---
title: "Borrower’s waiver and amendment request letter, lender consent letter and covenant compliance certificate"
url: "https://ailawframework.com/precedents/banking-and-finance/waiver-request-and-compliance-certificate"
type: "precedent"
site: "AI Law Framework"
id: "a3-waiver-request-and-compliance-certificate"
area_id: "A3"
kind: "letter"
ai_level: "yellow"
version: 1
task_ids: ["A3-T1-R14", "A3-A20260923-1"]
law_stated_as_at: "2026-10-18"
---

# Borrower’s waiver and amendment request letter, lender consent letter and covenant compliance certificate

> Three linked documents for a facility under stress or a change in the business: a borrower’s request for a waiver or amendment, the lender’s conditional consent letter, and a compliance certificate showing covenant…

Canonical page: https://ailawframework.com/precedents/banking-and-finance/waiver-request-and-compliance-certificate  
Law stated as at: 2026-10-18

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

Three linked documents for a facility under stress or a change in the business: a borrower’s request for a waiver or amendment, the lender’s conditional consent letter, and a compliance certificate showing covenant calculations and confirming whether any default is continuing.

## Key facts

- Kind: Letter. A letter or email you adapt and send.
- Practice area: [Banking & Finance](https://ailawframework.com/precedents/banking-and-finance.md)
- Jurisdictions: Australia
- AI level: Yellow. AI can help in set ways. A lawyer checks specific points before use.
- Law stated as at: 2026-10-18
- Status: Maintained. Checked on 2026-10-18 against the 2 authorities it cites, for Australia.

## When to use it

Use when a borrower expects to breach, or has breached, a financial covenant or another undertaking, or wants consent to a transaction the facility restricts, and with each periodic compliance certificate. Use a formal amendment deed instead where the change is significant or security documents must be amended.

## Used for these tasks

- [Draft a waiver, amendment or covenant-compliance certificate](https://ailawframework.com/practice/banking-and-finance.md#A3-T1-R14)
- [Extract the covenant package into a monitoring table](https://ailawframework.com/practice/banking-and-finance.md#A3-A20260923-1)

## How AI may be used

AI may calculate draft covenant figures from the accounts using the facility definitions and draft the request and consent letters, but the CFO checks every number and the directors and lawyers decide what is represented and requested.

**AI may:**

- Calculate draft covenant ratios from the management accounts using the definitions in the facility agreement, showing each step
- Draft the request letter from the CFO’s explanation of the breach and the proposed fix
- Compare the lender’s consent letter with the request and list conditions, fees and new undertakings it adds

**AI must not:**

- Must not decide whether a default has occurred or is continuing, or certify anything in the compliance certificate
- Must not adjust figures, add-backs or definitions to improve a ratio
- Must not send the request or the certificate to the lender

**The lawyer checks:**

- Every figure in the certificate is reconciled to the accounts and computed under the facility’s definitions, and the signatories are those the facility requires
- The default statement is accurate; a false certificate can itself be an event of default and expose the signatories
- The request does not admit more than is needed, reserves the borrower’s position, and is consistent with continuous disclosure obligations if the borrower is listed
- The directors have considered solvency and the s 588G duty before incurring new debt under a waived or amended facility

## Authorities

- [Corporations Act 2001 (Cth) s 588G (director’s duty to prevent insolvent trading when the company incurs a debt)](https://classic.austlii.edu.au/au/legis/cth/consol_act/ca2001172/s588g.html)
- [Corporations Act 2001 (Cth) s 127 (execution of documents by a company)](https://classic.austlii.edu.au/au/legis/cth/consol_act/ca2001172/s127.html)

## 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/waiver-request-and-compliance-certificate 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.*