|Performance Bond Draft Wording|
Specimen Performance Bond
(in words xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx)
We have been informed that you concluded on xxxxxxxxxxxxxxxxxxx a contract xxxxxxxxxxxxxxxxxxx with xxxxxxxxxxxxxxxxxxx for at a total price of xxxxxxxxxx. According to this contract, are required to provide you with a performance bond.
This being stated, we, Bank Name xxxxxxxxxxxxxxxxxxx, irrespective of the validity and the legal effects of the above mentioned contract and waiving all rights of objection and defense arising there from, hereby irrevocably undertake to pay to you, upon your first demand, any amount up to the above mentioned maximum amount, upon receipt of your duly signed request for payment stating that xxxxxxxxxxxxxxxxxxx have failed to fulfill their contractual obligations.
For the purpose of identification your request for payment must bear or be accompanied by a signed confirmation of one of our correspondent banks stating that the latter has verified your signature(s) appearing on the said request for payment.
Your claim is also acceptable if transmitted to us in full by duly encoded Telex/SWIFT through one of our correspondent banks confirming that your original claim has been forwarded to us by registered mail or courier service and that the said bank has verified your signature(s) appearing thereon.
Our guarantee is valid until xxxxxxxxxxxxxxxxxxx and expires in full and automatically, should your written request for payment or Telex/SWIFT not be in our possession at our above address on or before that date, regardless of such date being a banking day or not.
Our guarantee will be reduced by each payment made by us as a result of a claim.
This guarantee is governed by Swiss law, place of jurisdiction and performance is xxxxxxxxxxxxxxxxxxx.