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Supplemental Loan Agreement for Australia

Supplemental Loan Agreement Template for Australia

A Supplemental Loan Agreement is a formal legal document used under Australian law to modify, amend, or supplement the terms of an existing loan agreement. It maintains the core structure of the original agreement while incorporating specific changes to terms such as interest rates, repayment schedules, security arrangements, or other key provisions. The document must comply with Australian financial services regulations, including the National Consumer Credit Protection Act 2009 (Cth) and related legislation, while ensuring all modifications are clearly documented and legally enforceable.

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What is a Supplemental Loan Agreement?

The Supplemental Loan Agreement is utilized when parties need to modify an existing loan arrangement without completely restating the entire agreement. It's commonly used in situations where there are changes to financial terms, extension of facilities, addition of new parties, or modifications to security arrangements. This document type is particularly relevant in the Australian financial services sector, where it must comply with federal legislation including the National Consumer Credit Protection Act and ASIC requirements. The agreement typically includes detailed references to the original loan agreement, specific amendments being made, and confirmations of which original terms remain unchanged. It's essential for maintaining clear documentation of lending arrangements while avoiding the need to execute entirely new agreements.

What sections should be included in a Supplemental Loan Agreement?

1. Parties: Identification of all parties to the supplemental agreement (must match original agreement parties unless permitted transfers have occurred)

2. Background: Recitals explaining the original loan agreement, reason for supplemental agreement, and current status

3. Definitions: Key terms used in the agreement, incorporating definitions from original agreement and adding new ones specific to supplemental terms

4. Interpretation: Rules for interpreting the agreement and its relationship with the original loan agreement

5. Amendment Provisions: Specific modifications to the original loan agreement, clearly identifying clauses being amended, deleted, or added

6. Confirmation of Other Terms: Confirmation that all other terms of the original agreement remain in full force and effect

7. Conditions Precedent: Any conditions that must be satisfied before the supplemental agreement becomes effective

8. Representations and Warranties: Updated or additional representations and warranties as of the supplemental agreement date

9. Costs and Expenses: Allocation of costs related to the preparation and execution of the supplemental agreement

10. Governing Law and Jurisdiction: Confirmation of governing law and jurisdiction (typically matching original agreement)

What sections are optional to include in a Supplemental Loan Agreement?

1. Security Confirmation: Required if original agreement includes security arrangements that need to be confirmed or modified

2. Additional Guarantees: Include if new guarantees are being added as part of the supplemental agreement

3. Financial Covenants Amendments: Include if modifying any financial covenants from the original agreement

4. Interest Rate Modifications: Required if changes to interest rate or calculation methodology are being made

5. Payment Terms Amendments: Include if modifying repayment schedule or payment terms

6. Events of Default Modifications: Include if changing or adding to the events of default

7. Change in Parties: Required if there are any transfers, assignments, or additions of parties

What schedules should be included in a Supplemental Loan Agreement?

1. Schedule 1 - Amended and Restated Terms: Comprehensive list of all amended terms showing original and new versions

2. Schedule 2 - Modified Repayment Schedule: Updated repayment schedule if payment terms are modified

3. Schedule 3 - Conditions Precedent Documents: List of documents and conditions required before effectiveness

4. Schedule 4 - Amended Facility Limits: Details of any changes to facility amounts or limits

5. Appendix A - Form of Effective Date Certificate: Template certificate confirming satisfaction of conditions precedent

6. Appendix B - Modified Security Documents: Copies or details of any amended security documentation

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Australia

Publisher

Ƶ

Document Type

Loan Agreement

Sector

Cost

Free to use
Relevant legal definitions



















































Clauses






























Relevant Industries

Banking & Financial Services

Real Estate & Property

Infrastructure & Construction

Mining & Resources

Manufacturing

Retail & Consumer

Healthcare

Technology & Telecommunications

Agriculture

Energy & Utilities

Transport & Logistics

Relevant Teams

Legal

Finance

Treasury

Compliance

Risk Management

Corporate Banking

Credit Administration

Company Secretariat

Commercial Operations

Transaction Management

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Legal Counsel

Corporate Lawyer

Compliance Officer

Credit Manager

Relationship Manager

Risk Manager

Commercial Director

Company Secretary

Financial Controller

Debt Finance Manager

Senior Loan Officer

Transaction Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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