Document background
The Loan Agreement Amendment is a crucial document used when parties to an existing Canadian loan agreement need to modify its terms. This document type is commonly required when circumstances necessitate changes to financial terms, extension of maturity dates, modification of covenants, or other material changes to the original agreement. It must comply with Canadian federal legislation, including the Interest Act and Bank Act, as well as relevant provincial laws governing contracts and secured transactions. The amendment ensures legal continuity of the loan while implementing agreed changes, and typically includes provisions for conditions precedent, representations and warranties, and necessary third-party consents. This document is particularly important in the current economic climate where loan restructuring and modifications are common business practices.
