Interest Reserve Fund. (a) Borrowers shall cause Mortgage Borrowers to comply with all of the terms and conditions set forth in Section 7.4 of the Mortgage Loan Agreement.
(b) In the event (i)(A) Mortgage Lender waives the requirements of Mortgage Borrowers to maintain the Interest Reserve Fund pursuant to the terms of Section 7.4 of the Mortgage Loan Agreement and (B) First Mezzanine Lender waives the requirements of First Mezzanine Borrowers to maintain the Interest Reserve Fund pursuant to the terms of Section 7.4 of the First Mezzanine Loan Agreement; or (ii) the Mortgage Loan and the First Mezzanine Loan have been repaid in full (without a prepayment of the Loan in full), Lender shall have the right to require Borrowers to establish and maintain an escrow that would operate in the same manner as the Interest Reserve Fund in Section 7.4 of the Mortgage Loan Agreement and the provisions of Section 7.4 of the Mortgage Loan Agreement and all related definitions shall be incorporated herein by reference; provided, however, that all references to “Borrowers,” “Lender” and “Event of Default” therein shall be deemed references to Borrowers, Lender and Event of Default as defined herein.
Interest Reserve Fund. (a) Borrowers shall cause Mortgage Borrowers to comply with all of the terms and conditions set forth in Section 7.4 of the Mortgage Loan Agreement.
(b) In the event (i) Mortgage Lender waives the requirements of Mortgage Borrowers to maintain the Interest Reserve Fund pursuant to the terms of Section 7.4 of the Mortgage Loan Agreement, or (ii) the Mortgage Loan has been repaid in full (without a prepayment of the Loan in full), Lender shall have the right to require Borrowers to establish and maintain an escrow that would operate in the same manner as the Interest Reserve Fund in Section 7.4 of the Mortgage Loan Agreement and the provisions of Section 7.4 of the Mortgage Loan Agreement and all related definitions shall be incorporated herein by reference; provided, however, that all references to “Borrowers,” “Lender” and “Event of Default” therein shall be deemed references to Borrowers, Lender and Event of Default as defined herein.
Interest Reserve Fund. Borrower uses, or permits the use of, funds from the Interest Reserve Fund for any purpose other than the purpose for which such funds were disbursed in accordance herewith.
Interest Reserve Fund. If a Trigger Event has occurred and is continuing, Borrower shall pay to Lender, or cause the Lockbox Bank to make the appropriate deposit as provided in Article III hereof, on or prior to each Payment Date the amount remaining in the Lockbox Account, if any, after all deposits to Subaccounts other than the Interest Reserve Account have been made as provided in Article III hereof (said amount, as so deposited, hereinafter called the “Interest Reserve Fund”). Provided no Event of Default exists, Lender will apply the Interest Reserve Fund to any payments of Debt Service required to be made by Borrower pursuant to Section 2.2 hereof, in the event that the then existing Debt Service Fund was insufficient to pay the Monthly Debt Service Payment Amount. The insufficiency of any balance in the Interest Reserve Account shall not relieve Borrower from its obligation to fulfill all covenants in the Loan Documents with respect to Debt Service. Any amount remaining in the Interest Reserve Fund upon either (i) expiration of the Trigger Event or (ii) full payment of the Debt shall be returned to Borrower. Upon the occurrence of an Event of Default, Lender may use the Interest Reserve Fund (or any portion thereof) for any purpose, including but not limited to payment of the Debt in such order, proportion and priority as Lender may determine in its sole discretion. Lender’s right to withdraw and apply the Interest Reserve Fund shall be in addition to all other rights and remedies provided to Lender under this Agreement and the other Loan Documents. Nothing in this Agreement shall obligate Lender to apply all or any portion of the Interest Reserve Fund on account of an Event of Default to payment of the Debt or in any specific order or priority.
Interest Reserve Fund. 96 SECTION 4.13 The Interest Rate Cap Agreement...................................................97 ARTICLE V THE CERTIFICATES
Interest Reserve Fund. (a) On the Closing Date, the Trustee shall establish and maintain in its name, in trust for the benefit of the Holders of the Class A-1, Class A-2, Class M-1, Class M-2 and Class B Certificates, the Xxxxxxxx Xxxxrve Fund. The Interest Reserve Fund shall be an Eligible Account, and funds on deposit therein shall be held separate and apart from, and shall not be commingled with, any other moneys, including without limitation, other moneys held by the Trustee pursuant to this Agreement.
(b) On each Distribution Date, if a Basis Risk Shortfall exists for the Class A-1 Certificates or any Class of LIBOR Certificates, the Trustee shall transfer from the Certificate Account to the Interest Reserve Fund pursuant to Section 4.02(b)(i)D., to the extent needed to pay such Basis Risk Shortfall, the Senior Interest Component, but only to the extent needed to pay such Basis Risk Shortfall.
(c) On each Distribution Date, prior to making any distributions pursuant to Section 4.13(e) and Section 4.02(b)(iv)F. through I., the Trustee shall distribute amounts on deposit in the Interest Reserve Fund to the holders of the Class A-1 and LIBOR Certificates to the extent of any Basis Risk Shortfall, in the following order of priority:
(i) to the Class A-2 Certificates, any applicable Basis Risk Shortfall for such class;
(ii) to the Class A-1 Certificates, any applicable Basis Risk Shortfall for such class;
(iii) to the Class M-1 Certificates, any applicable Basis Risk Shortfall for such class;
(iv) to the Class M-2 Certificates, any applicable Basis Risk Shortfall for such class; and
(v) to the Class B Certificates, any applicable Basis Risk Shortfall for such class. Any such amounts distributed shall be treated for federal tax purposes as amounts distributed by REMIC 3 to the Class X-1 Certificateholders. On any Distribution Date, any amounts on deposit in the Interest Reserve Fund following the distributions made pursuant to clauses (i) through (v) above shall be distributed to the Holders of the Class X-1 Certificates pursuant to Section 4.02(b)(iv)K.
(d) Funds in the Interest Reserve Fund may be invested in Eligible Investments by the Trustee at the direction of the majority holder of the Class X-1 Certificates. Any net investment earnings on such amounts shall be taxable and payable to the Holders of the Class X-1
Interest Reserve Fund. Borrower has deposited $175,000 with Administrative Agent on the Agreement Execution Date which shall not be available to Borrower and may be used to pay interest on the Loan at the election of the Administrative Agent at any time that an Event of Default has occurred and is continuing. The amount so deposited shall hereinafter be referred to as the “Interest Reserve Fund”. Administrative Agent shall not be obligated to make disbursements from the Interest Reserve Fund to pay interest as it becomes due hereunder prior to an Event of Default and all such interest payments shall be made by Borrower from Borrower’s own funds.
Interest Reserve Fund. The Indenture Trustee shall establish and maintain an Interest Reserve Fund titled “U.S. Bank National Association, as Indenture Trustee, for the benefit of the Group 2 Notes and the Certificate Paying Agent on behalf of the Class 2A-R Certificates pursuant to the Indenture, dated as of the Closing Date, between Xxxxx Whole Loan Home Equity Trust 2005-C and U.S. Bank National Association.” The Interest Reserve Fund shall be an Eligible Account. On each Payment Date, the Interest Reserve Payment Amount will be withdrawn by the Indenture Trustee from amounts on deposit in the Interest Reserve Fund and distributed by the Indenture Trustee as a part of the Group 2 Interest Remittance Amount in accordance with Section 3.05 of the Indenture. Funds in the Interest Reserve Fund may be invested in Permitted Investments by the Indenture Trustee at the direction of the Purchaser maturing on or prior to the next succeeding Payment Date. The Indenture Trustee shall account for the Interest Reserve Fund as an outside reserve fund within the meaning of Treasury regulation 1.860G 2(h) and not an asset of any REMIC created pursuant to this Loan Purchase Agreement. The Indenture Trustee shall treat amounts paid by the Interest Reserve Fund as payments made from outside the REMIC’s for all Federal tax purposes. Any net investment earnings on such amounts shall be payable to the Purchaser. The holder of the Class SB Notes will be the owner of the Interest Reserve Fund for federal tax purposes. The Purchaser shall direct the Indenture Trustee in writing as to the investment of amounts therein. In the absence of such written direction, all funds in the Interest Reserve Fund such funds will remain uninvested. The Indenture Trustee shall have no liability for losses on investments in Permitted Investments made pursuant to this Section 9 (other than as obligor on any such investments). Upon termination of the Trust Fund or on the Payment Date on which the aggregate Class Principal Balance of the Class 1A Notes, Class 2M Notes and Class 2B-1 Notes equals zero, any amounts on deposit in the Interest Reserve Fund in excess of the Interest Reserve Payment Amount for such Payment Date shall be distributed to the Purchaser. In addition, amounts on deposit in the Interest Reserve Fund can be withdrawn and paid at any time to the Purchaser if each Rating Agency confirms that the then-current rating on the Group 2 Notes will not be withdrawn or downgraded as a result thereof.
Interest Reserve Fund. On or before the Closing Date, the Indenture Trustee shall open and maintain one or more Eligible Accounts that shall collectively be the “Interest Reserve Fund”. The Interest Reserve Fund shall initially be funded out of proceeds of the sale of the Bonds in an amount equal to the Interest Reserve Requirement and shall be replenished solely from cash flows to the amount of the Interest Reserve Requirement out of Collections as provided in Section 2.12 hereof. Any and all moneys that shall be deposited into the Interest Reserve Fund from time to time pursuant to the terms of this Indenture, together with any Eligible Investments in which such moneys are or will be invested or reinvested during the term of this Indenture, shall be held by the Indenture Trustee in the Interest Reserve Fund as part of the Trust Estate Granted to secure the Bonds, subject to disbursement and withdrawal as herein provided.
Interest Reserve Fund
