Posted on April 8, 2021
A debt transfer and acquisition agreement is a very simple document in which one party rejects its debts to another party and the other party agrees to accept that debt. The party rejecting the debt is the original debtor; they are called Assignor. The party who accepts the debts is the new debtor; they are designated as agents. If this document is completed, it must be printed, signed by the assignee and the lender, and then signed by the agent before a notary. It is important to make the signature of the notarized agent, because it is the party that pays the debt. It is also different from a debt credit, because there the original debtor simply signs a document in which his debts are recognized. This document is different from a debt repayment agreement, where the original debtor has repaid all debts and is now free and clear. The debts are still there, but they are due only to the creditor by another party. Debt and acquisition agreements are generally covered by the law of the state in which the debt was originally born. This document is extremely short and precise. It contains only the identities of the parties, the terms of the debt, the amount of the debt and the signatures. It is automatically filled with some important contractual conditions to make it a complete agreement.
Other names for the document: debt transfer agreement, debt management agreement, disposal and recovery of debts, resumption and disposal of a debt agreement, debt disposal agreement.