Debt Novation Agreement Template for South Africa

1. Security Arrangements: Required when existing security needs to be released and/or new security is being provided for the new debt

2. Consent of Additional Parties: Needed when additional parties (such as guarantors or security providers) must consent to the novation

3. Tax Provisions: Required when there are significant tax implications of the novation that need to be addressed

4. Release and Indemnity: Optional provisions for mutual releases and indemnities between parties

5. Step-by-Step Implementation: Needed for complex novations involving multiple steps or transfers

6. Costs and Expenses: Detailed provisions about who bears the costs of the novation when this is not straightforward

7. Transitional Provisions: Required when there needs to be a transition period between the old and new debt arrangements

1. Schedule 1 - Details of Original Debt: Comprehensive details of the original debt being novated, including all terms and conditions

2. Schedule 2 - Terms of New Debt: Detailed terms and conditions of the new debt obligation

3. Schedule 3 - Security Details: Details of any security arrangements, whether being released or newly created

4. Schedule 4 - Conditions Precedent: List of all conditions that must be satisfied before the novation becomes effective

5. Schedule 5 - Form of Notices: Template notices required to effect the novation or to be sent to third parties

6. Appendix A - Existing Debt Documentation: Copies of original debt agreements and related documents

7. Appendix B - Calculation of Outstanding Amounts: Detailed calculations of outstanding amounts under the original debt