Pari Passu Agreement

This Pari Passu Agreement is between a borrower and two lenders who agree to share equal seniority in regard to security given by the borrower. This agreement sets out the names of the lender, joint lender and borrower, as well as the type of agreements, their dates and the amount of loan secured by each agreement. It is imperative that this type of agreement be memorialized in writing. A written Pari Passu Agreement will be invaluable in the event of miscommunication or disagreements between the parties surrounding the loan agreements. (continued ...)