Business & commercial

Solicitor's certificates in Victoria.

Your lender will not settle until a solicitor certifies that you understood what you were signing. CMK Legal in Richmond provides certificates of independent legal advice for guarantors, borrowers, SMSF trustees and company directors, usually within a few days, in person or by video.

Solicitor-drafted

Certificates signed by a solicitor after a real explanation, not a counter-signing service.

Practical timeframes

Appointments usually available within 2 to 3 business days, including video.

Fixed fee, quoted first

Small fixed fee, quoted and payable up front, per certificate.

Australian commercial law

Garcia principles, NCC and lender certificate requirements.

What a solicitor's certificate is.

A solicitor's certificate, often called a certificate of independent legal advice, is a signed statement by a lawyer confirming that they explained the loan, guarantee or security to you, that you appeared to understand it, and that you signed it freely and without pressure from anyone else.

Lenders require them to reduce the risk of the transaction being set aside later. The leading authority, Garcia v National Australia Bank, established that a guarantee given by a volunteer who does not receive a direct benefit, and who did not understand the transaction, can be unenforceable. Independent advice is the lender's answer to that risk, which is why the certificate must come from a solicitor who does not act for the borrower or the lender.

The most common triggers are a spouse or family member guaranteeing a business loan, a parent providing their home as security for a child's mortgage, a director guaranteeing a company facility, SMSF limited recourse borrowing arrangements, and guarantees given for a related company. Financial advice certificates from an accountant are sometimes required alongside ours.

The advice must be genuinely independent. A solicitor already acting for the borrower or the lender in the same transaction cannot give the certificate, and a certificate signed without a proper explanation is worth nothing to anyone.

What the appointment covers.

What you are actually guaranteeing

The amount, whether the guarantee is limited or all-monies, whether it covers future advances, and how long it lasts. Many guarantors are surprised to learn a guarantee continues after the original loan is repaid.

What the lender can do if it goes wrong

Demand, default interest, possession and sale of the secured property, and recovery of any shortfall from you personally. We spell out the worst case, because that is the point of the meeting.

That you are signing freely

The meeting is held with you alone, without the borrower present. If pressure or a lack of understanding is apparent, we will say so rather than sign, which protects you far more than the certificate would.

Certificate in the lender's own form

We complete the exact certificate your lender requires, witness the security documents where needed and return the executed pack to the broker or lender the same day.

You will likely need a certificate if.

  • You are guaranteeing a loan for a company you do not benefit from directly
  • You are a spouse or partner signing for a business loan
  • You are a parent putting your home up as security for a child
  • You are a director guaranteeing a company facility or lease
  • Your SMSF is entering a limited recourse borrowing arrangement
  • You are signing a mortgage over property you do not occupy
  • The lender has sent a certificate for a solicitor to complete
  • A broker has told you settlement is held up pending independent advice

Bring photo ID and the complete document pack, including the letter of offer. Missing pages are the usual reason an appointment has to be rescheduled.

How to get your certificate.

  1. 01

    Send the pack

    Email the loan, guarantee, security documents and the lender's certificate form, with your settlement date.

  2. 02

    Book the appointment

    In person in Richmond or by video, usually within two to three business days. Each guarantor is seen separately.

  3. 03

    The advice

    We take you through the documents, the exposure and the consequences of default, and answer your questions in private.

  4. 04

    Signing and witnessing

    You sign the documents, we complete and sign the certificate and witness where the lender requires it.

  5. 05

    Return to the lender

    The executed pack and certificate go back to your broker or lender the same day so settlement stays on track.

Transparent certificate fees.

Certificates of independent legal advice are a small fixed fee per person, quoted when you send the documents and payable before the appointment. Where several guarantors need separate advice for the same transaction, we quote the group up front. There are no ongoing costs, the engagement ends when the certificate is issued.

Request a fixed-fee quote

FAQs

Solicitor's certificate FAQs.

Still unsure? Call us on (03) 9008 7224 and speak to a lawyer, not a call centre.

Why does the lender require independent advice?
To protect the enforceability of the guarantee. Courts have set aside guarantees given by people who did not understand the transaction and received no benefit from it. A certificate from an independent solicitor is the lender's evidence that the guarantor was properly informed and acted freely.
Can the same lawyer advise both of us?
Usually not. Where two guarantors have different interests, or one may be influencing the other, each needs separate advice given in a private meeting. Married couples who are both directors and both benefit from the loan can sometimes be advised together, but the lender's requirements govern.
How long does the appointment take?
Typically 30 to 45 minutes for a straightforward guarantee, longer for SMSF borrowing arrangements or a complex security package. We read the documents before you arrive so the time is spent on explanation rather than page-turning.
Can it be done by video?
Yes, in most cases, provided identity can be verified and the lender's certificate permits remote advice and witnessing. Tell us your lender when you send the pack and we will confirm before booking.
What if I do not want to sign after the advice?
That is a legitimate outcome. Our role is to make sure you understand the exposure, not to get the document signed. If you decide against it, or want to negotiate a cap or a limit first, we will tell you what to ask the lender for.
How quickly can you see me?
Usually within two to three business days, and sooner where a settlement date is imminent. Send the documents through and tell us the deadline.

Need independent legal advice signed off?.

Send us the documents or tell us what you are planning. Start online in a few minutes, or book a consultation and speak to a commercial lawyer the same business day.