Common use of Servicer Breach Clause in Contracts

Servicer Breach. In addition to taking any action required pursuant to Section 7.01 hereof, upon discovery or notice of any breach by the Servicer of any representation, warranty or covenant hereunder not covered by Section 2.06(a)(1) above which materially and adversely affects the value of any Asset or the interest of the Trust therein (it being understood that any such defect or breach shall be deemed to have materially and adversely affected the value of the related Asset or the interest of the Trust therein if the Trust incurs a loss as a result of such defect or breach), the Trustee promptly shall notify the Servicer of such breach. Upon receipt of such notification, the Servicer shall cure such breach or shall purchase such Asset from the Trustee within 90 days after the date on which the Servicer was notified of such breach. Notwithstanding the foregoing, however, if such breach is a Qualification Defect and one or more REMIC elections have been made with respect to the related Trust, such cure or purchase must take place within 75 days of the Defect Discovery Date. In the event the Seller has breached a representation or warranty under its Sales Agreement that is substantially identical to a representation or warranty breached by the Servicer, the Servicer shall first proceed against the Seller. If the Seller does not within 60 days after notification of the breach, take steps to cure such breach or purchase or substitute for the Mortgage Loan, the Servicer shall cure such breach or purchase the Mortgage Loan from the Trust as provided in this Section 2.06(a)(2).

Servicer Breach. In addition to taking any action required pursuant to Section 7.01 hereof, upon discovery or notice of any breach by the Servicer of any representation, warranty or covenant hereunder not covered by Section 2.06(a)(1) above which materially and adversely affects the value of any Asset or the interest of the Trust therein (it being understood that any such defect or breach shall be deemed to have materially and adversely affected the value of the related Asset or the interest of the Trust therein if the Trust incurs a loss as a result of such defect or breach), the Trustee promptly shall notify the Servicer of such breach. Upon receipt of such notification, the Servicer shall cure such breach or shall purchase such Asset from the Trustee within 90 days after the date on which the Servicer was notified of such breach. Notwithstanding the foregoing, however, if such breach is a Qualification Defect and one or more REMIC elections have been made with respect to the related Trust, such cure or purchase must take place within 75 days of the Defect Discovery Date. In the event the Seller has breached a representation or warranty under its Sales Agreement that is substantially identical to a representation or warranty breached by the Servicer, the Servicer shall first proceed against the Seller. If the Seller does not within 60 days after notification of the breach, take steps to cure such breach or purchase or substitute for the Mortgage Loan, the Servicer shall cure such breach or purchase the Mortgage Loan from the Trust as provided in this Section 2.06(a)(2).days

Servicer Breach. In addition to taking any action required pursuant to Section 7.01 hereof, upon discovery or notice of any breach by the Servicer of any representation, warranty or covenant hereunder not covered by Section 2.06(a)(1) above -39- 66 which materially and adversely affects the value of any Asset or the interest of the Trust therein (it being understood that any such defect or breach shall be deemed to have materially and adversely affected the value of the related Asset or the interest of the Trust therein if the Trust incurs a loss as a result of such defect or breach), the Trustee promptly shall notify the Servicer of such breach. Upon receipt of such notification, the Servicer shall cure such breach or shall purchase such Asset from the Trustee within 90 days after the date on which the Servicer was notified of such breach. Notwithstanding the foregoing, however, if such breach is a Qualification Defect and one or more REMIC elections have been made with respect to the related Trust, such cure or purchase must take place within 75 days of the Defect Discovery Date. In the event the Seller has breached a representation or warranty under its Sales Agreement that is substantially identical to a representation or warranty breached by the Servicer, the Servicer shall first proceed against the Seller. If the Seller does not within 60 days after notification of the breach, take steps to cure such breach or purchase or substitute for the Mortgage Loan, the Servicer shall cure such breach or purchase the Mortgage Loan from the Trust as provided in this Section 2.06(a)(2).