Common use of Claims Upon the MBIA Policy; MBIA Policy Payments Account Clause in Contracts

Claims Upon the MBIA Policy; MBIA Policy Payments Account. (a) If, on the Business Day next succeeding the Determination Date, the Servicer notifies the Trustee pursuant to Section 4.04(a) that (i) the funds that will be on deposit in the Payment Account on the related Payment Account Deposit Date, to the extent distributable to the Insured Certificateholders pursuant to Section 4.02(a)(i), are insufficient to pay the full amount of interest for the related Interest Accrual Period on the Certificate Principal Balance of the Insured Certificates at the related Pass-Through Rate (net of any (1) Prepayment Interest Shortfalls allocated to the Insured Certificates to the extent covered by amounts due from the Servicer or from funds on deposit in the Insured Reserve Fund and (2) Relief Act Shortfalls allocated to the Insured Certificates) on such Distribution Date, (ii) the principal portion of any Realized Loss is allocated to the Insured Certificates on such Distribution Date or (iii) the funds available in connection with the Scheduled Final Distribution Date will be insufficient to reduce the Certificate Principal Balances of the Insured Certificates to zero after taking into account all distributions to be made on such date, the Trustee shall give notice by telephone or telecopy of the aggregate amount of such deficiency, confirmed in writing in the form set forth as Exhibit A to the MBIA Policy, to MBIA, at or before 12:00 noon, New York City time, on the third Business Day prior to such Distribution Date. If, subsequent to such notice, and prior to payment by MBIA pursuant to such notice, additional amounts are deposited in the Payment Account, the Trustee shall reasonably promptly notify MBIA and withdraw the notice or reduce the amount claimed, as appropriate. (b) The Trustee shall establish a separate special purpose trust account for the benefit of Holders of the Insured Certificates and MBIA referred to herein as the "MBIA Policy Payments Account" over which the Trustee shall have exclusive control and sole right of withdrawal. The Trustee shall deposit any amount paid under the MBIA Policy in the MBIA Policy Payments Account and distribute such amount only for purposes of payment to Holders of Insured Certificates of the Insured Payment for which a claim was made. Such amount may not be applied to satisfy any costs, expenses or liabilities of the Servicer, the Trustee or the Trust Fund. Amounts paid under the MBIA Policy shall be transferred to the Payment Account in accordance with the next succeeding paragraph and disbursed by the Trustee to Holders of Certificates in accordance with Section 4.

Claims Upon the MBIA Policy; MBIA Policy Payments Account. (a) If, on the Business Day next succeeding the Determination Date, the Servicer notifies the Trustee pursuant to Section 4.04(a) that (i) the funds that will be on deposit in the Payment Account on the related Payment Account Deposit Date, to the extent distributable to the Insured Certificateholders pursuant to Section 4.02(a)(i), are insufficient to pay the full amount of interest for the related Interest Accrual Period on the Certificate Principal Balance of the Insured Certificates at the related Pass-Through Rate (net of any (1) Prepayment Interest Shortfalls allocated to the Insured Certificates to the extent covered by amounts due from the Servicer or from funds on deposit in the Insured Reserve Fund and (2) Relief Act Shortfalls allocated to the Insured Certificates) on such Distribution Date, (ii) the principal portion of any Realized Loss is allocated to the Insured Certificates on such Distribution Date or (iii) the funds available in connection with the Scheduled Final Distribution Date will be insufficient to reduce the Certificate Principal Balances of the Insured Certificates to zero after taking into account all distributions to be made on such date, the Trustee shall give notice by telephone or telecopy of the aggregate amount of such deficiency, confirmed in writing in the form set forth as Exhibit A to the MBIA Policy, to MBIA, at or before 12:00 noon, New York City time, on the third Business Day prior to such Distribution Date. If, subsequent to such notice, and prior to payment by MBIA pursuant to such notice, additional amounts are deposited in the Payment Account, the Trustee shall reasonably promptly notify MBIA and withdraw the notice or reduce the amount claimed, as appropriate. (b) The Trustee shall establish a separate special purpose trust account for the benefit of Holders of the Insured Certificates and MBIA referred to herein as the "MBIA Policy Payments Account" over which the Trustee shall have exclusive control and sole right of withdrawal. The Trustee shall deposit any amount paid under the MBIA Policy in the MBIA Policy Payments Account and distribute such amount only for purposes of payment to Holders of Insured Certificates of the Insured Payment for which a claim was made. Such amount may not be applied to satisfy any costs, expenses or liabilities of the Servicer, the Trustee or the Trust Fund. Amounts paid under the MBIA Policy shall be transferred to the Payment Account in accordance with the next succeeding paragraph and disbursed by the Trustee to Holders of Certificates in accordance with Section 4.exclusive

Claims Upon the MBIA Policy; MBIA Policy Payments Account. (a) If, on the Business Day next succeeding the Determination Date, the Servicer notifies the Trustee pursuant to Section 4.04(a) that (i) the funds that will be on deposit in the Payment Account on the related Payment Account Deposit Date, to the extent distributable to the Insured Certificateholders pursuant to Section 4.02(a)(i), are insufficient to pay the full amount of interest for the related Interest Accrual Period on the Certificate Principal Balance of the Insured Certificates at the related Pass-Pass Through Rate (net of any (1) Prepayment Interest Shortfalls allocated to the Insured Certificates to the extent covered by amounts due from the Servicer or from funds on deposit in the Insured Reserve Fund and (2) Relief Act Shortfalls allocated to the Insured Certificates) on such Distribution Date, (ii) the principal portion of any Realized Loss is allocated to the Insured Certificates on such Distribution Date or (iii) the funds available in connection with the Scheduled Final Distribution Date will be insufficient to reduce the Certificate Principal Balances of the Insured Certificates to zero after taking into account all distributions to be made on such date, the Trustee shall give notice by telephone or telecopy of the aggregate amount of such deficiency, confirmed in writing in the form set forth as Exhibit A to the MBIA Policy, to MBIA, at or before 12:00 noon, New York City time, on the third Business Day prior to such Distribution Date. If, subsequent to such notice, and prior to payment by MBIA pursuant to such notice, additional amounts are deposited in the Payment Account, the Trustee shall reasonably promptly notify MBIA and withdraw the notice or reduce the amount claimed, as appropriate. (b) The Trustee shall establish a separate special purpose trust account for the benefit of Holders of the Insured Certificates and MBIA referred to herein as the "MBIA Policy Payments Account" over which the Trustee shall have exclusive control and sole right of withdrawal. The Trustee shall deposit any amount paid under the MBIA Policy in the MBIA Policy Payments Account and distribute such amount only for purposes of payment to Holders of Insured Certificates of the Insured Payment for which a claim was made. Such amount may not be applied to satisfy any costs, expenses or liabilities of the Servicer, the Trustee or the Trust Fund. Amounts paid under the MBIA Policy shall be transferred to the Payment Account in accordance with the next succeeding paragraph and disbursed 116 by the Trustee to Holders of Certificates in accordance with Section 44.02. It shall not be necessary for such payments to be made by checks or wire transfers separate from the checks or wire transfers used to pay the Insured Payment with other funds available to make such payment. However, the amount of any payment of principal of or interest on the Insured Certificates to be paid from funds transferred from the MBIA Policy Payments Account shall be noted as provided in paragraph (c) below and in the statement to be furnished to Holders of the Certificates pursuant to Section 4.03. Funds held in the MBIA Policy Payments Account shall not be invested by the Trustee. On any Distribution Date with respect to which a claim has been made under the MBIA Policy, the amount of any funds received by the Trustee as a result of any claim under the MBIA Policy, to the extent required to make the Insured Payment on such Distribution Date shall be withdrawn from the MBIA Policy Payments Account and deposited in the Payment Account and applied by the Trustee, together with the other funds to be distributed to the Insured Certificateholders pursuant to Section 4.02, directly to the payment in full of the Insured Payment due on the Insured Certificates. Any funds remaining in the MBIA Policy Payments Account on the first Business Day following a Distribution Date shall be remitted to MBIA, pursuant to the instructions of MBIA, by the end of such Business Day. (c) The Trustee shall keep a complete and accurate record of the amount of interest and principal paid into the MBIA Policy Payments Account in respect of any Insured Certificate from moneys received under the MBIA Policy. MBIA shall have the right to inspect such records at reasonable times during normal business hours upon two Business Days' prior notice to the Trustee.

Claims Upon the MBIA Policy; MBIA Policy Payments Account. (a) If, on the Business Day next succeeding the Determination Date, the Servicer notifies the Trustee pursuant to Section 4.04(a) that (i) the funds that will be on deposit in the Payment Account on the related Payment Account Deposit Date, to the extent distributable to the Insured Certificateholders pursuant to Section 4.02(a)(i), are insufficient to pay the full amount of interest for the related Interest Accrual Period on the Certificate Principal Balance of the Insured Certificates at the related Pass-Through Rate (net of any (1) Prepayment Interest Shortfalls allocated to the Insured Certificates to the extent covered by amounts due from the Servicer or from funds on deposit in the Insured Reserve Fund and (2) Relief Act Shortfalls allocated to the Insured Certificates) on such Distribution Date, (ii) the principal portion of any Realized Loss is allocated to the Insured Certificates on such Distribution Date or (iii) the funds available in connection with the Scheduled Final Distribution Date will be insufficient to reduce the Certificate Principal Balances of the Insured Certificates to zero after taking into account all distributions to be made on such date, the Trustee shall give notice by telephone or telecopy of the aggregate amount of such deficiency, confirmed in writing in the form set forth as Exhibit A to the MBIA Policy, to MBIA, at or before 12:00 noon, New York City time, on the third Business Day prior to such Distribution Date. If, subsequent to such notice, and prior to payment by MBIA pursuant to such notice, additional amounts are deposited in the Payment Account, the Trustee shall reasonably promptly notify MBIA and withdraw the notice or reduce the amount claimed, as appropriate. (b) The Trustee shall establish a separate special purpose trust account for the benefit of Holders of the Insured Certificates and MBIA referred to herein as the "MBIA Policy Payments Account" over which the Trustee shall have exclusive control and sole right of withdrawal. The Trustee shall deposit any amount paid under the MBIA Policy in the MBIA Policy Payments Account and distribute such amount only for purposes of payment to Holders of Insured Certificates of the Insured Payment for which a claim was made. Such amount may not be applied to satisfy any costs, expenses or liabilities of the Servicer, the Trustee or the Trust Fund. Amounts paid under the MBIA Policy shall be transferred to the Payment Account in accordance with the next succeeding paragraph and disbursed by the Trustee to Holders of Certificates in accordance with Section 44.02. It shall not be necessary for such payments to be made by checks or wire transfers separate from the checks or wire transfers used to pay the Insured Payment with other funds available to make such payment. However, the amount of any payment of principal of or interest on the Insured Certificates to be paid from funds transferred from the MBIA Policy Payments Account shall be noted as provided in paragraph (c) below and in the statement to be furnished to Holders of the Certificates pursuant to Section 4.03. Funds held in the MBIA Policy Payments Account shall not be invested by the Trustee. On any Distribution Date with respect to which a claim has been made under the MBIA Policy, the amount of any funds received by the Trustee as a result of any claim under the MBIA Policy, to the extent required to make the Insured Payment on such Distribution Date shall be withdrawn from the MBIA Policy Payments Account and deposited in the Payment Account and applied by the Trustee, together with the other funds to be distributed to the Insured Certificateholders pursuant to Section 4.02, directly to the payment in full of the Insured Payment due on the Insured Certificates. Any funds remaining in the MBIA Policy Payments Account on the first Business Day following a Distribution Date shall be remitted to MBIA, pursuant to the instructions of MBIA, by the end of such Business Day. (c) The Trustee shall keep a complete and accurate record of the amount of interest and principal paid into the MBIA Policy Payments Account in respect of any Insured Certificate from moneys received under the MBIA Policy. MBIA shall have the right to inspect such records at reasonable times during normal business hours upon two Business Day's prior notice to the Trustee.

Claims Upon the MBIA Policy; MBIA Policy Payments Account. (a) If, on the Business Day next succeeding the Determination Date, the Servicer notifies the Trustee pursuant to Section 4.04(a) that (i) the funds that will be on deposit in the Payment Account on the related Payment Account Deposit Date, to the extent distributable to the Insured Certificateholders pursuant to Section 4.02(a)(i), are insufficient to pay the full amount of interest for the related Interest Accrual Period on the Certificate Principal Balance of the Insured Certificates at the related Pass-Through Rate (net of any (1) Prepayment Interest Shortfalls allocated to the Insured Certificates to the extent covered by amounts due from the Servicer or from funds on deposit in the Insured Reserve Fund and (2) Relief Act Shortfalls allocated to the Insured Certificates) on such Distribution Date, (ii) the principal portion of any Realized Loss is allocated to the Insured Certificates on such Distribution Date or (iii) the funds available in connection with the Scheduled Final Distribution Date will be insufficient to reduce the Certificate Principal Balances of the Insured Certificates to zero after taking into account all distributions to be made on such date, the Trustee shall give notice by telephone or telecopy of the aggregate amount of such deficiency, confirmed in writing in the form set forth as Exhibit A to the MBIA Policy, to MBIA, at or before 12:00 noon, New York City time, on the third Business Day prior to such Distribution Date. If, subsequent to such notice, and prior to payment by MBIA pursuant to such notice, additional amounts are deposited in the Payment Account, the Trustee shall reasonably promptly notify MBIA and withdraw the notice or reduce the amount claimed, as appropriate. (b) The Trustee shall establish a separate special purpose trust account for the benefit of Holders of the Insured Certificates and MBIA referred to herein as the "MBIA Policy Payments Account" over which the Trustee shall have exclusive control and sole right of withdrawal. The Trustee shall deposit any amount paid under the MBIA Policy in the MBIA Policy Payments Account and distribute such amount only for purposes of payment to Holders of Insured Certificates of the Insured Payment for which a claim was made. Such amount may not be applied to satisfy any costs, expenses or liabilities of the Servicer, the Trustee or the Trust Fund. Amounts paid under the MBIA Policy shall be transferred to the Payment Account in accordance with the next succeeding paragraph and disbursed by the Trustee to Holders of Certificates in accordance with Section 44.02. It shall not be necessary for such payments to be made by checks or wire transfers separate from the checks or wire transfers used to pay the Insured Payment with other funds available to make such payment. However, the amount of any payment of principal of or interest on the Insured Certificates to be paid from funds transferred from the MBIA Policy Payments Account shall be noted as provided in paragraph (c) below and in the statement to be furnished to Holders of the Certificates pursuant to Section 4.03. Funds held in the MBIA Policy Payments Account shall not be invested by the Trustee. On any Distribution Date with respect to which a claim has been made under the MBIA Policy, the amount of any funds received by the Trustee as a result of any claim under the MBIA Policy, to the extent required to make the Insured Payment on such Distribution Date shall be withdrawn from the MBIA Policy Payments Account and deposited in the Payment Account and applied by the Trustee, together with the other funds to be distributed to the Insured Certificateholders pursuant to Section 4.02, directly to the payment in full of the Insured Payment due on the Insured Certificates. Any funds remaining in the MBIA Policy Payments Account on the first Business Day following a Distribution Date shall be remitted to MBIA, pursuant to the instructions of MBIA, by the end of such Business Day. (c) The Trustee shall keep a complete and accurate record of the amount of interest and principal paid into the MBIA Policy Payments Account in respect of any Insured Certificate from moneys received under the MBIA Policy. MBIA shall have the right to inspect such records at reasonable times during normal business hours upon two Business Day's prior notice to the Trustee.

Claims Upon the MBIA Policy; MBIA Policy Payments Account. (a) If, on the Business Day next succeeding the Determination Date, the Servicer notifies the Trustee pursuant to Section 4.04(a) that (i) the funds that will be on deposit in the Payment Account on the related Payment Account Deposit Date, to the extent distributable to the Insured Certificateholders pursuant to Section 4.02(a)(i), are insufficient to pay the full amount of interest for the related Interest Accrual Period on the Certificate Principal Balance of the Insured Certificates at the related Pass-Through Rate (net of any (1) Prepayment Interest Shortfalls allocated to the Insured Certificates to the extent covered by amounts due from the Servicer or from funds on deposit in the Insured Reserve Fund and (2) Relief Act Shortfalls allocated to the Insured Certificates) on such Distribution Date, (ii) the principal portion of any Realized Loss is allocated to the Insured Certificates on such Distribution Date or (iii) the funds available in connection with the Scheduled Final Distribution Date will be insufficient to reduce the Certificate Principal Balances of the Insured Certificates to zero after taking into account all distributions to be made on such date, the Trustee shall give notice by telephone or telecopy of the aggregate amount of such deficiency, confirmed in writing in the form set forth as Exhibit A to the MBIA Policy, to MBIA, at or before 12:00 noon, New York City time, on the third Business Day prior to such Distribution Date. If, subsequent to such notice, and prior to payment by MBIA pursuant to such notice, additional amounts are deposited in the Payment Account, the Trustee shall reasonably promptly notify MBIA and withdraw the notice or reduce the amount claimed, as appropriate. (b) The Trustee shall establish a separate special purpose trust account for the benefit of Holders of the Insured Certificates and MBIA referred to herein as the "MBIA Policy Payments Account" over which the Trustee shall have exclusive control and sole right of withdrawal. The Trustee shall deposit any amount paid under the MBIA Policy in the MBIA Policy Payments Account and distribute such amount only for purposes of payment to Holders of Insured Certificates of the Insured Payment for which a claim was made. Such amount may not be applied to satisfy any costs, expenses or liabilities of the Servicer, the Trustee or the Trust Fund. Amounts paid under the MBIA Policy shall be transferred to the Payment Account in accordance with the next succeeding paragraph and disbursed by the Trustee to Holders of Certificates in accordance with Section 44.02. It shall not be necessary for such payments to be made by checks or wire transfers separate from the checks or wire transfers used to pay the Insured Payment with other funds available to make such payment. However, the amount of any payment 106 of principal of or interest on the Insured Certificates to be paid from funds transferred from the MBIA Policy Payments Account shall be noted as provided in paragraph (c) below and in the statement to be furnished to Holders of the Certificates pursuant to Section 4.03. Funds held in the MBIA Policy Payments Account shall not be invested by the Trustee. On any Distribution Date with respect to which a claim has been made under the MBIA Policy, the amount of any funds received by the Trustee as a result of any claim under the MBIA Policy, to the extent required to make the Insured Payment on such Distribution Date shall be withdrawn from the MBIA Policy Payments Account and deposited in the Payment Account and applied by the Trustee, together with the other funds to be distributed to the Insured Certificateholders pursuant to Section 4.02, directly to the payment in full of the Insured Payment due on the Insured Certificates. Any funds remaining in the MBIA Policy Payments Account on the first Business Day following a Distribution Date shall be remitted to MBIA, pursuant to the instructions of MBIA, by the end of such Business Day. (c) The Trustee shall keep a complete and accurate record of the amount of interest and principal paid into the MBIA Policy Payments Account in respect of any Insured Certificate from moneys received under the MBIA Policy. MBIA shall have the right to inspect such records at reasonable times during normal business hours upon two Business Day's prior notice to the Trustee.