Representations and Warranties Relating to the Mortgage Loans. In connection with the Mortgage Loans transferred and assigned hereunder, Xxxxxx Mae may, at its option, elect to repurchase any Mortgage Loan as to which there shall have occurred (i) a material breach of any representation and warranty made (including, for this purpose, any eligibility requirement) under the Sale and Servicing Agreement and (ii) the failure by any responsible party to take appropriate action with respect thereto pursuant to the Sale and Servicing Agreement. The Trustee agrees to release any Mortgage Loan from the Trust upon payment of the Purchase Price therefor in the event that such Mortgage Loan is the subject of a breach of a representation and warranty and an election has been made to repurchase the Mortgage Loan. In connection with such transfer of each Mortgage Loan, Xxxxxx Xxx shall have taken possession of the related Mortgage Note endorsed in blank by the Servicer under the Sale and Servicing Agreement, together with such other related documents as Xxxxxx Mae shall have deemed necessary. In the event that Xxxxxx Xxx shall discover subsequent to the transfer and assignment of a Mortgage Loan to the Trustee that the actual principal balance of such Mortgage Loan at the date such Mortgage Loan’s principal balance was calculated was different from such Mortgage Loan’s Issue Date Principal Balance as specified in the Mortgage Loan Schedule, Xxxxxx Mae may make such adjustments as shall be necessary to bring such actual balance and specified principal balance into agreement.
Appears in 4 contracts
Samples: Trust Agreement, Trust Agreement, Trust Agreement
