Common use of Modification of Contracts Clause in Contracts

Modification of Contracts. In performing its obligations hereunder, the Servicer may, acting in the name of the Issuer and without the necessity of obtaining the prior consent of the Issuer, the Note Insurer, the Collateral Agent or the Indenture Trustee, enter into and grant modifications, waivers and amendments to the terms of any Contract, except for modifications, waivers or amendments that (i) are inconsistent with the Servicing Standard, (ii) would extend the date of the last Scheduled Payment or any Final Scheduled Payment on any Contract beyond the Class A Maturity Date, (iii) would reduce or adversely affect, individually or in the aggregate, the Obligor's obligation to maintain, service, insure and care for the Equipment or would permit the permanent alteration of any item of Equipment in any way which could adversely affect its present or future value, (iv) are affected on any Contract that is either 90 days or more delinquent or a Defaulted Contract or (v) otherwise could adversely affect, individually or in the aggregate, the interest of any of the Indenture Trustee, the Depositor, the Collateral Agent, the Note Insurer or the Noteholders. Notwithstanding the provisions of clause (ii) of the preceding sentence, the Servicer may (1) permit any of the actions set forth in clause (ii) of the preceding sentence, which in the Servicer's sole discretion, in accordance with the Servicing Standard, would maximize Defaulted Contract Recoveries, or (2) permit termination of a Contract which does not otherwise provide for termination by requiring, in the case of either clause (1) or (2), that the Obligor pay, or, if the terms of such extension or termination do not provide for such payment by the Obligor that the Servicer deposit, in lieu of all future Scheduled Payments and any Final Scheduled Payment with respect to such Contract, an amount which equals or exceeds the related Prepayment Amount for such Contract as of 3:00 p.m. New York time on the Determination Date prior to the Payment Date next succeeding the making of such payment into the Collection Account; provided, however, that the Servicer will not be permitted to allow prepayment by an Obligor if there are any amounts due under the related Contract after such prepayment. In the event of any modification, waiver or amendment of any Contract in accordance with this Section 4.01, the Servicer will promptly furnish the Issuer, the Depositor, the Collateral Agent, the Indenture Trustee and the Note Insurer with a copy thereof, together with a certificate of the Servicer signed by Servicing Officer stating that such modification, waiver or amendment is not prohibited by the provisions of this Section 4.01.

Modification of Contracts. In performing its obligations hereunderExcept as provided in the remainder of this Section 9.1, neither Seller nor the Servicer maywill, acting in the name as agent of the Issuer Agent and without the necessity of obtaining the prior consent of the IssuerBuyers or otherwise, the Note Insurer, the Collateral Agent extend or the Indenture Trustee, enter into and grant modifications, waivers and amendments to otherwise compromise or modify the terms of any Buyers' Contract or the terms of any Related Security Documents without the prior written approval of the Agent, release any Related Security or alter or amend in any material respect its credit policies with respect to Contracts, Related Security Documents and Related Security as in effect on the date hereof. The foregoing shall not prohibit the Servicer, as long as the Agent has not terminated PDC's power to act as Servicer pursuant to Section 3.4, from modifying the terms of any Buyers' Contract in a manner consistent with the Servicer's credit polices as they exist as of the date of this Agreement, provided that (a) notice of such modification is included in each settlement statement delivered to the Agent pursuant to Section 6.1 with respect to the Collection Period during which such modification occurred, (b) the Servicer does not permit more than one such modification to the amortization schedule with respect to any Contract, except (c) no modification extends the date for modifications, waivers or amendments that (i) are inconsistent with final payment under a Contract beyond the Servicing StandardFinal Maturity Date, (iid) would extend if any modification releases any Related Security, the Servicer pays to the Agent for the benefit of the Buyers on the next Settlement Date an amount equal to the portion of the principal amount outstanding under the modified Contract that is attributable to the released Related Security, (e) no modification may reduce the interest rate payable on a Contract (other than a Discounted Contract) below the Buyers' Rate in effect as of the date of the last Scheduled Payment or any Final Scheduled Payment on any Contract beyond the Class A Maturity Datemodification, (iiif) no modification may reduce the principal amount outstanding under a Contract without the Buyers' prior consent, and (g) no Contract may be modified pursuant to this Section 9.1 that would reduce or adversely affect, individually or in cause the aggregate, aggregate Purchase Price of all Contracts that have been modified by the Obligor's obligation Servicer under this Section 9.1 to maintain, service, insure and care for the Equipment or would permit the permanent alteration of any item of Equipment in any way which could adversely affect its present or future value, be ten percent (iv10%) are affected on any Contract that is either 90 days or more delinquent or a Defaulted Contract or (v) otherwise could adversely affect, individually or in the aggregate, the interest of any of the Indenture Trustee, the Depositor, the Collateral Agent, the Note Insurer or the Noteholders. Notwithstanding the provisions of clause (ii) of the preceding sentence, the Servicer may (1) permit any of the actions set forth in clause (ii) of the preceding sentence, which in the Servicer's sole discretion, in accordance with the Servicing Standard, would maximize Defaulted Contract Recoveries, or (2) permit termination of a Contract which does not otherwise provide for termination by requiring, in the case of either clause (1) or (2), that the Obligor pay, or, if the terms of such extension or termination do not provide for such payment by the Obligor that the Servicer deposit, in lieu aggregate Purchase Price of all future Scheduled Payments and any Final Scheduled Payment with respect to such Contract, an amount which equals or exceeds the related Prepayment Amount for such Contract as of 3:00 p.m. New York time on the Determination Date prior to the Payment Date next succeeding the making of such payment into the Collection Account; provided, however, that the Servicer will not be permitted to allow prepayment by an Obligor if there are any amounts due under the related Contract after such prepayment. In the event of any modification, waiver or amendment of any Contract in accordance with this Section 4.01, the Servicer will promptly furnish the Issuer, the Depositor, the Collateral Agent, the Indenture Trustee and the Note Insurer with a copy thereof, together with a certificate of the Servicer signed by Servicing Officer stating that such modification, waiver or amendment is not prohibited by the provisions of this Section 4.01Buyers' Contracts.

Modification of Contracts. In performing its obligations hereunderExcept as provided in the remainder of this Section 9.1, neither Seller nor the Servicer maywill, acting in the name as agent of the Issuer Agent and without the necessity of obtaining the prior consent of the IssuerBuyers or otherwise, the Note Insurer, the Collateral Agent extend or the Indenture Trustee, enter into and grant modifications, waivers and amendments to otherwise compromise or modify the terms of any Buyers' Contract or the terms of any Related Security Documents without the prior written approval of the Agent, release any Related Security or alter or amend in any material respect its credit policies with respect to Contracts, Related Security Documents and Related Security as in effect on the date hereof. The foregoing shall not prohibit the Servicer, as long as the Agent has not terminated PDC's power to act as Servicer pursuant to Section 3.4, from modifying the terms of any Buyers' Contract in a manner consistent with the the Servicer's credit polices as they exist as of the date of this Agreement, provided that (a) notice of such modification is included in each settlement statement delivered to the Agent pursuant to Section 6.1 with respect to the Collection Period during which such modification occurred, (b) the Servicer does not permit more than one such modification to the amortization schedule with respect to any Contract, except (c) no modification extends the date for modifications, waivers or amendments that (i) are inconsistent with final payment under a Contract beyond the Servicing StandardFinal Maturity Date, (iid) would extend if any modification releases any Related Security, the Servicer pays to the Agent for the benefit of the Buyers on the next Settlement Date an amount equal to the portion of the principal amount outstanding under the modified Contract that is attributable to the released Related Security, (e) no modification may reduce the interest rate payable on a Contract (other than a Discounted Contract) below the Buyers' Rate in effect as of the date of the last Scheduled Payment or any Final Scheduled Payment on any Contract beyond the Class A Maturity Datemodification, (iiif) no modification may reduce the principal amount outstanding under a Contract without the Buyers' prior consent, and (g) no Contract may be modified pursuant to this Section 9.1 that would reduce or adversely affect, individually or in cause the aggregate, aggregate Purchase Price of all Contracts that have been modified by the Obligor's obligation Servicer under this Section 9.1 to maintain, service, insure and care for the Equipment or would permit the permanent alteration of any item of Equipment in any way which could adversely affect its present or future value, be ten percent (iv10%) are affected on any Contract that is either 90 days or more delinquent or a Defaulted Contract or (v) otherwise could adversely affect, individually or in the aggregate, the interest of any of the Indenture Trustee, the Depositor, the Collateral Agent, the Note Insurer or the Noteholders. Notwithstanding the provisions of clause (ii) of the preceding sentence, the Servicer may (1) permit any of the actions set forth in clause (ii) of the preceding sentence, which in the Servicer's sole discretion, in accordance with the Servicing Standard, would maximize Defaulted Contract Recoveries, or (2) permit termination of a Contract which does not otherwise provide for termination by requiring, in the case of either clause (1) or (2), that the Obligor pay, or, if the terms of such extension or termination do not provide for such payment by the Obligor that the Servicer deposit, in lieu aggregate Purchase Price of all future Scheduled Payments and any Final Scheduled Payment with respect to such Contract, an amount which equals or exceeds the related Prepayment Amount for such Contract as of 3:00 p.m. New York time on the Determination Date prior to the Payment Date next succeeding the making of such payment into the Collection Account; provided, however, that the Servicer will not be permitted to allow prepayment by an Obligor if there are any amounts due under the related Contract after such prepayment. In the event of any modification, waiver or amendment of any Contract in accordance with this Section 4.01, the Servicer will promptly furnish the Issuer, the Depositor, the Collateral Agent, the Indenture Trustee and the Note Insurer with a copy thereof, together with a certificate of the Servicer signed by Servicing Officer stating that such modification, waiver or amendment is not prohibited by the provisions of this Section 4.01Buyers' Contracts.

Modification of Contracts. In performing its obligations hereunderExcept as provided in the remainder of this Section 9.1, neither Seller nor the Servicer maywill, acting in the name as agent of the Issuer Agent and without the necessity of obtaining the prior consent of the IssuerBuyers or otherwise, the Note Insurer, the Collateral Agent extend or the Indenture Trustee, enter into and grant modifications, waivers and amendments to otherwise compromise or modify the terms of any Buyer Contract or the terms of any Related Security Documents without the prior written approval of the Agent, release any Related Security or alter or amend in any material respect the Credit and Collection Policies with respect to Buyer Contracts, Related Security Documents and Related Security as in effect on the date hereof. The foregoing shall not prohibit the Servicer, as long as the Agent has not terminated PCI’s power to act as Servicer pursuant to Section 3.4, from modifying the terms of any Buyer Contract in a manner consistent with the Credit and Collection Policies as they exist as of the date of this Agreement, provided that (a) notice of such modification is included in each settlement statement delivered to the Agent pursuant to Section 6.1 with respect to the Collection Period during which such modification occurred, (b) the Servicer does not permit more than one such modification to the amortization schedule with respect to any Contract, except (c) no modification extends the date for modifications, waivers or amendments that (i) are inconsistent with final payment under a Buyer Contract beyond the Servicing StandardFinal Maturity Date, (iid) would extend if any modification releases any Related Security, the Servicer pays to the Agent for the benefit of the Buyers on the next Settlement Date an amount equal to the portion of the principal amount outstanding under the modified Buyer Contract that is attributable to the released Related Security, (e) no modification may reduce the interest rate payable on a Buyer Contract (other than a Discounted Contract) below the Buyers’ Rate in effect as of the date of the last Scheduled Payment or any Final Scheduled Payment on any Contract beyond the Class A Maturity Datemodification, (iiif) no modification may reduce the principal amount outstanding under a Buyer Contract without the Buyers’ prior consent, and (g) no Contract may be modified pursuant to this Section 9.1 that would reduce or adversely affect, individually or in cause the aggregate, aggregate Purchase Price allocable to all Buyer Contracts that have been modified by the Obligor's obligation Servicer under this Section 9.1 to maintain, service, insure and care for the Equipment or would permit the permanent alteration of any item of Equipment in any way which could adversely affect its present or future value, be ten percent (iv10%) are affected on any Contract that is either 90 days or more delinquent or a Defaulted Contract or (v) otherwise could adversely affect, individually or in the aggregate, the interest of any of the Indenture Trustee, the Depositor, the Collateral Agent, the Note Insurer or the Noteholders. Notwithstanding the provisions of clause (ii) of the preceding sentence, the Servicer may (1) permit any of the actions set forth in clause (ii) of the preceding sentence, which in the Servicer's sole discretion, in accordance with the Servicing Standard, would maximize Defaulted Contract Recoveries, or (2) permit termination of a Contract which does not otherwise provide for termination by requiring, in the case of either clause (1) or (2), that the Obligor pay, or, if the terms of such extension or termination do not provide for such payment by the Obligor that the Servicer deposit, in lieu aggregate Purchase Price of all future Scheduled Payments and any Final Scheduled Payment with respect to such Contract, an amount which equals or exceeds the related Prepayment Amount for such Contract as of 3:00 p.m. New York time on the Determination Date prior to the Payment Date next succeeding the making of such payment into the Collection Account; provided, however, that the Servicer will not be permitted to allow prepayment by an Obligor if there are any amounts due under the related Contract after such prepayment. In the event of any modification, waiver or amendment of any Contract in accordance with this Section 4.01, the Servicer will promptly furnish the Issuer, the Depositor, the Collateral Agent, the Indenture Trustee and the Note Insurer with a copy thereof, together with a certificate of the Servicer signed by Servicing Officer stating that such modification, waiver or amendment is not prohibited by the provisions of this Section 4.01Buyer Interests.