Common use of Seller's Obligation in Respect of Non Clause in Contracts

Seller's Obligation in Respect of Non. Performing Leases. ------------------------------------------------------- In the event that any Lease shall become a Non-Performing Lease, and the Originator shall not have substituted one or more Substitute Leases therefor in accordance with the provisions of Section 11, the Seller shall pay to the Issuer in the manner provided in the next sentence an amount equal to the lesser of (i) the amount of all recoveries by the Seller in respect of the sale, re- lease or other disposition of any item of Equipment subject to such Non- Performing Lease and (ii) the Discounted Present Value of such Non-Performing Lease (the "Recourse Amount"). The amount of any such recoveries, up to the Recourse Amount, shall be deposited into the Collection Account within two Business Days of the receipt thereof by the Seller or the Servicer. The Seller's obligations under this Section 5.05 are secured by a security interest from the Seller to the Issuer in all right, title and interest of the Seller in and to the Equipment subject to the Leases (whether or not constituting Non-Performing Leases).

Seller's Obligation in Respect of Non. Performing Leases. ------------------------------------------------------- In the event that any Lease shall become a Non-Performing Lease, and the Originator shall not have substituted one or more Substitute Leases therefor in accordance with the provisions of Section 11, the Seller shall pay to the Issuer in the manner provided in the next sentence an amount equal to the lesser of (i) the amount of all recoveries by the Seller in respect of the sale, re- re-lease or other disposition of any item of Equipment subject to such Non- Non-Performing Lease and (ii) the Discounted Present Value of such Non-Performing Lease (the "Recourse Amount"). The amount of any such recoveries, up to the Recourse Amount, shall be deposited into the Collection Account within two Business Days of the receipt thereof by the Seller or the Servicer. The Seller's obligations under this Section 5.05 are secured by a security interest from the Seller to the Issuer in all right, title and interest of the Seller in and to the Equipment subject to the Leases (whether or not constituting Non-Performing Leases).