has good and marketable title to the Pledged Shares, free and clear of any lien, security interest, or encumbrance, and that Pledgor has the right and authority to grant the security interest contemplated herein. Pledgor further represents and warrants that the Pledged Shares are fully paid and non-assessable and do not violate any applicable laws, regulations, or agreements to which Pledgor is a party or by which Pledgor is bound.
3.2. No Consents Required
Pledgor represents and warrants that the execution, delivery, and performance of this Agreement do not require the consent or approval of any person, including without limitation the Company, and do not violate any law, regulation, or order applicable to Pledgor or Pledgor's assets.
4.1. Protection of Security Interest
Pledgor shall take all necessary steps to maintain the validity, priority, and perfection of the security interest granted pursuant to this Agreement, including but not limited to the execution and filing of any financing statements or amendments as may be reasonably requested by Lender.
4.2. Further Assurances
Pledgor shall execute and deliver such additional instruments, documents, and agreements and take such other actions as Lender may reasonably request in order to perfect, protect, or enforce the security interest created by this Agreement or give better evidence of the truth of the representations and warranties contained herein.
5.1. Rights upon Default
If Pledgor defaults on any of the obligations secured by this Agreement (a "Default"), Lender may exercise any or all rights and remedies available to a secured party under applicable law, including but not limited to the sale, transfer, or otherwise disposal of the Collateral in accordance with the Uniform Commercial Code as adopted in the State of [STATE]. Lender shall provide Pledgor with written notice of its intent to exercise any such rights or remedies.
5.2. Application of Proceeds
Any proceeds realized by Lender upon exercise of its rights and remedies under this Agreement shall be applied first to the payment of Lender's costs and expenses incurred in connection with the exercise of such rights and remedies, and then to the reduction of the obligations secured by this Agreement, with any surplus to be remitted to Pledgor. In the event the proceeds are insufficient to satisfy the secured obligations, Pledgor shall remain liable for the deficiency.
Upon the complete satisfaction of the obligations secured by this Agreement, Lender shall promptly release the Collateral and execute and deliver such documents and take such other actions as may be reasonably necessary to evidence or effectuate such release, including but not limited to the termination of any financing statements filed in connection with this Agreement.
This Agreement shall be governed by and construed in accordance with the laws of the State of [STATE], without regard to its conflicts of law principles. This Agreement constitutes the entire agreement between the parties concerning the subject matter hereof and supersedes all prior or contemporaneous negotiations, representations, or agreements, whether oral or written.
This Agreement may be amended, supplemented, or otherwise modified only by a written instrument duly executed by the parties. Any waiver, consent, or approval with respect to any breach or default or any matter or thing contained in this Agreement must be in writing and signed by the party granting such waiver or consent.
All notices, requests, consents, and other communications under this Agreement shall be in writing and shall be deemed duly given when personally delivered, when sent by email with confirmation of transmission, or three days after being deposited in the United States mail, first class, postage prepaid, and addressed to the parties at their respective addresses first set forth above or at such other address as a party may designate by notice to the other party.
Login to Create your Share Pledge Agreement now
In this Share Pledge Agreement, you will see the following sections:
Create your Share Pledge Agreement now