Substitution of Collateral and Release Consent

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									This is an agreement between a lender and a borrower that substitutes the collateral of
a separate secured loan agreement. This agreement releases the original collateral
used to secure the agreement and substitutes new property that will be used as
collateral. This agreement can be used by individuals or entities that are parties to a
secured loan agreement and want to change the collateral they use to secure the
agreement.
                            Substitution of Collateral and Release

This Substitution of Collateral and Release (this "Substitution") is made and entered into
as of ___________________ [month] ___________________ [day],
___________________ [year], between ___________________ name], ("Owner"), with
principal offices at ___________________ [address], and ___________________
[name] ("Secured Entity"), with principal offices at ___________________ [address].

NOW, THEREFORE, for and in consideration of the premises the parties agree as
follows:

Owner is indebted to SECURED ENTITY in the original amount of
___________________ dollars ($_________________) pursuant to a note dated,
____________, 20__. The present principal balance as of ____________, 20__, is
___________________ dollars ($_________________). Owner has pledged as security
the following property:

______________________________________________________________________

The Owner has requested that SECURED ENTITY release such property as collateral
for the obligation, but, that ______________________________________ [insert
description of substitute collateral] be pledged as new collateral for the obligation.

Consequently, SECURED ENTITY releases
______________________________________ as collateral for the obligation, and upon
request of the Owner shall execute such releases and all other necessary documents
reasonably requested by the owner to perform this agreement.

In all respects the new collateral property,
______________________________________, is subject to the same terms and
conditions of the security agreement between the parties dated ____________, 20__.
All other terms and conditions of the note and security agreement shall remain in full
force and effect.

____________, 20__

OWNER
___________________________________________
Print Name: _________________________________



SECURED ENTITY
___________________________________________
Print Name: _________________________________
                   Substitution of Collateral and Release Consent


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                                                 Check List

The check list is provided to inform you about this document in question and assist you
in its preparation. This substitution of collateral document is a standard form to replace
collateral due to a need by the debtor to sell the collateral.

    1. Make multiple copies.
    2. Give one copy to each party.
    3. Keep copies in the related files.




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