Debt Assumption Agreement Definition

In the wake of the crisis, debt recovery contracts are concluded on a certain frequency and their importance is necessary to know the legal consequences. When mortgaged property is transferred to another person, the new owner takes over the mortgage through an acceptance agreement and the mortgage holder accepts the acceptance. In return for the sale and assumption of the ceding company`s debts and liabilities, the assignors issue 3,333,333 shares of The Common Shares of Transferors (the shares) pursuant to a share purchase agreement, dated to the date of this agreement, by and under the assignor and the assignor (sale contract). The new debtor may object to the exceptions of the debt itself (for example. (B) and those based on the assumption that there is its own business and the personal character (such compensation) between him and the creditor, but do not refer to the mere person who had the original debtor. The acceptance was to be expressed by the Asuntor (STS of 14 November 1990). And it is imperative that the creditor expressly consent, without admitting or assuming tacit acceptance (STS April 25, 1975). If the assumption of the debts is accepted when the new debtor becomes insolvent, the creditor does not authorize the creditor to act against the former debtor, except in the case of section 1.206 C.C or if there is a cumulative presumption. A debt transfer and acquisition agreement is a very simple document in which one party rejects its debts to another party and the other party agrees to accept that debt. The party rejecting the debt is the original debtor; they are called Assignor.

The party who accepts the debts is the new debtor; they are designated as agents. It is also different from a debt credit, because there the original debtor simply signs a document in which his debts are recognized. The action resulting from the assumption of debts imposed for some fifteen years under Article 1.964 of Convention C.C. This agreement represents the entire agreement and agreement between the parties and replaces all previous agreements and agreements between the parties with respect to the purpose of this agreement.

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