Document background
The Addendum To Note is a crucial document in Canadian financial and business transactions where modifications to existing promissory notes are required. It is commonly used when circumstances necessitate changes to original note terms, such as payment restructuring, interest rate adjustments, or security modifications, without creating an entirely new agreement. This document must comply with Canadian federal legislation (including the Bills of Exchange Act and Interest Act) and relevant provincial laws governing contract modifications. The addendum typically includes detailed references to the original note, specific modifications being made, and confirmations of unchanged terms. It's particularly important in situations involving loan modifications, debt restructuring, or when business conditions require adjustment of financial obligations. The document requires careful drafting to ensure it maintains the enforceability of the original note while clearly documenting the agreed changes.
