Common use of DISTRIBUTION OF FUNDS, DEFAULT IN UTI PLEDGE Clause in Contracts

DISTRIBUTION OF FUNDS, DEFAULT IN UTI PLEDGE. (a) On any date during any period in which the Titling Trustee has neither received notice from the Servicer or any pledgee of a UTI Pledge nor otherwise obtained actual knowledge to the effect that (i) there is any sum due with respect to the related Securitized Financing or other UTI Pledge not otherwise timely paid by the UTI Beneficiary (after any applicable grace period), (ii) there is any other outstanding and uncured default by the UTI Beneficiary with respect thereto (after any applicable grace period), or (iii) any reimbursements of Funding Advances due to the Servicer have not been made, the Titling Trustee, promptly upon receipt of a written demand therefor from the related UTI Beneficiary accompanied by a written determination by the Servicer as to the extent of Excess Funds in the Lease Funding Account, shall pay out to such UTI Beneficiary upon its request any or all Excess Funds so requested. (b) Notwithstanding subsection (a) above, or any direction of the Grantor, the UTI Beneficiary or the Servicer to the contrary, during any period as to which the Titling Trustee either has received notice from the Servicer or any pledgee of a UTI Pledge or otherwise has obtained actual knowledge that a default in connection therewith has occurred and is continuing, and the Titling Trustee has not received notice of correction or cure thereof and other assurances and indemnifications reasonably satisfactory to it with respect to such correction or cure, the Titling Trustee shall (i) not create any new SUBI, (ii) direct each Servicer not to accept any further assignments on behalf of the Titling Trustee of Contracts or Leased Vehicles except as provided for in Sections 3.04, 7.02, 7.03 and 7.04 of the Titling Trust Agreement and Section