Pledge of shares in a Cyprus company is a systematic way of granting security in commercial transactions. Outside court jurisdiction, the security can be used as collateral and be enforced. The pledge creates an assurance to the creditors, until the debtor fulfils the obligations of the contract. The Creditors are responsible for making sure that the pledge agreements and the deliverables agree with the Law.
Charges against the pledgor are created. A pledge share charge usually implies that the creditor doesn’t obtain ownership of the merchandise. Instead, the pledge share gives the chargee the right to claim repayment of the debt. In the case of a default, the charge has the right to assume possession of the assets and sell it in order to recover the debt still owed to them.
Party that is owed money.
A company that owes money.
Someone who takes a pledge.
If the enforcement of pledge is necessary, the process that does not include judiciary enforcement is to implement the documents that were agreed upon when making the deal. This is valid as long as there has been reasonable notice given.
The pledgee has the right to sell the shares and keep the amount that they are owed, if the pledger defaults on their obligations. When the creditor is selling the shares, he has an obligation to act in good faith and get the best possible price.
A pledge share is a way of granting security in commercial transactions.
This security can be enforced outside the courts.
The charges are created against the pledgor.
A pledge share charge usually implies that the creditor doesn’t obtain ownership of the merchandise.
The first thing to do is to implement the documents that were agreed upon when making the deal.
The pledgee could always utilize their right to sell the shares and keep the amount that they are owed, if the pledger defaults on their obligations.
To form a company in Cyprus is very easy process.
Normally, it takes around 5-7 business days, however, if an already approved name has been chosen by our client it could take up to 3-4 business days.
We at MARICORP hold over 10-15 approved Cyprus Company names at any given point.
For this process you will need the below documents to apply with:
P.O. BOx 42656, P.C. 6501, 6043
Larnaca – Cyprus
Tel: +357 24663402 , Fax: +357 24663409
E-mail: admin@cyprusconsultancy.com