Common use of Guarantee Scope Clause in Contracts

Guarantee Scope. The guarantee scope of mortgage covers all credit balances arising within the mortgage valve period of validity and under the mortgage maximum principal limit ( including but not limited to the principal, interest, penalty rate, compound interest, penalty, damage indemnity and expenses for the mortgager’s realization of claims, etc.). The credits of the mortgage guarantee at maximum amount which existed before establishing the maximum amount hypothec and carried forward into the contract upon the approval of the mortgager. Regardless of various guarantees (including mortgage, hypothecation and warranty) under the items of the main contract, the mortgage shall guarantee for the debt above by all guaranties hereof. In case that the mortgage registration authority requires to make the guaranty guarantee partial debts of the main contract, the requisition has no legal efficacy to the mortgager and the mortgagee and will not be deemed as modification to the agreed scope of mortgage guarantee in the contract.