Equity Sharing Note and Trust Deed
Equity Sharing Note and Trust Deed
This Deed is made effective as of the 20th day of January 2050, by and between [Your Name] ("Grantor"), whose mailing address is [Your Address], and [Grantee's Name] ("Grantee"), whose mailing address is [Grantee’s Address]. This document outlines the terms under which the Grantor and Grantee enter into an equity-sharing arrangement regarding the property and interests specified herein.
I. Definitions
The following terms used in this Deed are defined as follows:
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Property: The real property located at [Property Address], which is subject to this equity sharing agreement.
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Equity Share: Refers to the ownership interest both parties hold, proportional to their respective investments in the Property.
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Co-ownership Agreement: Specifies the detailed responsibilities, rights, and liabilities of each party concerning the Property.
II. Declaration of Trust
This section of the document proclaims that both parties involved, acting in their capacities as trustees, are holding the Property in a trust arrangement and that such holding is subject to adherence to the terms and conditions outlined within this Deed.
A. Trust Formation
The Grantor hereby transfers and conveys to the Grantee a beneficiary interest in the Property, under the terms outlined in this Deed to hold the Property in equity share.
B. Beneficiary Rights
The Grantee, as a beneficiary of this trust, shall have the right to:
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Receive distributable proceeds from the equity based on their ownership percentage.
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Participate in decisions regarding the sale, lease, or mortgaging of the Property.
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Inspect or view the Property at reasonable times, subject to the terms agreed upon in the Co-ownership Agreement.
III. Equity Sharing Agreement
3.1 Ownership Percentage
The Grantor and the Grantee agree to jointly own the property located at [Property Address] with an equity-sharing arrangement as follows:
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Grantor: [Percentage]%
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Grantee: [Percentage]%
3.2 Responsibilities
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The Grantor shall be responsible for maintaining the property and paying property taxes.
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The Grantee shall be responsible for making mortgage payments and insurance premiums.
3.3 Rights
Both parties shall have equal rights to use and occupy the property.
IV. Term of Deed
This Deed shall become effective on the date initially indicated above, and its effectiveness shall persist until it is terminated by a mutual agreement between the involved parties or by the sale of the Property.
V. Miscellaneous
This section encompasses and elaborates on additional terms and conditions that are pertinent and applicable to this Deed.
A. Governing Law
This Deed shall be governed by and construed following the laws of the State of [State].
B. Dispute Resolution
Any disagreements or conflicts that emerge from or are associated with this Deed will first be addressed through the process of mediation. Should mediation fail to resolve the issue, the dispute will subsequently be subjected to arbitration, which shall be legally binding.
C. Termination
This arrangement for sharing equity shall come to an end either when both the Grantor and the Grantee mutually agree to terminate it or when the property involved in this agreement is sold.
D. Amendments
No modification or alteration to this Deed will be considered legally binding or effective unless such modification or alteration is explicitly documented in written form and duly signed by both parties involved.
E. Notices
All notices or other communications required or permitted hereunder shall be in writing and delivered personally or dispatched by certified mail to the addresses mentioned at the beginning of this document.
VI. Signatures
IN WITNESS WHEREOF, the parties hereto have executed this Deed as of the date first above written.
Grantor:
[Your Name]
[Date Signed]
Grantee:
[Grantee Name]
[Date Signed]
IX. Witnesses
This Deed is witnessed and signed on the day and the year first above written.
[Witness 1 Name]
[Witness 2 Name]
NOTARIZATION:
State of [State], County of [County]
On this 20th of January 2050, before me, a Notary Public in and for said county and state personally appeared [Your Name] and [Grantee Name], known to me to be the persons whose names are subscribed to the foregoing instrument, and acknowledged that they executed the same for the purposes therein contained.
[Notary Public Name]
Notary Public in and for [State]
My Commission Expires: [Expiration Date]
