Legal Format | Civil Decree | Instalment Payment
Bond to Pay Decreed Amount in Instalments
Sample bond format for a judgment-debtor, surety and decree-holder where a court-decreed sum, including rent arrears where applicable, is proposed to be paid in instalments. The document should be aligned with the decree, any compromise between the parties and the order passed by the competent court.
Legal points to check before using this format
- Insert the correct suit/execution case number, decree date, court name and outstanding decretal amount.
- Record the exact number, amount and due date of each instalment and whether interest is payable.
- State the agreed consequence of default only if it is consistent with the decree, settlement and court order.
- If a surety is required, clearly identify the surety's obligation and the security, if any, accepted by the court.
- Stamp duty and execution requirements may vary by State or Union Territory; verify the locally applicable stamp law before execution.
BOND FOR PAYMENT OF DECREED AMOUNT IN INSTALMENTS
This Bond is executed at __________________ on this ___ day of __________, 20___.
BY AND BETWEEN
Mr./Ms. __________________________, son/daughter/spouse of __________________________, residing at ________________________________________________________________, hereinafter referred to as the "Debtor".
Mr./Ms. __________________________, son/daughter/spouse of __________________________, residing at ________________________________________________________________, hereinafter referred to as the "Surety".
3. Decree-Holder / Creditor:
Mr./Ms. __________________________, son/daughter/spouse of __________________________, residing at ________________________________________________________________, hereinafter referred to as the "Creditor".
Recitals
A. A decree dated ___/___/20___ was passed by the Court of __________________________ in Suit/Case No. __________________________ in favour of the Creditor and against the Debtor.
B. As on ___/___/20___, a sum of ₹__________________________ remains payable under the decree towards ______________________________________________ [for example, rent arrears / decretal amount / costs / interest, as applicable].
C. The Debtor has requested permission to discharge the outstanding decretal amount by instalments, and the Creditor has agreed to the proposed arrangement, subject to approval/orders of the competent court wherever required.
D. The Surety has agreed to secure the Debtor's obligations under this Bond to the extent and on the terms stated below.
Terms of the Bond
1. The Debtor shall pay the outstanding decretal amount of ₹__________________________ in ______ instalments as follows:
| Instalment | Amount (₹) | Due Date |
|---|---|---|
| 1 | ____________ | ____________ |
| 2 | ____________ | ____________ |
| 3 | ____________ | ____________ |
| 4 | ____________ | ____________ |
2. Payments shall be made by __________________________ [bank transfer / demand draft / deposit in court / other permitted mode] and shall be acknowledged or recorded in the manner directed by the court or agreed by the parties.
3. Interest, if any, shall be payable at the rate of ______% per annum / as directed by the court / as recorded in the compromise or consent terms. No interest rate should be inserted if inconsistent with the decree or court order.
4. If the Debtor defaults in payment of any instalment beyond the period of ______ days from its due date, the consequences shall be those stated in the decree, compromise/consent terms or court order, including any right of the Creditor to proceed for recovery of the unpaid balance in accordance with law.
5. Subject to the terms accepted or ordered by the court, the Debtor and the Surety agree to be jointly and severally responsible for the secured obligation to the following extent: ________________________________________________________________________________.
6. The security furnished by the Surety, if any, is described as: ________________________________________________________________________________.
7. This Bond shall be read together with the decree dated ___/___/20___ and any subsequent order passed by the competent court. In the event of inconsistency, the decree and court order shall prevail.
8. The parties state that they have read and understood this Bond and have executed it voluntarily on the date and at the place stated above.
Name: __________________
Signature: ______________
Name: __________________
Signature: ______________
Name: __________________
Signature: ______________
Name: __________________
Address: ________________
Signature: ______________
Name: __________________
Address: ________________
Signature: ______________
Applicable Law in India
Order XX Rule 11, Code of Civil Procedure, 1908: where a decree is for payment of money, the court may at the time of passing the decree permit postponement or instalment payment. After the decree, the court may, on the judgment-debtor's application and with the decree-holder's consent, permit postponed payment or instalments on terms concerning interest, security, attachment or otherwise.
Order XXI Rule 1, Code of Civil Procedure, 1908: deals with recognised modes of paying money payable under a decree. The payment method used in a settlement or bond should therefore be consistent with the decree and applicable procedural requirements.
Indian Stamp Act, 1899: section 2(5) contains the statutory definition of a "bond". However, stamp duty on an instrument can depend on the applicable State/Union Territory law and amendments. The correct stamp duty should be checked locally before the bond is signed or filed.
Official Legal Resources
This specimen is for general drafting guidance. Court practice, stamp duty, filing requirements and the wording of security or surety obligations can vary. The final document should be checked against the actual decree, consent terms and local court rules.