Remedies Available to SBA. If SBA purchases the Guaranteed Interest from Registered Holder because of default by Lender, and if Borrower has not been in uncured default on any payment due under the Note for more than sixty (60) calendar days, SBA shall have the option: (a) to require Lender to purchase the Guaranteed Interest from SBA for an amount equal to the amount paid by SBA to Registered Holder plus accrued interest (at the interest rate provided in the Note) from the date of the SBA purchase to the date of the Lender’s repurchase, plus a penalty equal to twenty percent (20%) of the amount paid by SBA; or (b) to require Lender to pay SBA a penalty equal to twenty percent (20%) of the amount paid by SBA to Registered Holder.
Appears in 6 contracts
Samples: Secondary Participation Guaranty Agreement, Secondary Participation Guaranty Agreement, Secondary Participation Guaranty Agreement
