AGREEMENTS BY THE BANK Clause Samples
AGREEMENTS BY THE BANK. Subject to the satisfaction of the conditions precedent set forth in Section 3 below, the Bank agrees as follows:
AGREEMENTS BY THE BANK. The Bank expressly acknowledges and agrees that it will repurchase the Participant's Percentage in any loan listed on Exhibit A in the event of a loss due to: (a) fraud on the part of the Bank or (b) any failure to recover from any borrower, obligor or collateral as a result of any deficiency in documenting or servicing any loan. Bank further agrees to repurchase Participant's interest if: (i) all the Bank's remaining unguaranteed interest is sold to other than the Participant or (ii) the Bank no longer services the Loans. Bank further grants to the Participant, at the Participant's option, the right to purchase additional participating interests in the Loans, subject to SBA consent, if required, and pursuant to SBA regulations, upon the same terms and conditions as said participating interests offered to other third parties. In the event that Participant acquires all of the Bank's interest in said Loans then Participant shall, subject to SBA consent and Participant's option, be entitled to assume servicing of said Loans. In the event the Bank is ordered and is required to sell its interest in said Loans, then the provisions of the preceding sentence apply. The Bank further acknowledges and agrees that the sale of the Participation to the Participant does not constitute the sale of a "security" for purposes of the Securities Act of 1933 and the Securities and Exchange Act of 1934.