Common use of Characteristics of Contracts Clause in Contracts

Characteristics of Contracts. The Contract (i) has been originated by Seller in the ordinary course of Seller's business and has been fully and properly executed by the parties thereto, (ii) is secured by a valid, subsisting, and enforceable first priority lien and security interest in favor of Seller in the Financed Vehicle, which lien and security interest are assignable by Seller to Purchaser, (iii) contains customary and enforceable provisions such as to render the rights and remedies of the holder thereof adequate for realization against the collateral securing such Contract, including the Financed Vehicle, (iv) provides for payments which fully amortize the Amount Financed over the original term and provide interest at the related APR over the term of the Contract, (v) provides for, in the event the Contract is prepaid, a prepayment that fully prepays the outstanding principal balance thereof and includes accrued and unpaid interest at least through the date of prepayment in an amount equal to the APR, and (vi) has not, as of the related Cut-Off Date, been modified as a result of the Soldiers' and Sailors' Civil Relief Act of 1940, as amended.