Common use of GUARANTEE FOR BALANCE OF PURCHASE PRICE Clause in Contracts

GUARANTEE FOR BALANCE OF PURCHASE PRICE. 5.1 The Purchaser shall provide the Seller or the attorneys with a bank or other guarantee acceptable to the Seller for the payment of the balance of the purchase price. This guarantee must be provided within 10 (TEN) ordinary days of signature of this agreement or, if there are any suspensive conditions that have been included in this agreement for the benefit of the Purchaser only, within 10 (TEN) ordinary days of fulfilment of all these suspensive conditions. A bank guarantee is a letter of undertaking which South African banks are able to issue, against payment of their standard fee, if the Purchaser has enough money or a big enough loan facility at the relevant bank. 5.2 In the event that the Purchaser elects to provide the non-refundable deposit, as contemplated in clause 4.1.2, the Purchaser shall, upon written notice from the attorneys that lodgement is anticipated within 45 (forty five) days of such written notice, make payment of the balance of the purchase price to the attorneys or provide an irrevocable bank guarantee acceptable to the Seller for payment of the balance of the purchase price against registration of transfer. The anticipated lodgement date as determined by the attorneys shall be final and binding in this regard.