Common use of SUCCESSOR TO PURCHASER Clause in Contracts

SUCCESSOR TO PURCHASER. (a) Prior to termination of the Purchaser's responsibilities and duties under this Agreement pursuant to Sections (W) or (Y) of Exhibit M, the Seller shall (i) succeed to and assume all of the Purchaser's responsibilities, rights, duties and obligations under this Agreement, or (ii) appoint a successor which shall succeed to all rights and assume all of the responsibilities, duties and liabilities of the Purchaser as servicer under this Agreement. In connection with such appointment and assumption, the Seller may make such arrangements for the reasonable compensation of such successor out of payments on Mortgage Loans as it and such successor shall agree. In the event that the Purchaser's duties, responsibilities and liabilities as servicer under this Agreement should be terminated pursuant to Sections (W) or (Y) of Exhibit M, the Purchaser shall discharge such duties and responsibilities during the period from the date it acquires knowledge of such termination until the effective date thereof with the same degree of diligence and prudence which it is obligated to exercise under this Agreement, and shall take no action whatsoever that might impair or prejudice the rights or financial condition of the Seller or such successor. The termination of the Purchaser as servicer pursuant to Sections (W) or (Y) of Exhibit M shall not become effective until a successor shall be appointed pursuant to this Section 13.17.