Documents & Guidelines
The LMA endeavours to keep its documentation under constant review to ensure that it continues to meet the aims and needs of the primary and secondary loan markets. The production of recommended documentation remains one of our most important activities.
Our documentation is produced after extensive consultation with leading loan practitioners and law firms so as to represent an agreed common view of documentation structures. Standardisation of the "boiler plate" areas of the documents allows lenders and borrowers to focus on the more important commercial aspects of individual transactions.
The LMA has published a revised Administration Detail Form ("ADF"), making the provision of group email addresses mandatory and adding a field for "UK Treaty Passport Expiry Date". These amendments come about following a focused review of the document, with the European Loan Operations Committee looking to encourage broad based adoption of the ADF, with a view to increasing efficiencies in both time and effort in compiling this information.
The LMA has published revised versions of both its Single Currency Term Facility Agreement for Real Estate Finance Multiproperty Investment Transactions and Single Currency Term Facility Agreement for Real Estate Finance Development Transactions, correcting cross-reference errors across the documents with regards to Clauses 25 and 26 respectively.
The LMA has released, as pending, revised Terms and Conditions without the Pricing Panel mechanism for resolving disputes over the reasonableness of the BISO purchase price. Instead, the Terms and Conditions will require the party entering into the substitute transaction to do so on arm's length terms and in good faith. In addition, the purchase price for the substitute transaction must be reasonable in the circumstances. The documents will go live on 27 June 2017.
The LMA has produced a confidentiality agreement and associated riders under South African law, for use in primary syndication. These documents are based on the English law "LMA Confidentiality and Front Running Letter for Primary Syndication". The South African User Guide has also been updated to provide further guidance on this document.
The LMA is pleased to announce the publication of a recommended form of designated entity clause for use in the LMA's senior facilities agreement for leveraged acquisition finance transactions (senior / mezzanine) and the LMA's recommended form of investment grade primary documentation.