---
title: "Conditions precedent checklist and satisfaction certificate for a facility agreement"
url: "https://ailawframework.com/precedents/banking-and-finance/conditions-precedent-checklist"
type: "precedent"
site: "AI Law Framework"
id: "a3-conditions-precedent-checklist"
area_id: "A3"
kind: "checklist"
ai_level: "green"
version: 1
law_stated_as_at: "2026-10-17"
---

# Conditions precedent checklist and satisfaction certificate for a facility agreement

> CP tracker for an Australian secured facility, organised by corporate, finance document, security perfection, KYC and financial conditions, with an officer’s certificate and a lender’s CP satisfaction notice.

Canonical page: https://ailawframework.com/precedents/banking-and-finance/conditions-precedent-checklist  
Law stated as at: 2026-10-17

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

## Key facts

- Kind: Checklist. Steps or checks to work through and tick off.
- Practice area: [Banking & Finance](https://ailawframework.com/precedents/banking-and-finance.md)
- Jurisdictions: Australia
- AI level: Green. AI can do most of the drafting. A lawyer still reviews the result.
- Law stated as at: 2026-10-17
- Status: Maintained. Checked on 2026-10-17 against the 6 authorities it cites, for Australia.

## When to use it

Use from mandate to first drawdown, by either the lender’s or the borrower’s lawyers. Replace the generic items with the conditions in the signed facility agreement; the agreement, not this list, decides what is required.

## How AI may be used

AI may extract each CP from the signed facility and track documents against it. Confirming that a CP is satisfied is a human sign-off.

**AI may:**

- Extract every CP, its clause reference and required form from the executed facility and security documents
- Track documents received against each CP and flag missing, unsigned or undated items
- Draft the officer’s certificate annexure list from the documents received

**AI must not:**

- Must not mark a CP satisfied or waived
- Must not confirm that corporate benefit, financial assistance or related party requirements are met
- Must not send the CP satisfaction notice

**The lawyer checks:**

- Each document checked against the CP’s required form, signatories and dates
- Resolutions cover authority, benefit and any s 260B or Ch 2E approvals
- PPSR registrations made and verified within time before funding

## Authorities

- [Corporations Act 2001 (Cth) ss 127, 129 (execution and assumptions)](https://www.legislation.gov.au/C2004A00818/latest/text)
- [Corporations Act 2001 (Cth) s 187 (directors of wholly-owned subsidiaries)](https://www.legislation.gov.au/C2004A00818/latest/text)
- [Corporations Act 2001 (Cth) ss 260A, 260B (financial assistance)](https://www.legislation.gov.au/C2004A00818/latest/text)
- [Corporations Act 2001 (Cth) s 208 (related party benefits, public companies)](https://www.legislation.gov.au/C2004A00818/latest/text)
- [Corporations Act 2001 (Cth) s 588FL (PPSA registration timing)](https://www.legislation.gov.au/C2004A00818/latest/text)
- [Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth) s 6(5B) table 6 item 4](https://www.legislation.gov.au/C2006A00169/latest/text)

## 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/banking-and-finance/conditions-precedent-checklist 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.*