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TeachMeFinance.com After Acquired Clause -- Provision in an agreement of mortgage that supplementary property coming into the borrower�fs hands after the conclusion of a mortgage will become added guarantee for the mortgage. By thus preventing additional first mortgages, this type of clause can confer a favorable rating on mortgage bonds and enable the issuer to take loans at easy rates. However, it may also create impediments in the funding of growth through fresh borrowings. As a result, a number of tactics are usually employed to get rid of after acquired clauses, e.g. modifications in indenture contracts and repurchase or swapping of bonds. About the author Mark McCracken Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English". Copyright © 2007 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional financial or legal advice. TeachMeFinance.com and its owner recommend consultation with a professional financial advisor prior to any investment or financial decision. Please read our disclaimer.