---
title: "Creditor-initiated farm debt mediation notice and exemption certificate (NSW approved forms)"
url: "https://ailawframework.com/precedents/agribusiness-and-rural-law/farm-debt-mediation-creditor-notice"
type: "precedent"
site: "AI Law Framework"
id: "a38-farm-debt-mediation-creditor-notice"
area_id: "A38"
kind: "form"
ai_level: "yellow"
version: 1
law_stated_as_at: "2026-10-17"
---

# Creditor-initiated farm debt mediation notice and exemption certificate (NSW approved forms)

> Completion guide for the NSW approved forms a creditor uses to invite a farmer to mediate and then apply for the exemption certificate it needs before any enforcement action on a farm mortgage.

Canonical page: https://ailawframework.com/precedents/agribusiness-and-rural-law/farm-debt-mediation-creditor-notice  
Law stated as at: 2026-10-17

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

- Kind: Form. A form to complete, or a guide to completing an official one.
- Practice area: [Agribusiness & Rural Law](https://ailawframework.com/precedents/agribusiness-and-rural-law.md)
- Jurisdictions: New South Wales, Victoria, Queensland
- AI level: Yellow. AI can help in set ways. A lawyer checks specific points before use.
- Law stated as at: 2026-10-17
- Status: Maintained. Checked on 2026-10-17 against the official form at raa.nsw.gov.au and the 6 authorities it cites, for New South Wales, Victoria and Queensland.

## When to use it

Use when a creditor (or a farmer responding to one) deals with a farm mortgage in default over NSW farm property. Always use the current forms on the NSW Rural Assistance Authority site. For Victoria or Queensland, use those states' schemes and forms.

## How AI may be used

AI may prefill the forms' particulars from the loan file for checking. Enforcement action without a valid exemption certificate is void, so every particular, date and ground must be verified by a lawyer against the file.

**AI may:**

- Extract facility, balance, security and farm property details from the loan file into a draft of Form 1, citing each source document.
- Build a chronology of notices, responses and mediation contacts to support the ground relied on in Form 3.
- Calculate candidate response and certificate dates for the lawyer to confirm and diarise.

**AI must not:**

- Must not decide whether the borrower is a farmer, whether the security is a farm mortgage, or which exemption ground applies.
- Must not draft the farmer's response or communicate with the farmer.
- Must not upload the farmer's financial statements to a tool whose terms allow training on inputs.

**The lawyer checks:**

- The borrower is in default and the security is a farm mortgage over farm property in NSW (stock mortgages and crop or wool liens are excluded).
- Form 1 was served correctly and the 20 business day response period has been computed from receipt.
- The evidence attached to Form 3 proves the s 14 ground relied on, and no prohibition certificate is in force.
- The exemption certificate is in force on the date each enforcement step (including any statutory notice) is taken.

## Authorities

- [Farm Debt Mediation Act 1994 (NSW) s 8 (exemption certificate required before enforcement action; action in contravention void)](https://legislation.nsw.gov.au/view/html/inforce/current/act-1994-091#sec.8)
- [Farm Debt Mediation Act 1994 (NSW) ss 13-15 (application, grounds and 3-year duration of exemption certificates)](https://legislation.nsw.gov.au/view/html/inforce/current/act-1994-091#sec.13)
- [Farm Debt Mediation Act 1994 (NSW) s 18A (notice inviting mediation; farmer to respond within 20 business days; approved form)](https://legislation.nsw.gov.au/view/html/inforce/current/act-1994-091#sec.18A)
- [Farm Debt Mediation Act 1994 (NSW) ss 18C-18O (mediation procedure, agreements, cooling off and mediator's summary)](https://legislation.nsw.gov.au/view/html/inforce/current/act-1994-091#sec.18C)
- [Farm Debt Mediation Act 2011 (Vic)](https://www.legislation.vic.gov.au/in-force/acts/farm-debt-mediation-act-2011)
- [Farm Business Debt Mediation Act 2017 (Qld)](https://www.legislation.qld.gov.au/view/html/inforce/current/act-2017-007)

## Official form

[Official form](https://www.raa.nsw.gov.au/farm-debt-mediation/approved-mediation-forms)

## Where this comes from

The official form is published by raa.nsw.gov.au; this page is a completion guide. Last checked on 2026-10-17.

## Full text and drafting notes

The full text and the drafting notes are not part of this public page. Signed-in firm accounts can read them at https://ailawframework.com/precedents/agribusiness-and-rural-law/farm-debt-mediation-creditor-notice and through the signed-in MCP connector https://ailawframework.com/mcp/firm.

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*