A memorandum of agreement (MOA) is a legal document that outlines the terms and conditions of a transaction between two or more parties. In the case of payment of debt, a sample memorandum of agreement can be used to ensure that both the debtor and the creditor are on the same page regarding the amount owed, payment terms, and any other relevant details.
Here is a sample memorandum of agreement for payment of debt:
MEMORANDUM OF AGREEMENT FOR PAYMENT OF DEBT
This Memorandum of Agreement (this “Agreement”) is made and entered into by and between [Debtor], [address], (“Debtor”), and [Creditor], [address], (“Creditor”).
WHEREAS, Debtor owes Creditor the sum of [amount owed], which was incurred on [date incurred];
WHEREAS, Debtor has agreed to pay the debt in full, and Creditor has agreed to accept such payment on the terms and conditions set forth herein;
NOW, THEREFORE, the parties agree as follows:
1. Payment of Debt. Debtor shall pay Creditor the sum of [amount owed], plus interest, in [number] installments as set forth below:
– Installment 1: [date], [amount];
– Installment 2: [date], [amount];
– Installment 3: [date], [amount];
– Installment 4: [date], [amount];
– Installment 5: [date], [amount].
2. Late Payment. If Debtor fails to pay any installment on the due date, a late fee of [amount] shall be added to the amount due.
3. Default. If Debtor defaults on any of the installments, the entire remaining balance shall be due and payable immediately.
4. No Waiver. The failure of either party to enforce any provision of this Agreement shall not be deemed a waiver of such provision or the right of such party thereafter to enforce such provision.
5. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of [state], without regard to its conflict of law provisions.
6. Entire Agreement. This Agreement constitutes the entire agreement between the parties and supersedes all prior negotiations, understandings, and agreements between the parties.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.
Using a sample memorandum of agreement for payment of debt can help ensure that all parties involved understand their rights and obligations, and can help avoid disputes or confusion in the future. As with any legal document, it is important to consult with a legal professional to ensure that the terms and conditions are appropriate for your specific situation.