When a mutual aid policyholder temporarily needs business funds, the Organization lends a temporary loan to the mutual aid policyholder at its request; provided, however, that this does not apply where the amount of the temporary loan to be lent is small and does not reach the amount specified by Order of the Ministry of Economy, Trade and Industry.
The loan amount of the temporary loan under the preceding paragraph is limited to the amount specified by Order of the Ministry of Economy, Trade and Industry, within the range of the amount of the cancellation refund that would be payable on the assumption that the mutual aid contract had been cancelled at the time of the request.
Interest is to be charged on a temporary loan at a rate specified by Order of the Ministry of Economy, Trade and Industry, taking into consideration the expenses necessary for the lending, and the repayment period is to be a period specified by Order of the Ministry of Economy, Trade and Industry within a period not exceeding two years.
一時貸付金には貸付けに関し必要な経費を勘案して経済産業省令で定める率により利子を付し、その償還期間は、二年を超えない範囲内において経済産業省令で定める期間とする。
The Organization is not to require security (including a guarantee by a guarantor) to be provided for the lending of a temporary loan.
Where a person who has received a temporary loan has not repaid the temporary loan by the repayment date, the Organization may have that person pay a penalty, within the amount calculated on the overdue amount at the rate of 14.6 percent per annum for the number of days from the day following the repayment date to the day preceding the date of repayment.
The provisions of paragraph (5) of the preceding Article apply mutatis mutandis where, after a period specified by Order of the Ministry of Economy, Trade and Industry has elapsed from the repayment date of a temporary loan, there are still temporary loans to be repaid or interest or penalties to be paid.
Read this with the articles around it
mutual aid contractmachine translation
「共済契約」
A contract under which a small and medium-sized enterprise (中小企業者) promises to pay premiums (掛金) to the Organization for Small and Medium Enterprises and Regional Innovation, JAPAN (独立行政法人中小企業基盤整備機構), and the Organization promises that, if a business operator it trades with goes bankrupt (倒産), it will lend it a mutual aid benefit (共済金) as the Act on Mutual Relief System for the Prevention of Bankruptcies of Small and Medium-sized Enterprises provides.
Defined inArticle 2, paragraph (2)· applies throughout the law
the Organizationmachine translation
「機構」
The Organization for Small and Medium Enterprises and Regional Innovation, JAPAN (独立行政法人中小企業基盤整備機構), an incorporated administrative agency, with which small and medium-sized enterprises (中小企業者) conclude mutual aid contracts (共済契約) and which lends them mutual aid benefits (共済金).
Short name set inArticle 2, paragraph (2)
mutual aid policyholdermachine translation
「共済契約者」
The party to a mutual aid contract (共済契約) other than the Organization for Small and Medium Enterprises and Regional Innovation, JAPAN (独立行政法人中小企業基盤整備機構): the business that pays the premiums (掛金).
Defined inArticle 2, paragraph (3)· applies throughout the law
temporary loanmachine translation
「一時貸付金」
Money the Organization for Small and Medium Enterprises and Regional Innovation, JAPAN (独立行政法人中小企業基盤整備機構) lends under Article 10-2, paragraph (1) to a mutual aid policyholder (共済契約者) who needs business funds for a temporary purpose.
Defined inArticle 2, paragraph (5)· applies throughout the law
cancellation refundmachine translation
「解約手当金」
The refund the Organization for Small and Medium Enterprises and Regional Innovation, JAPAN (独立行政法人中小企業基盤整備機構) pays under Article 11, paragraph (1) when a mutual aid contract (共済契約) is cancelled, where premiums (掛金) have been paid for 12 months or more.
Defined inArticle 2, paragraph (6)· applies throughout the law
cancellation
解除
Ending a contract by one party's notice to the other, where the contract or the law gives that party a right to cancel (Civil Code, Article 540, paragraph (1)). The Civil Code lets a party cancel for the other's failure to perform: after a demand to perform within a reasonable time that is not met, unless what is still missing is minor (Article 541), or at once where performance has become wholly impossible, or the other party has clearly refused to perform, among other cases where performance clearly will not come (Article 542, paragraph (1)). On cancellation each party must put the other back in the position before the contract, and damages can still be claimed (Article 545, paragraphs (1) and (4)); a lease, though, ends only from then on (Article 620). Cancellation differs from rescission (取消し), after which the act is treated as void from the start (Article 121).
Written by AI using Civil Code, Arts. 121, 540, 541, 542, 545, 620 as a reference.