Common use of Servicer Defaults; Termination of Servicer Clause in Contracts

Servicer Defaults; Termination of Servicer. (a) The Servicer may be terminated and replaced with respect to any Series as set forth in, and in accordance with the provisions of, the related Series Servicing Supplement. (b) The Member may terminate NMAC as servicer of the Unallocated Assets upon any material breach by the Servicer of its obligations under this Agreement (any such breach, a “Servicer Default”); provided, however, that upon any such termination, the Servicer shall continue to perform its functions as Servicer of the Unallocated Assets and the Titling Company until a Successor Servicer assumes servicing responsibilities hereunder. All reasonable costs and expenses incurred in connection with transferring the servicing of the related Leases and Leased Vehicles to the Successor Servicer and amending this Agreement to reflect such succession as Servicer shall be paid by the predecessor Servicer upon presentation of reasonable documentation of such costs and expenses. (c) In the event of the partial termination of any, but not all, of the Servicer’s rights and powers hereunder, the Servicer (shall continue to service, administer and collect Leases and Leased Vehicles in unaffected Series and shall have the right to receive servicing compensation in accordance with the related Series Servicing Supplement with respect to all such unaffected Series. (d) Any compensation payable to a Successor Servicer may not be in excess of that permitted the predecessor Servicer unless the related Holders bear such excess costs exclusively.