Common use of Covenants of the Depositor Clause in Contracts

Covenants of the Depositor. If any litigation with claims in excess of $1,000,000 to which the Depositor is a party that shall be reasonably likely to result in a material judgment against the Depositor that the Depositor will not be able to satisfy shall be commenced by a Certificateholder during the period beginning nine months following the commencement of such litigation and continuing until such litigation is dismissed or otherwise terminated (and, if such litigation has resulted in a final judgment against the Depositor, such judgment has been satisfied), the Depositor shall not pay any dividend to CNHCA, or make any distribution on or in respect of its capital stock to CNHCA, or repay the principal amount of any indebtedness of the Depositor held by CNHCA, unless (i) after giving effect to such payment, distribution or repayment, the Depositor’s liquid assets shall not be less than the amount of actual damages claimed in such litigation or (ii) the Rating Agency Condition shall have been satisfied with respect to any such payment, distribution or repayment. The Depositor will not at any time institute against the Trust any bankruptcy proceedings under any United States federal or State bankruptcy or similar law in connection with any obligations relating to the Trust Certificates, the Notes, the Trust Agreement or any of the Basic Documents.

Covenants of the Depositor. If any litigation with claims in excess of $1,000,000 to which the Depositor is a party that shall be reasonably likely to result in a material judgment against the Depositor that the Depositor will not be able to satisfy shall be commenced by a Certificateholder during the period beginning nine months following the commencement of such litigation and continuing until such litigation is dismissed or otherwise terminated (and, if such litigation has resulted in a final judgment against the Depositor, such judgment has been satisfied), the Depositor shall not pay any dividend to CNHCACNHICA, or make any distribution on or in respect of its capital stock to CNHCACNHICA, or repay the principal amount of any indebtedness of the Depositor held by CNHCACNHICA, unless (i) after giving effect to such payment, distribution or repayment, the Depositor’s liquid assets shall not be less than the amount of actual damages claimed in such litigation or (ii) the Rating Agency Condition shall have been satisfied with respect to any such payment, distribution or repayment. The Depositor will not at any time institute against the Trust any bankruptcy proceedings under any United States federal or State bankruptcy or similar law in connection with any obligations relating to the Trust Certificates, the Notes, the Trust Agreement or any of the Basic Documents.

Covenants of the Depositor. If In the event that any litigation with claims in excess of $1,000,000 to which the Depositor is a party that which shall be reasonably likely to result in a material judgment against the Depositor that the Depositor will not be able to satisfy shall be commenced by a Certificateholder Certificateholder, during the period beginning nine months following the commencement of such litigation and continuing until such litigation is dismissed or otherwise terminated (and, if such litigation has resulted in a final judgment against the Depositor, such judgment has been satisfied), the Depositor shall not pay any dividend to CNHCAAFC, or make any distribution on or in respect of its capital stock to CNHCAAFC, or repay the principal amount of any indebtedness of the Depositor held by CNHCAAFC, unless (i) after giving effect to such payment, distribution or repayment, the Depositor’s 's liquid assets shall not be less than the amount of actual damages claimed in such litigation or (ii) the Rating Agency Condition shall have been satisfied with respect to any such payment, distribution or repaymentrepayment and the Bond Insurer consents to such payment. The Depositor will not at any time institute against the Trust any bankruptcy proceedings under any United States federal Federal or State state bankruptcy or similar law in connection with any obligations relating to the Trust Certificates, the NotesBonds, the Trust Agreement or any of the Basic Documents.