Common use of Proportional Interest Clause in Contracts

Proportional Interest. Upon payment by the MPF Provider of the amounts due from the MPF Provider pursuant to Section 2.2, the MPF Provider shall thereupon, without the necessity of any written instrument of assignment or document, become vested with its Participation Interest. Upon such payment, the respective interests of the MPF Provider and the MPF Bank in the Loan Documents and the other rights and claims of the MPF Bank shall be as provided in this Agreement. If the MPF Bank acquires, directly or indirectly, an ownership interest due to the purchase, foreclosure or other realization of any security interest in or lien granted by any of the Loan Documents, the MPF Provider shall have the MPF Provider’s Interest in such ownership interest subject only to the allocation of Realized Losses as provided in §3.6.9. of this Agreement, notwithstanding that title is taken in the name of the MPF Bank (or its nominee or designee, including, without limitation, the applicable PFI) alone. The MPF Provider and the MPF Bank agree that the other party shall not be liable or responsible to the MPF Provider or MPF Bank, as the case may be, for any loss upon the enforcement of any Loan or any loss or liability incurred by virtue of the MPF Bank (or its nominee or designee) acquiring, holding or disposing of any title to or interest in any security for any Loan, as long as the MPF Provider or the MPF Bank, as the case may be, acts with respect to such Loan in the same manner as it would act with respect to its own assets.

Proportional Interest. Upon payment by the MPF Provider Participant Bank of the amounts due from the MPF Provider Participant Bank pursuant to Section 2.2, the MPF Provider Participant Bank shall thereupon, without the necessity of any written instrument of assignment or document, become vested with its Participation Interest. Upon such payment, the respective interests of the MPF Provider Participant Bank and the MPF Lead Bank in the Loan Documents and the other rights and claims of the MPF Lead Bank with respect to the Designated Loans shall be as provided in this Agreement. If the MPF Lead Bank acquires, directly or indirectly, an ownership interest due to the purchase, foreclosure or other realization of any security interest in or lien granted by any of the Loan Documents, the MPF Provider Participant Bank shall have the MPF Provider’s a Participation Interest in such ownership interest subject only to the allocation of Realized Losses as provided in §Section 3.6.9. of this Agreement, notwithstanding that title is taken in the name of the MPF Lead Bank (or its nominee or designee, including, without limitation, the applicable PFI) alone. The MPF Provider Participant Bank and the MPF Lead Bank agree that the other party shall not be liable or responsible to the MPF Provider Participant Bank or MPF Lead Bank, as the case may be, for any loss upon the enforcement of any Designated Loan or any loss or liability incurred by virtue of the MPF Lead Bank (or its nominee or designee) acquiring, holding or disposing of any title to or interest in any security for any Designated Loan, as long as the MPF Provider Participant Bank or the MPF Lead Bank, as the case may be, acts with respect to such Designated Loan in the same manner as it would act with respect to its own assets.