Exhibit 99.5
EXECUTION COPY
CUSTODIAL AGREEMENT
THE CUSTODIAL AGREEMENT, dated as of May 1, 2006 (the
"Agreement"), among Xxxxxx Xxxxxxx Mortgage Capital Inc. (the "Purchaser"),
having an address of 1221 Avenue of the Xxxxxxxx, 00xx Xxxxx, Xxx Xxxx, Xxx
Xxxx 00000, American Home Mortgage Corp., having an address at 000 Xxxxxxxxxxx
Xxxx, Xxxxxxxx, Xxx Xxxx 00000 ("American Home", a "Seller"), American Home
Mortgage Servicing, Inc., having an address at 0000 Xxxxxx Xxxx, Xxxxx 000,
Xxxxxx, Xxxxx 00000 ("American Home Servicing", a "Servicer"), The Hemisphere
National Bank, having an address at 0000 Xxxxxxxx Xxxxxx, Xxxxxx Xxxx, Xxx
Xxxx 00000 ("Hemisphere", a "Servicer" and a "Seller"), Xxxxxx Xxxxxxx Credit
Corporation (formerly known as Xxxxxx Xxxxxxx Xxxx Xxxxxx Credit Corporation),
having an address at 0000 Xxxx Xxxx Xxxx, Xxxxxxxxxx, Xxxxxxxx 00000 ("MSCC",
a "Servicer" and a "Seller"), Wachovia Mortgage Corporation, having an address
at 000 Xxxxx Xxxxx Xxxxxx, Xxxxxxxxx, Xxxxx Xxxxxxxx 00000 ("Wachovia", a
"Servicer" and a "Seller"), Xxxxx Fargo Bank, National Association, having an
address at 0000 Xxx Xxxxxxxxx Xxxx, Xxxxxxxx, Xxxxxxxx 00000 (in such
capacity, the "Master Servicer" and the "Securities Administrator"), LaSalle
Bank National Association having an address at 000 Xxxxx XxXxxxx Xxxxxx, Xxxxx
0000, Xxxxxxx, Xxxxxxxx 00000 (the "Trustee") and X.X. Xxxxxx Trust Company,
National Association, having an address at 0000 Xxxxxxxxxx Xxxxxxxxx, Xxxxx
000, Xxxxxx, Xxxxx 00000 (the "Custodian").
Capitalized terms used but not defined herein shall have the
meanings assigned to them in the applicable Sale and Servicing Agreements
referred to below.
WITNESSETH:
WHEREAS, the Purchaser has purchased or agreed to purchase from
the related Seller and the related Seller has sold or agreed to sell to the
Purchaser, certain mortgage loans specified on Exhibit 1 hereto (the "Mortgage
Loans"), pursuant to the terms and conditions of (i) a Mortgage Loan Sale and
Servicing Agreement, dated as of January 1, 2006 between American Home,
American Home Servicing and the Purchaser, (ii) a First Amended and Restated
Mortgage Loan Sale and Servicing Agreement dated December 1, 2005 between
Hemisphere and the Purchaser, (iii) a Third Amended and Restated Master
Mortgage Loan Purchase Agreement, dated as of November 1, 2005 between MSCC
and the Purchaser and an Amended and Restated Master Servicing Agreement,
dated as of February 1, 2004 between MSCC and the Purchaser, and (iv) a
Seller's Purchase, Warranties and Servicing Agreement, dated as of September
1, 2004 between Wachovia and the Purchaser, as supplemented by a Regulation AB
Compliance Addendum dated as of April 17, 2006 between Wachovia and the
Purchaser (collectively, the "Sale and Servicing Agreements");
WHEREAS, the Mortgage Loans purchased pursuant to the Sale and
Servicing Agreements will be serviced by the Servicers pursuant to the
applicable Sale and Servicing Agreement;
WHEREAS, the Mortgage Loans purchased pursuant to the Sale and
Servicing Agreements are being held by the Custodian as custodian for the
Purchaser pursuant to various
custody agreements referenced in the Sale and Servicing Agreements
(collectively, the "Underlying Custody Agreements");
WHEREAS, the Mortgage Loans have been transferred to Xxxxxx
Xxxxxxx Capital I Inc. (the "Depositor") pursuant to a series of Assignment,
Assumption and Recognition Agreements, dated May 1, 2006, each among the
related Seller, the Depositor, the Purchaser, the Master Servicer and the
Trustee;
WHEREAS, the Mortgage Loans have been transferred to the Trustee
on behalf of the Xxxxxx Xxxxxxx Mortgage Loan Trust 2006-8AR (the "Trust")
pursuant to the Pooling and Servicing Agreement dated May 1, 2006 (the "PSA"),
among the Depositor, the Master Servicer, the Securities Administrator and the
Trustee;
WHEREAS, the Mortgage Loans will be master serviced by the Master
Servicer pursuant to the PSA and serviced by the Servicers pursuant to the
Sale and Servicing Agreements;
WHEREAS, the Trustee on behalf of the Trust desires to have the
Custodian take possession of the mortgage and mortgage notes (collectively,
the "Mortgage Notes") for the Mortgage Loans, along with certain other
documents specified herein, as the Custodian of the Trustee or subsequent
purchasers of the Mortgage Loans, in accordance with the terms and conditions
hereof; and
NOW THEREFORE, in consideration of the mutual undertakings herein
expressed, the parties hereto hereby agree as follows:
Section 1. On or prior to May 31, 2006 (the "Closing Date"),
American Home and American Home Servicing shall deliver and release to the
Custodian the documents identified on Schedule 1-A, Hemisphere shall deliver
and release to the Custodian the documents identified on Schedule 1-B as being
required to be delivered to the Purchaser, pertaining to the related Mortgage
Loans as identified in the related Mortgage Loan Schedule, MSCC shall deliver
and release to the Custodian the documents identified on Schedule 1-C, and
Wachovia shall deliver and release to the Custodian the documents identified
on Schedule 1-D, in each case, as being required to be delivered to the
Purchaser, pertaining to the related Mortgage Loans as identified in the
related Mortgage Loan Schedule.
A copy of each Mortgage Loan Schedule is annexed as Exhibit 1 (the
"Mortgage Loan Schedule").
Section 2. From time to time, each Servicer shall forward to the
Custodian additional documents evidencing an assumption or modification of a
Mortgage Loan approved by the Trustee and the Servicer. All Mortgage Loan
documents held by the Custodian as to each Mortgage Loan are referred herein
as the "Custodian's Mortgage File." The Custodian, in its independent
capacity, agrees to act as custodian for the Trustee and any successor to the
Trustee in accordance with the terms and conditions of this Agreement.
Section 3. With respect to the Custodian's Mortgage File delivered
to the Custodian, the Custodian is the exclusive bailee and custodian for the
Trustee, and the Trustee's
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successor or assigns and shall reflect in its records the interest of the
Trustee therein. The Custodian shall hold the Custodian's Mortgage Files for
the exclusive use and benefit of the Trustee and, except as otherwise provided
herein, shall dispose thereof only in accordance with either the terms of this
Agreement or the written instructions of the Trustee. The Custodian shall
maintain continuous custody of all Custodian's Mortgage Files received by it
in secure and fire resistant facilities in accordance with customary standards
for such custody, and shall segregate and identify the Mortgage Loan Files by
pool on its automated data system.
In the event that (i) the Purchaser, a Seller, the Master
Servicer, the Trustee, the Securities Administrator or the Custodian shall be
served by a third party with any type of levy, attachment, writ or court order
with respect to the Custodian's Mortgage File or any document included within
the Custodian's Mortgage File or (ii) a third party shall institute any court
proceeding by which the Custodian's Mortgage File or a document included
within the Custodian's Mortgage File shall be required to be delivered
otherwise than in accordance with the provisions of this Agreement, the party
receiving such notice shall promptly deliver or cause to be delivered to the
other parties to this Agreement, copies of all court papers, orders, documents
and other materials concerning such proceedings. The Custodian shall, to the
extent permitted by law, continue to hold and maintain any portion of the
Custodian's Mortgage File that is the subject of such proceedings pending a
final, nonappealable order of a court of competent jurisdiction permitting or
directing disposition thereof. Upon final determination of such court, the
Custodian shall dispose of the Custodian's Mortgage File as directed by the
Trustee or the Securities Administrator on behalf of the Trustee which shall
give a direction consistent with such determination. All reasonable expenses
and fees (including attorney's fees) of the Custodian incurred as a result of
such proceedings shall be borne by the Trust.
Section 4. On or before May 31, 2006, the Custodian shall deliver
to the Purchaser, the Trustee and the Securities Administrator a Custodial
Receipt in the form annexed hereto as Exhibit 3 (the "Custodial Receipt")
which includes verification that, except as shown on an exceptions list
attached thereto:
(a) all documents required to be delivered to it pursuant to
Section 1 of this Agreement are in the Custodian's possession, provided that
the Custodian shall separately note on the Data Collection Schedule (the "Data
Collection Schedule") any Mortgage Loans with respect to which the original
note is missing and a Lost Note Affidavit and a copy of such note is
delivered; provided, further, that (i) the Custodian shall have no obligation
to verify the receipt of any documents the existence of which was not
delivered or made known to the Custodian as part of the Custodian's Mortgage
File and (ii) the Custodian shall have no obligation to determine whether the
recordation of any document is necessary;
(b) all documents have been examined by the Custodian and appear
regular on their face and relate to the Mortgage Loans;
(c) based only on the Custodian's examination of the foregoing
documents, the information set forth on the Mortgage Loan Schedules
representing each Mortgage Loan accurately reflects the following (within the
tolerances, if any, shown in parentheses):
(1) the Mortgage Loan number,
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(2) the first payment date (acceptable if accurate within 30
days),
(3) the maturity date (acceptable if accurate within 30
days),
(4) the original loan amount,
(5) the original interest rate,
(6) the loan type (FHA, VA, etc.),
(7) loan modifications, if any,
(8) the full name of the borrower(s) (acceptable if first
and/or middle names are missing or initialized (e.g., X.X. Xxxxx
would match Xxxxxxx Xxxxx Xxxxx), acceptable if first names are
shortened or lengthened or nicknames substituted therefor (e.g.,
Xxx for Xxxxxx or Xxxx for Xxxxxxx), acceptable if middle or
maiden names are omitted, acceptable if "Jr.", "Sr.", "II" and
similar designations are omitted, acceptable if discrepancy is a
typographical error),
(9) the property address, including zip code (zip code
acceptable as long as first three digits in zip code match),
(10) the origination date (within 1 month),
(11) the original or current principal and interest payment,
as applicable,
(12) whether the Mortgage Loan is a MERS Mortgage Loan, and
(13) with respect to the adjustable rate Mortgage Loan,
(A) the first Adjustment Date and the Adjustment Date
frequency,
(B) the Gross Margin,
(C) the Maximum Mortgage Interest Rate under the terms
of the Mortgage Note,
(D) the Minimum Mortgage Interest Rate under the terms
of the Mortgage Note,
(E) the Initial Rate Cap and the Periodic Rate Cap,
(F) the first Adjustment Date immediately following
the Cut off Date
(G) the Index, and
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(H) the type of adjustable rate mortgage loan (i.e.
3/1, 5/1, 7/1, etc); and
(d) each Mortgage Note has been endorsed and each assignment of
mortgage has been assigned as described in Schedule 1-A, Schedule 1-B,
Schedule 1-C and Schedule 1-D hereto, provided that the Custodian shall have
no obligation to confirm that the assignments are in recordable form.
In making the verification required by this Section 4 (the
"Verified Information"), the Custodian may rely conclusively on the related
Mortgage Loan Schedule provided by the Purchaser to the Custodian and attached
hereto, and the Custodian shall have no obligation to independently verify the
correctness of such Mortgage Loan Schedule. If any discrepancy exists between
the Verified Information and the related Mortgage Loan Schedule, the Custodian
shall notify the Purchaser, Trustee, Master Servicer, the related Seller and
the related Servicer by attaching a list of such discrepancies to the Final
Certification.
It is understood that before delivering the Custodial Receipt, the
Custodian shall examine the Mortgage Loan Documents to confirm the following
(and shall report any exceptions to these confirmations in the exceptions
report attached to the Custodial Receipt):
(1) each mortgage note, mortgage, guaranty, and
deed of sale bears a signature or signatures that
appear to be original and that purport to be that of
the Person or Persons named as the maker and
mortgagor/trustor or, if photocopies are permitted by
this Agreement, that such copies bear a reproduction
of such signature or signatures;
(2) the principal amount of the indebtedness
secured by the mortgage is identical to the original
principal amount of the note;
(3) the interest rate shown on the note is
identical to the interest rate shown on the applicable
Mortgage Loan Schedule;
(4) the assignment of the mortgage from the
Seller is in the form required pursuant to Section l
hereof, and bears the signature of the Seller, that
appears to be an original and any other necessary
party or, if photocopies are permitted by this
Agreement, such copies bear a reproduction of such
signature or signatures;
(5) if intervening assignments are included in
the Custodian's Mortgage File, each such intervening
assignment bears the signature of the mortgagee and/or
the assignor (and any other necessary party) that
appears to be an original or, if photocopies are
permitted by this Agreement, that such copies bear a
reproduction of such signature or signatures; and
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(6) the title insurance policy, certificate of
title or preliminary title report is for an amount not
less than the original principal amount of the note.
Section 5. Prior to August 30, 2006, the Custodian shall deliver
to the Trustee a Final Certification in the form of Exhibit 4 (the "Final
Certification") evidencing the completeness of the Custodian's Mortgage File
for each Mortgage Loan, with any applicable exceptions noted on the Exceptions
Report attached to such Final Certification.
Section 6. No later than the fifth Business Day of each month,
commencing in June 2006, the Custodian shall, upon request, deliver to each
Servicer, and the Trustee in hard copy format (and if requested, in electronic
format), the exceptions list required by Section 4 hereof, updated to remove
exceptions cured since the date on which the Custodial Receipt was issued
pursuant to Section 4 hereof. In addition, such monthly reports shall list any
document with respect to which the related Seller delivered a copy certifying
that the original had been sent for recording, until such time as the related
Seller delivers to the Custodian the original of such document or a copy
thereof certified by the appropriate public recording office. The Data
Collection Schedule shall not be included unless specifically requested in
advance. Except as specifically provided above, the Custodian shall be under
no duty to review, inspect or examine such documents to determine that any of
them are enforceable or appropriate for their prescribed purpose. During the
life of the Mortgage Loans, in the event the Custodian discovers any defect
with respect to the Custodian's Mortgage Files, the Custodian shall give
written notice of such defect to the Master Servicer, the Trustee, the
Purchaser and the related Seller.
Section 7. The Custodian shall hold in its possession and custody
at X.X. Xxxxxx Trust Company, National Association, 0000 Xxxxxxxxxx Xxxxxxxxx,
Xxxxx 000, Xxxxxx, Xxxxx 00000, for the Trustee or any assignee of the
Trustee, all of the Custodian's Mortgage Files delivered from time to time by
the Servicers to the Custodian.
Section 8. From time to time and as appropriate for the
foreclosure or servicing of the Mortgage Loans, the Trustee hereby authorizes
the Custodian to release to each Servicer and the Master Servicer, within
three (3) business days of receipt of either (i) a written request and receipt
of the related Servicer in the form attached hereto as Exhibit 5(a) (a
"Request for Release") executed by one of the authorized signatories set forth
on Exhibit 6, as such exhibit may be updated from time to time by the related
Servicer or Master Servicer or (ii) an electronic request through the use of
an electronic file request system mutually acceptable to the Custodian, the
related Servicer or Master Servicer, for the a Custodian's Mortgage File or
for certain documents set forth in such request to the place indicated in any
such written request from the related Servicer or Master Servicer. A list of
authorized signatures for such written requests has been furnished to the
Custodian by the Master Servicer and the related Servicer. All Custodian's
Mortgage Files so released to the Master Servicer or a Servicer shall be held
by the related Servicer or Master Servicer in trust for the benefit of the
Trustee in accordance with the terms of the related Sale and Servicing
Agreement. The related Servicer or Master Servicer shall return to the
Custodian the Custodian's Mortgage File when such Servicer's or Master
Servicer's need therefor in connection with such foreclosure or servicing no
longer exist, unless the Mortgage Loan shall be liquidated or paid in full.
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Section 9. The Master Servicer and each Servicer may provide an
electronic transmission of a Request for Release of documents in a form agreed
to in advance of initial transmission between the related Servicer or Master
Servicer and the Custodian containing information readable without
intervention by the Custodian's data processing operations computer hardware
and software staff, and arranged in a record layout to be specified by the
Custodian and agreed to with the related Servicer or Master Servicer (a
"Paperless Release Request"). The Master Servicer and each Servicer agrees to
maintain and control access to electronic signature information and assumes
liability for any unauthorized use thereof. The Master Servicer and each
Servicer also agrees to maintain accurate records of electronic transactions
related to the Custodial Files. The Master Servicer and each Servicer hereby
authorizes the Custodian to automatically append the electronic signature of
an Authorized Representative to the applicable request for release of
documents and agrees and acknowledges that by appending such Authorized
Representatives electronic signature, the Custodian shall be entitled to rely
thereon. For purposes of this Agreement the term "electronic signature" is
defined as an "electronic identifier intended by the person using it to have
the same force and effect as the use of a manual signature."
The Master Servicer and each Servicer agrees in advance to comply
with all Custodian data encryption, security and record layout standards in
connection with any Paperless Release Request as may be amended from time to
time upon notice from the Custodian to the related Servicer or Master
Servicer. The Custodian reserves the right to restrict or suspend the Master
Servicer's and each Servicer's access to the Custodian's computer systems for
maintenance or repairs or for any other reason in the Custodian's sole
discretion; provided however that the Custodian shall promptly provide the
related Servicer or Master Servicer with notice of such restriction or
suspension.
Notwithstanding the foregoing, the Master Servicer and each
Servicer is authorized to transmit and the Custodian is authorized to accept
signed facsimile copies of Requests for Release.
Section 10. Upon the repurchase of any Mortgage Loan or the
payment or liquidation in full of the Mortgage Loan, and within three (3)
Business Days of receipt by the Custodian of the related Servicer's or Master
Servicer's request for release, receipt and certification either (i) in the
form attached hereto as Exhibit 5(b) executed by one of the authorized
signatories set forth on Exhibit 6 as such exhibit may be updated from time to
time by such Servicer or Master Servicer or (ii) through the use of an
electronic request system mutually acceptable to the Custodian, such Servicer
or Master Servicer and the Securities Administrator (which certification shall
include a statement to the effect that all amounts received in connection with
such repurchase or payment in full or liquidation have been credited to the
Servicer's Custodial Account or the Master Servicer's Collection Account, as
provided in the PSA), the Custodian shall release the related Custodian's
Mortgage File to the related Servicer or Master Servicer.
Section 11. Upon reasonable prior written notice, the Custodian
shall permit the Master Servicer, the Securities Administrator, the Trustee
and their respective agents, and the servicing officers of each Servicer, the
Master Servicer, the Securities Administrator and the Trustee the reasonable
access to its premises during the Custodian's normal business hours to
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inspect the Custodian's Mortgage Files and all other documents, records and
other papers in possession or under the control of the Custodian relating to
the Mortgage Loans (or, in the case of the Servicers, the Mortgage Loans
serviced by such Servicer). Each such person shall comply with the Custodian's
reasonable standards and procedures for physical security and personal conduct
while on the Custodian's premises. Any person failing, in the Custodian's sole
but reasonable business judgment, to meet such standards may be removed or
denied access to the premises. The party hereto requesting such examination
shall be responsible for any reasonable expense in connection with such
examination; provided, however, that if such requesting party is the Trustee,
such expense shall be borne by the Trust.
Section 12. The Trustee or the Securities Administrator, with or
without cause, or upon failure by the Custodian to perform or observe any term
of this Agreement, may remove and discharge the Custodian or any successor
Custodian thereafter appointed from the performance of its duties under this
Agreement upon written notice from the Trustee or the Securities
Administrator, as applicable, to the Custodian or the successor Custodian;
provided that at least sixty (60) days prior written notice shall be given
with respect to a removal or discharge without cause. Having given notice of
such removal, the removing party shall promptly appoint a successor Custodian
to act on its behalf by written instrument, an original counterpart of which
instrument shall be delivered to each Seller, the Master Servicer, the
Securities Administrator and the Trustee and one copy to the successor
Custodian. In the event of any such removal, the Custodian shall promptly
transfer, to the successor Custodian or a subsequent purchaser, as directed,
the Custodian's Mortgage Files being administered under this Agreement. Such
transfer shall be at the Custodian's expense only if the Custodian is
discharged and removed upon a failure by the Custodian to perform or observe
any material terms of this Agreement; otherwise such transfer shall occur at
the expense of the removing party; provided, however, that if such requesting
party is the Trustee, such expense shall be borne by the Trust. In any event,
the Custodian shall be entitled to payment of all outstanding fees and
expenses of the Custodian due the Custodian at the time of such removal by the
removing party. In the event that the Trustee or the Securities Administrator
removes the Custodian without cause, any transfer or set up fees payable to
the successor Custodian will be payable by the removing party; provided,
however, that if such requesting party is the Trustee, such expense shall be
borne by the Trust. In any event, the ongoing fees of any successor Custodian,
as mutually agreed in a separate letter agreement between such successor and
the Securities Administrator, shall be paid by the Securities Administrator.
Section 13. The following fees and expenses of the Custodian are
the sole obligation of the Securities Administrator:
Function Fee
--------------------------------------- ---------------------------------------
Annual Safekeeping Fee $0.20 per file per month
File Release Fee $2.75 per file
In addition, the Purchaser shall pay any fees specified in a fee letter
agreement between the Purchaser and the Custodian dated January 1, 2006.
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Section 14. The Custodian shall, at its own expense, maintain at
all times during the existence of this Agreement and keep in full force and
effect, (a) fidelity insurance, (b) errors and omissions insurance and (c) all
risk property insurance. All such insurance shall be in amounts, with standard
coverage and subject to deductibles, all as is customary for insurance
typically maintained by banks which act as custodian and in an amount and with
coverages not less than that required by Xxxxxx Mae. Upon request, the Trustee
will be provided with certificates of insurance, as specified in this
paragraph 14.
Section 15. The Custodian may resign as the Custodian hereunder
upon at least sixty (60) days prior written notice to the Purchaser, the
Master Servicer, the Securities Administrator, each Servicer and the Trustee
whereupon the Custodian shall deliver the Custodian's Mortgage Files to the
Trustee, or a designee of the Trustee, in accordance with directions from the
Trustee. In the event of such resignation, the Securities Administrator shall
pay all outstanding fees (other than expenses directly incurred as a result of
the Custodian's resignation) of the Custodian and shall, with the consent of
the Trustee, appoint a successor Custodian. Upon such appointment, the
Securities Administrator shall promptly deliver a written notification of the
successor Custodian to each Servicer, the Master Servicer, the Trustee and the
Purchaser.
Section 16. For the purpose of facilitating the execution of this
Custodial Agreement as herein provided and for other purposes, this Agreement
may be executed simultaneously in any number of counterparts, each of which
counterparts shall be deemed to be an original, and such counterparts shall
constitute and be one and the same instrument.
Section 17. Upon the request of the Master Servicer, the
Securities Administrator, each Servicer or the Trustee, at any time, the
Custodian shall provide to such party a list of all the Mortgage Loans owned
by the Trustee for which the Custodian holds a Custodian's Mortgage File
pursuant to this Agreement. Such list may be in the form of a copy of the
applicable Mortgage Loan Schedule with manual deletions to specifically denote
any Mortgage Loans paid off, repurchased or liquidated since the date of this
Agreement.
Section 18. The duties and obligations of the Custodian shall only
be such as are expressly set forth in this Agreement or as set forth in a
written amendment to this Agreement executed by the parties hereto or their
successors and assigns. In no event shall the Custodian, its officers,
directors, employees, agents or other representatives be liable for special,
indirect or consequential damages, even if advised of this possibility of the
same.
Section 19. All demands, notices and communications hereunder
shall be in writing and shall be deemed to have been duly given if personally
delivered, delivered by facsimile or mailed by first class mail or overnight
express mail, postage prepaid, to the parties to this agreement at the address
listed on Exhibit 2 or such other address as may hereafter be furnished in
writing to each of the parties to this Agreement. Any such demand, notice or
communication hereunder shall be deemed to have been received on the date
received, if received prior to 4 p.m. standard eastern time, delivered to or
received at the premises of the addressee or received at the facsimile number
of the address, or, if received after 4 p.m. standard eastern time, then on
the next business day.
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Section 20. This Agreement shall be construed in accordance with
the laws of the State of New York, and the obligations, rights and remedies of
the parties hereunder shall be determined in accordance with such laws.
Section 21. The Custodian shall have no duties or obligation
except those expressly stated in this Agreement, and such duties or
obligations shall be determined solely by the express provisions of this
Agreement. The Custodian, its officers, directors, employees, agents or other
representatives shall not be personally liable for any action taken, suffered
or omitted by it in good faith and believed by it to be authorized or within
the discretion or rights or powers conferred upon the Custodian by this
Agreement or in reliance upon any written notice, request, consent,
certificate, order, affidavit, letter, telegram or other document reasonably
believed by it to be genuine and to have been signed or sent by the proper
party or parties; provided, however, that the provision of this paragraph
shall not be construed to relieve the Custodian from liability from its own
negligent action, its own negligent failure to act, or its own bad faith or
willful misconduct or any breach by the Custodian of any of its obligations
hereunder, which breach was due to negligence on the part of the Custodian.
The Custodian will be regarded as making no representations and having no
responsibilities (except as expressly set forth herein) as to the validity,
sufficiency, value, genuineness, ownership or transferability of any Mortgage
Loan, and will not be required to and will not make any representations as to
the validity, value or genuineness of any Mortgage Loan. The Custodian shall
not be obligated to take any legal action hereunder that might in its judgment
involve any expense or liability unless it has been furnished with reasonable
indemnity. The Custodian may rely on and shall be protected in acting in good
faith upon the written instructions of the Purchaser, each Servicer, the
Master Servicer, the Securities Administrator and the Trustee and such
employees and representatives of the Purchaser, each Servicer, the Master
Servicer, the Securities Administrator and the Trustee as each such party may
hereinafter designate in writing. The Custodian may execute any of the powers
hereunder or perform any duties hereunder either directly or through agents or
attorneys, provided, however, that the execution of such powers by any such
agents or attorneys shall not diminish or relieve the Custodian for
responsibility therefor to the same degree as if the Custodian itself had
executed such powers.
Section 22. The Custodian shall be entitled to obtain the advice
or opinion of counsel (which shall be either in house counsel or a nationally
recognized outside counsel) with respect to a matter of law for which the
Custodian has a reasonable question as to the rights and duties relating to
the Custodian hereunder and the Custodian shall have no liability for any
action taken or omitted in conformity with its good faith reliance on such
advice or opinion; provided, however, that the provision of this paragraph
shall not relieve the Custodian from liability from its own negligent
selection of counsel.
Section 23. This Agreement (together with the separate fee
agreement between the Securities Administrator and the Custodian) contains the
entire agreement between the parties relating to the subject matter hereof and
may be amended only by written agreement signed by the parties hereto.
Section 24. [Reserved]
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Section 25. The Purchaser agrees to indemnify and hold the
Custodian, its directors, officers, agents, employees, and other
representatives harmless against any and all liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses, or
disbursements of any kind or nature whatsoever that may be imposed on,
incurred by or asserted against it or them in any way arising out of this
Agreement as a result of any act or failure to act, so long as such act or
failure to act by it or them hereunder does not constitute bad faith,
negligence or willful misconduct of the Custodian or any of its agents,
officers, directors or employees or breach by the Custodian of its obligations
hereunder. The foregoing indemnity shall survive the termination of this
Agreement.
Section 26. This Agreement shall inure to the benefit of the
successors and assigns of the parties hereto.
Section 27. Each party agrees to keep confidential the existence
of this Agreement, the identity of the parties hereto, and any other term or
condition of this Agreement and the transactions contemplated hereby, and to
use such information solely in order to effectuate the purpose of the
Agreement, provided that each party may provide confidential information to
its employees, agents and affiliates who have a need to know such information
in order to effectuate the transaction, and provided, further that such
information is identified as confidential non public information; provided,
however, that the Trustee may disclose such information to its attorneys,
auditors and agents in order to perform its duties and to any regulatory,
administrative or other governmental authority having jurisdiction over the
Trustee. Except as set forth herein, in the event that either party or any of
its employees, agents or affiliates are requested pursuant to, or required by,
applicable law, regulation or legal process to disclose any non public
information, such party will notify the other promptly prior to any such
disclosure so that such party may seek a protective order or other appropriate
remedy or, in such party's sole discretion, waive compliance with the terms of
this Section 27, except as such notice requirement shall not apply to grand
jury subpoenas or when otherwise prohibited by law. In the event that no such
protective order or other remedy is timely obtained, or that such party waives
compliance with the terms of this Section 27, the party required to disclose
such non public information or its employees, agents or affiliates will
furnish only that portion of the non public information that it is advised by
counsel is legally required and will exercise all reasonable efforts to obtain
reliable assurance that confidential treatment will be accorded the non public
information.
Section 28. The Custodian (or any successor thereto) shall at all
times (a) be a depository institution or trust company subject to supervision
by federal or state authority, (b) have a combined capital and surplus of at
least $10,000,000, (c) be qualified to do business in any jurisdiction in
which it holds a Custodian's Mortgage File, (d) be qualified to act as a
custodian for Xxxxxx Xxx, the Federal Home Loan Mortgage Corporation, and the
Government National Mortgage Association, and (e) not be an affiliate of the
Securities Administrator, the Trustee or a Seller, except insofar as the
Securities Administrator, the Trustee or its respective assignee gives its
prior written consent.
Section 29. Upon the initial sale of the Mortgage Loans, the
Custodian shall deliver to the Purchaser, the Trustee, the Securities
Administrator and the Master Servicer (a) an
11
opinion of counsel and (b) an officer's certificate, each in form and
substance reasonably satisfactory to the Purchaser, the Trustee, the
Securities Administrator and the Master Servicer.
Section 30. The Custodian represents, warrants to, and covenants
that:
(a) The Custodian is (i) a national banking association duly
organized, validly existing and in good standing under the laws of the United
States of America and (ii) duly qualified and in good standing and in
possession of all requisite authority, power, licenses, permits and franchises
in order to execute, deliver and comply with its obligations under the terms
of this Agreement;
(b) The execution, delivery and performance of this Agreement have
been duly authorized by all necessary corporate action and the execution and
delivery of this Agreement by the Custodian in the manner contemplated herein
and the performance of and compliance with the terms hereof by it will not (i)
violate, contravene, or create a default under any applicable laws, licenses,
or permits to the best of its knowledge, or (ii) violate, contravene or create
a default under any charter document or bylaw of the Custodian or to the best
of the Custodian's knowledge any contract, agreement or instrument to which
the Custodian or by which any of its property may be bound and will not result
in the creation of any lien, security interest or other charge or encumbrance
upon or with respect to any of its property;
(c) The execution and delivery of this Agreement by the Custodian
and the performance of and compliance with its obligations and covenants
hereunder do not require the consent or approval of any governmental authority
or, if such consent or approval is required, it has been obtained;
(d) The Custodian has duly executed and delivered this Agreement,
and this Agreement, assuming due authorization, execution and delivery by the
other parties hereto, constitutes a legal, valid and binding obligation of the
Custodian, enforceable against it in accordance with its terms, except as the
enforcement thereof may be limited by applicable debtor relief laws and that
certain equitable remedies may not be available regardless of whether
enforcement is sought in equity or law; and
(e) There is no action, suit, proceeding or investigation pending
or, to the Custodian's knowledge, threatened, against the Custodian, which
seeks to prevent the consummation of the transaction contemplated hereby or
which, either in any one instance or in the aggregate, if determined adversely
to the Custodian would adversely affect the execution, delivery or
enforceability of this Agreement, the ability of the Custodian to perform its
obligations hereunder, or have a material adverse effect on the financial
condition of the Custodian.
Section 31. In the event that the Custodian fails to produce a
Mortgage Note, that was in its possession pursuant to Section 1 within five
(5) Business Days after such Mortgage Note has been or requested by the
Trustee, the Securities Administrator, the Master Servicer or the related
Seller, and provided, that (i) Custodian previously delivered to the Trustee,
the Securities Administrator and the Master Servicer a Custodial Receipt with
respect to such Mortgage Note; (ii) such Mortgage Note is not outstanding
pursuant to a Request for Release;
12
and (iii) such Mortgage Note was held by the Custodian on behalf of the
Trustee (a "Custodial Delivery Failure"), then the Custodian shall, with
respect to any missing Mortgage Note, indemnify the Trustee, the Securities
Administrator, the Master Servicer, the related Servicer and the related
Seller in accordance with the succeeding paragraph of this Section 31.
The Custodian agrees to indemnify and hold the Trustee, the
Securities Administrator and the Master Servicer harmless against any and all
direct liabilities, obligations, losses, damages, penalties, actions,
judgments, suits, costs, expenses or disbursements, including reasonable
attorney's fees, that may be imposed on, incurred by, or asserted against it
in connection with or arising out of any Custodial Delivery Failure. The
foregoing indemnification shall survive any termination or assignment of this
Agreement.
Section 32. The Custodian is not responsible for preparing or
filing any reports or returns relating to federal, state or local income taxes
with respect to this Agreement, other than for the Custodian's compensation or
for reimbursement of expenses. The Custodian will be responsible for the
transmission of mortgage files and loan documents, with insurance thereon as
provided in the normal course by the nationally recognized overnight courier
service utilized by the Custodian for such transmission. At the request of the
Trustee or the Securities Administrator, as applicable, the Custodian will
obtain and maintain additional insurance with an insurance provider specified
by the Trustee or the Securities Administrator, as applicable, against loss or
damage to such Mortgage Files and loan documents in connection with such
transmission in an amount specified by the Trustee or the Securities
Administrator, as applicable. The costs and expenses incurred in connection
with obtaining and maintaining such insurance shall be the sole responsibility
of the Trustee or Securities Administrator, which made such request; provided,
however, that if such request was made by the Trustee, any such costs shall be
borne by the Trust. It is expressly agreed that in no event shall the
Custodian have any liability for any losses or damages to any person,
including, without limitation, the Purchaser, the Master Servicer, the
Securities Administrator, the Trustee or a Servicer, arising out of actions of
the Custodian consistent with this Agreement. In the absence of any written
instructions from the Purchaser with respect to the transmission of the
Custodian's Mortgage Files, the parties hereby agree that the Custodian may
utilize any nationally recognized overnight courier service and shall be
entitled to reimbursement from the Securities Administrator.
Section 33. The Purchaser and the Custodian further agree as
follows:
33.01: Intent of the Parties; Reasonableness.
The parties hereto acknowledge and agree that the purpose of this
Section 33 is to facilitate compliance by the Purchaser with the provisions of
Regulation AB and related rules and regulations of the Commission. The
Purchaser shall not exercise its right to request delivery of information or
other performance under these provisions other than in good faith, or for
purposes other than compliance with the Securities Act, the Exchange Act and
the rules and regulations of the Commission under the Securities Act and the
Exchange Act. Each of the parties hereto acknowledges that interpretations of
the requirements of Regulation AB may change over time, whether due to
interpretive guidance provided by the Commission or its staff, consensus among
participants in the mortgage-backed securities markets, advice of counsel, or
otherwise, and agrees to comply with reasonable requests made by the Purchaser
in good faith
13
for delivery of information within the scope of the Custodian's ordinary
course of business under these provisions on the basis of evolving
interpretations of Regulation AB, provided, however that if extraordinary
measures are required to provide information reasonably determined by the
Custodian to be outside the Custodian's ordinary course of business, the
reasonable costs of such compliance will be borne by the Purchaser, so long as
the Custodian provides prior notice to the Purchaser. The Custodian shall
cooperate reasonably with the Purchaser to deliver to the Purchaser (including
any of its assignees or designees), any and all disclosure, statements,
reports, certifications, records and any other information necessary in the
reasonable, good faith determination of the Purchaser to permit the Purchaser
to comply with the provisions of Regulation AB.
33.02: Additional Representations and Warranties of the Custodian.
(a) The Custodian shall be deemed to represent to the Purchaser as
of the date hereof and on each date on which information is provided to the
Purchaser under Section 33.03 that, except as disclosed in writing to the
Purchaser prior to such date: (i) the Custodian is in compliance with all of
the requirements set forth in Section 28 hereof; (ii) there are no material
legal or governmental proceedings pending (or known to be contemplated)
against it of the type described in Item 1117 of Regulation AB; and (iii)
there are no affiliations, relationships or transactions of the type described
in Item 1119 of Regulation AB relating to the Custodian with respect to the
Purchaser or any sponsor, issuing entity, servicer, trustee, originator,
significant obligor, enhancement or support provider or other material
transaction party (as such terms are used in Regulation AB) relating to the
Securitization Transaction contemplated by the Agreement, as identified by the
Purchaser to the Custodian in writing as of the Closing Date (each, a
"Transaction Party").
(b) If so requested by the Purchaser, on or before March 15 of
each calendar year and as needed, commencing in 2007, the Custodian shall,
within five Business Days following such request, confirm in writing the
accuracy of the representations and warranties set forth in paragraph (a) of
this Section or, if any such representation and warranty is not accurate as of
the date of such confirmation, provide reasonably adequate disclosure of the
pertinent facts, in writing, to the requesting party. Any such request from
the Purchaser shall not be given more than once each calendar quarter, unless
the Purchaser shall have a reasonable basis for a determination that any of
the representations and warranties may not be accurate.
33.03: Additional Information to Be Provided by the Custodian.
For so long as the Depositor is subject to Exchange Act reporting
requirements, for the purpose of satisfying the Depositor's reporting
obligation under the Exchange Act with respect to any class of Certificates,
the Custodian shall (a) notify the Depositor in writing of any material
litigation or governmental proceedings pending against the Custodian that
would be material to Certificateholders, and (b) provide to the Depositor a
written description of such proceedings. Any notices and descriptions required
under this Section 33.03 shall be given no later than five Business Days prior
to the Determination Date following the month in which the Custodian has
knowledge of the occurrence of the relevant event.
14
33.04: Defined Terms: The following terms are used in this
Section 33 as defined below:
Commission: The United States Securities and Exchange Commission.
Determination Date: The 15th day (or, if such 15th day is not a
Business Day, the following Business Day) of each month.
Exchange Act. The Securities Exchange Act of 1934, as amended.
Regulation AB: Subpart 229.1100 - Asset Backed Securities
(Regulation AB), 17 C.F.R. ss.ss.229.1100-229.1123, as such may be amended
from time to time, and subject to such clarification and interpretation as
have been provided by the Commission in the adopting release (Asset-Backed
Securities, Securities Act Release No. 33-8518, 70 Fed. Reg. 1,506, 1,531
(Jan. 7, 2005)) or by the staff of the Commission, or as may be provided by
the Commission or its staff from time to time.
Securities Act: The Securities Act of 1933, as amended.
Securitization Transaction. Any transaction involving either (1) a
sale or other transfer of some or all of the Mortgage Loans directly or
indirectly to an issuing entity in connection with an issuance of publicly
offered or privately placed, rated or unrated mortgage-backed securities or
(2) an issuance of publicly offered or privately placed, rated or unrated
securities, the payments on which are determined primarily by reference to one
or more portfolios of residential mortgage loans consisting, in whole or in
part, of some or all of the Mortgage Loans.
Servicing Criteria: The "servicing criteria" set forth in Item
1122(d) of Regulation AB, as such may be amended from time to time.
33.05: Report on Assessment of Compliance and Attestation.
(a) For so long as the Purchaser or the Master Servicer, as applicable,
is filing an annual report on Form 10-K in accordance with the Exchange Act
and the rules and regulations of the Commission, on or before March 15 of each
calendar year, commencing in 2007, the Custodian shall:
(1) deliver to the Purchaser and the Master Servicer a
report regarding the Custodian's assessment of compliance with the
Servicing Criteria during the immediately preceding calendar year,
as required under Rules 13a-18 and 15d-18 of the Exchange Act and
Item 1122 of Regulation AB. Such report shall be signed by an
authorized officer of the Custodian, and shall address each of the
Servicing Criteria specified on a certification substantially in
the form of Exhibit 7 hereto. The Custodian hereby acknowledges
that such report will be relied upon as if it were addressed to
the Purchaser and Master Servicer; and
(2) deliver to the Purchaser and the Master Servicer a
report of a registered public accounting firm that attests to, and
reports on, the assessment of
15
compliance made by the Custodian and delivered pursuant to the
preceding paragraph. Such attestation shall be in accordance with
Rules 1-02(a)(3) and 2-02(g) of Regulation S-X under the
Securities Act and the Exchange Act.
33.06: Indemnification
(a) The Custodian shall indemnify the Depositor, the Master
Servicer and the respective present and former directors, officers, employees,
agents and affiliates of each of the foregoing (each, an "Indemnified Party"),
from and against any claims, losses, damages, penalties, fines, forfeitures,
reasonable and necessary legal fees and related costs, judgments and other
costs and expenses that such Indemnified Party may sustain arising out of
third party claims based on (i) the failure of the Custodian to deliver any
information required under Subsections 33.02 and 33.03 and items required
under Subsection 33.05 of this Agreement or (ii) any material misstatement or
omission contained in any of the foregoing.
If the indemnification provided for herein is unavailable or
insufficient to hold harmless an Indemnified Party, then the Custodian agrees
that it shall contribute to the amount paid or payable by such Indemnified
Party as a result of any claims, losses, damages or liabilities incurred by
such Indemnified Party in such proportion as is appropriate to reflect the
relative fault of such Indemnified Party on the one hand and the Custodian on
the other.
In no event shall the Custodian or its directors, officers, agents or
employees be liable for any special, indirect or consequential damages
resulting from any action taken or omitted to be taken by it or them under, or
in connection with, this Section 33.
(b) In the case of any failure of performance described in clause
(a) of this Subsection 33.06, the Custodian shall promptly reimburse the
Purchaser, any Depositor, as applicable, and each Person responsible for the
preparation, execution or filing of any report required to be filed with the
Commission with respect to such Securitization Transaction, or for execution
of a certification pursuant to Rule 13a-14(d) or Rule 15d-14(d) under the
Exchange Act with respect to such Securitization Transaction, for all costs
reasonably incurred by each such party in order to obtain the information,
report, certification, accountants' letter or other material not delivered as
required by the Custodian, any Subservicer, or any Subcontractor.
This indemnification shall survive the termination of this Agreement or
the termination of any party to this Agreement.
16
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement by their duly authorized officers as of the date first above
written.
XXXXXX XXXXXXX MORTGAGE
CAPITAL INC.,
as Purchaser
By: /s/ Xxxxxxx Xxx
_________________________________
Name: Xxxxxxx Xxx
Title: Vice President
AMERICAN HOME MORTGAGE CORP.
By: /s/ Xxxx X. Xxxx
_________________________________
Name: Xxxx X. Xxxx
Title: Executive Vice President
General Counsel & Secretary
AMERICAN HOME MORTGAGE SERVICING, INC.
By: /s/ Xxxx X. Xxxx
_________________________________
Name: Xxxx X. Xxxx
Title: Executive Vice President
General Counsel & Secretary
THE HEMISPHERE NATIONAL BANK,
as Seller and Servicer
By: /s/ Xxxxxx Xxxxxxxx
_________________________________
Name: Xxxxxx Xxxxxxxx
Title: President
By: /s/ Xxxxxxx Xxxxx
_________________________________
Name: Xxxxxxx Xxxxx
Title: Senior Managing Directo
XXXXXX XXXXXXX CREDIT CORPORATION,
as Seller and Servicer
By: /s/ Xxxxx X. Xxxxxxxx
_________________________________
Name: Xxxxx X. Xxxxxxxx
Title: Senior Vice President
WACHOVIA MORTGAGE CORPORATION,
as Seller and Servicer
By: /s/ Xxxxxx X. Xxxxxx
_________________________________
Name: Xxxxxx X. Xxxxxx
Title: Vice President
X.X. XXXXXX TRUST COMPANY, N.A. as
Custodian
By: /s/ Xxxxx Xxxxxx
_________________________________
Name: Xxxxx Xxxxxx
Title: Authorized Signatory
LASALLE BANK NATIONAL ASSOCIATION,
as Trustee of Xxxxxx Xxxxxxx Mortgage
Loan Trust 2006-8AR
By: /s/ Xxxxx X. Xxxx
_________________________________
Name: Xxxxx X. Xxxx
Title: Assistant Vice President
XXXXX FARGO BANK, NATIONAL ASSOCIATION,
as Master Servicer
By: /s/ Xxxxxxxx X. Xxxxx
_________________________________
Name: Xxxxxxxx X. Xxxxx
Title: Vice President
XXXXX FARGO BANK, NATIONAL ASSOCIATION,
as Securities Administrator
By: /s/ Xxxxxxxx X. Xxxxx
_________________________________
Name: Xxxxxxxx X. Xxxxx
Title: Vice President
EXHIBIT 1
MORTGAGE LOAN SCHEDULE
[See Schedule I to the PSA]
EXHIBIT 2
(1) If to the Purchaser:
Xxxxxx Xxxxxxx Mortgage Capital Inc.
0000 Xxxxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attention: Whole Loan Operations Manager
(2) If to the Custodian:
X.X. Xxxxxx Trust Company, National Association
0000 Xxxxxxxxxx
Xxxxxxxxx, Xxxxx 000,
Xxxxxx, Xxxxx 00000
Attention: Custody Manager
Phone: (000) 000-0000
Fax: (000) 000-0000
(3) If to American Home, as Seller:
American Home Mortgage Corp.
000 Xxxxxxxxxxx Xxxx
Xxxxxxxx, Xxx Xxxx 00000
Attention: General Counsel
with a copy to:
Xxxx X. Xxxx, General Counsel
American Home Mortgage Corp.
000 Xxxxxxxxxxx Xxxx
Xxxxxxxx, Xxx Xxxx 00000
In the case of American Home, as Servicer:
Xxxxx Xxxxxxxx
American Home Mortgage Servicing, Inc.
0000 Xxxxxx Xxxx, Xxxxx 000
Xxxxxx, Xxxxx 00000
with a copy to:
Xxxx Xxxx, General Counsel
American Home Mortgage Servicing, Inc.
000 Xxxxxxxxxxx Xxxx
Xxxxxxxx, Xxx Xxxx 00000
(4) If to Hemisphere, as Seller:
The Hemisphere National Bank
0000 Xxxxxxxx Xxxxxx, 0xx Xxxxx
Xxxxxx Xxxx, Xxx Xxxx 00000
Attention: Xxxxxxx Xxxxxx
with a copy to:
The Hemisphere National Bank
0000 Xxxxxxxx Xxxxxx, 0xx Xxxxx
Xxxxxx Xxxx, Xxx Xxxx 00000
Attention: Xxxxxxx Xxxxx
If to Hemisphere, as Servicer:
The Hemisphere National Bank
0000 X. X. 00xx Xxxxxx, Xxxxx 000
Xxxxx, Xxxxxxx 00000
Attention: Xxxx Xxxxxxx
with copies to:
The Hemisphere National Bank
0000 Xxxxxxxx Xxxxxx, 0xx Xxxxx
Xxxxxx Xxxx, Xxx Xxxx 00000
Attention: Xxxxxxx Xxxxxx
The Hemisphere National Bank
0000 Xxxxxxxx Xxxxxx, 0xx Xxxxx
Xxxxxx Xxxx, Xxx Xxxx 00000
Attention: Xxxxxxx Xxxxx
(5) If to Xxxxxx Xxxxxxx Credit Corporation, as Seller:
Xxxxxx Xxxxxxx Credit Corporation
0000 Xxxx Xxxx Xxxx
Xxxxxxxxxx, Xxxxxxxx 00000
Attention: Law Division, Secondary Marketing
If to Xxxxxx Xxxxxxx Credit Corporation, as Servicer:
Xxxxxx Xxxxxxx Credit Corporation
0000 Xxxx Xxxx Xxxx
Xxxxxxxxxx, Xxxxxxxx 00000
Attention: Vice President of Secondary Marketing
(6) If to Wachovia:
Wachovia Mortgage Corporation
000 Xxxxx Xxxxx Xxxxxx
Xxxxxxxxx, Xxxxx Xxxxxxxx 00000
Attention: Xxxxxx Xxxxxx
with a copy to:
Wachovia Mortgage Corporation
0000 Xxxxxxxxx Xxxxxx Xxxxx
Xxxxxxx, Xxxxx Xxxxxxxx 00000
Attention: Xxx Xxxxxx
(7) If to the Trustee:
LaSalle Bank National Association
000 Xxxxx XxXxxxx Xxxxxx, Xxxxx 0000
Xxxxxxx, Xxxxxxxx 00000
Attention: Global Securities and Trust Services MSM 2006-8AR
(8)
Xxxxx Fargo Bank, National Association
0000 Xxx Xxxxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Attention: Client Manager, MSM 2006-8AR
EXHIBIT 3
FORM OF CUSTODIAL RECEIPT
[ ], 2006
Xxxxxx Xxxxxxx Capital I Inc.
0000 Xxxxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Xxxxxx Xxxxxxx & Co. Incorporated
0000 Xxxxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Xxxxx Fargo Bank, N.A.
0000 Xxx Xxxxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
LaSalle Bank National Association
000 Xxxxx XxXxxxx Xxxxxx, Xxxxx 0000
Xxxxxxx, Xxxxxxxx 00000
Attention: Global Securities and Trust Services MSM 2006-8AR
Re: The Custodial Agreement, dated as of May 1, 2006, among
Xxxxxx Xxxxxxx Mortgage Capital Inc., as the Purchaser,
American Home Mortgage Corp., American Home Mortgage
Servicing, Inc., The Hemisphere National Bank, Xxxxxx
Xxxxxxx Credit Corporation and Wachovia Mortgage
Corporation as Sellers and Servicers, X.X. Xxxxxx Trust
Company, National Association, as Custodian, Xxxxx Fargo
Bank, National Association, as Master Servicer and
Securities Administrator and LaSalle Bank National
Association, as Trustee
--------------------------------------------------------
Ladies and Gentlemen:
In accordance with the provision of Section 4 of the above
referenced Custodial Agreement, the undersigned, as the Custodian, hereby
certifies that as to each Mortgage Loan listed on the attached Mortgage Loan
Schedules, it has reviewed the Custodian's Mortgage File and has determined
that, except as set forth in the attached exception report, (a) all documents
required to be delivered to it pursuant to Section 1 of the Custodial
Agreement are in its possession; provided, that the Custodian has no
obligation to verify the receipt of any such documents if the existence of
which was not made known to the Custodian by the Custodian's Mortgage File,
and provided, further, that the Custodian has no obligation to determine
whether recordation of any such modification is necessary; (b) such documents
have been reviewed by it and appear regular on their face and to relate to
such Mortgage Loans; provided, however, that the Custodian makes no
representation and has no responsibilities as to the authenticity of such
documents, their compliance with applicable law, or the collectability of any
of the Mortgage
Loans relating thereto; (c) based upon its examination, and only as to the
foregoing documents, the information set forth on the Mortgage Loan Schedules
accurately reflects, within permitted tolerances, the Verified Information
with respect to each Mortgage Loan; and (d) each Mortgage Note has been
endorsed and each assignment has been assigned as required under Section 1 of
the Custodial Agreement. Moreover, the attached Data Collection Schedule
accurately and completely sets forth the information required to be set forth
therein pursuant to Section 4 of the Custodial Agreement.
X.X. XXXXXX TRUST COMPANY, NATIONAL
ASSOCIATION, as Custodian
By:_________________________________
Name:
Title:
EXHIBIT 4
FORM OF FINAL CERTIFICATION
[ ], 2006
Xxxxxx Xxxxxxx Capital I Inc.
0000 Xxxxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Xxxxxx Xxxxxxx & Co. Incorporated
0000 Xxxxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Xxxxx Fargo Bank, N.A.
0000 Xxx Xxxxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
LaSalle Bank National Association
000 Xxxxx XxXxxxx Xxxxxx, Xxxxx 0000
Xxxxxxx, Xxxxxxxx 00000
Attention: Global Securities and Trust Services MSM 2006-8AR
Re: The Custodial Agreement, dated as of May 1, 2006, among
Xxxxxx Xxxxxxx Mortgage Capital Inc., as the Purchaser,
American Home Mortgage Corp., American Home Mortgage
Servicing, Inc., The Hemisphere National Bank, Xxxxxx
Xxxxxxx Credit Corporation and Wachovia Mortgage
Corporation as Sellers and Servicers, X.X. Xxxxxx Trust
Company, National Association, as Custodian, Xxxxx Fargo
Bank, National Association, as Master Servicer and
Securities Administrator and LaSalle Bank National
Association, as Trustee
--------------------------------------------------------
Ladies and Gentlemen:
In accordance with the provision of Section 5 of the above
referenced Custodial Agreement, the undersigned, as the Custodian, hereby
certifies that as to each Mortgage Loan listed on the attached Mortgage Loan
Schedules, it has reviewed the Custodian's Mortgage File and has determined
that, except as set forth in the attached exception report, (a) all documents
required to be delivered to it pursuant to Section 1 of the Custodial
Agreement are in its possession; provided that the Custodian has no obligation
to verify the receipt of any such documents if the existence of which was not
made known to the Custodian by the Custodian's Mortgage File, and provided,
further, that the Custodian has no obligation to determine whether recordation
of any such modification is necessary; (b) such documents have been reviewed
by it and appear regular on their face and to relate to such Mortgage Loans;
provided, however, that the Custodian makes no representation and has no
responsibilities as to the authenticity of such documents, their compliance
with applicable law, or the collectability of any of the Mortgage
Loans relating thereto; and (c) each Mortgage Note has been endorsed and each
assignment has been assigned as required under Section 1 of the Custodial
Agreement.
X.X. XXXXXX TRUST COMPANY, NATIONAL
ASSOCIATION, as Custodian
By:_________________________________
Name:
Title:
EXHIBIT 5(a)
X.X. Xxxxxx Trust Company, National Association
0000 Xxxxxxxxxx Xxxxxxxxx, Xxxxx 000,
Xxxxxx, Xxxxx 00000
Attention: Custody Manager
Re: Mortgagor:
Pool No.:
Alternative Loan No.:
Inv. Loan No.:
Inv. Code No.:
Property:
Dear [ ]:
Please be advised that the subject loan is presently delinquent
and [Name of individual Servicer] is attempting to collect the arrearage or
alternately will commence foreclosure proceedings. Therefore, would you please
release to us the Custodian's Mortgage File (as such term is defined in the
Custodial Agreement, dated as of May 1, 2006, among Xxxxxx Xxxxxxx Mortgage
Capital Inc., as the Purchaser, American Home Mortgage Corp., American Home
Mortgage Servicing, Inc., The Hemisphere National Bank, Xxxxxx Xxxxxxx Credit
Corporation and Wachovia Mortgage Corporation as Sellers and Servicers, X.X.
Xxxxxx Trust Company, National Association, as Custodian, Xxxxx Fargo Bank,
National Association, as Master Servicer and Securities Administrator and
LaSalle Bank National Association, as Trustee). Should this loan re instate,
all documents will be returned to you as custodian. Please forward all of the
documents to my attention.
Very truly yours,
Document Control
Authorized Signature
EXHIBIT 5(b)
X.X. Xxxxxx Trust Company, National Association
0000 Xxxxxxxxxx Xxxxxxxxx, Xxxxx 000,
Xxxxxx, Xxxxx 00000
Attention: Custody Manager
Re: [Servicer] Loan Number:
ALT Loan Number:
Pool:
Series:
Customer Name:
Please return to the Servicer the Custodian's Mortgage File (as
such term is defined in the Custodial Agreement, dated as of May 1, 2006,
among Xxxxxx Xxxxxxx Mortgage Capital Inc., as the Purchaser, American Home
Mortgage Corp., American Home Mortgage Servicing, Inc., The Hemisphere
National Bank, Xxxxxx Xxxxxxx Credit Corporation and Wachovia Mortgage
Corporation as Sellers and Servicers, X.X. Xxxxxx Trust Company, National
Association, as Custodian, Xxxxx Fargo Bank, National Association, as Master
Servicer and Securities Administrator and LaSalle Bank National Association,
as Trustee) on the above referenced loan, as the loan has been [paid in full]
[repurchased] [liquidated].
These documents should be returned to:
[Name and Address of individual Servicer]
If you have any questions concerning this matter, please feel
free to contact me directly at _________.
Sincerely,
Reconveyance Department
Name:_______________________________
I hereby certify that all amounts received in connection with the
repurchase, liquidation, or payment in full of this loan, as applicable, have
been credited to the Custodial Account as provided in the relevant Agreement
for the above referenced issue.
Settlement Date:__________________________
Name:_____________________________________
Title:____________________________________
EXHIBIT 6
LIST OF AUTHORIZED SIGNATORIES FOR [EACH SERVICER].
NAME SPECIMEN SIGNATURE
_______________________________ _______________________________
_______________________________ _______________________________
_______________________________ _______________________________
_______________________________ _______________________________
_______________________________ _______________________________
_______________________________ _______________________________
_______________________________ _______________________________
_______________________________ _______________________________
EXHIBIT 7
SERVICING CRITERIA TO BE ADDRESSED IN ASSESSMENT OF COMPLIANCE
The assessment of compliance to be delivered by the Custodian shall address,
at a minimum, the criteria identified as below as "Applicable Servicing
Criteria":
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APPLICABLE
SERVICING
SERVICING CRITERIA CRITERIA
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Reference Criteria
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General Servicing Considerations
---------------- ----------------
Policies and procedures are instituted to
monitor any performance or other triggers and
events of default in accordance with the
1122(d)(1)(i) transaction agreements.
---------------- ----------------
If any material servicing activities are
outsourced to third parties, policies and
procedures are instituted to monitor the third
party's performance and compliance with such
1122(d)(1)(ii) servicing activities.
---------------- ----------------
Any requirements in the transaction agreements
to maintain a back-up servicer for the mortgage
1122(d)(1)(iii) loans are maintained.
---------------- ----------------
A fidelity bond and errors and omissions policy
is in effect on the party participating in the
servicing function throughout the reporting
period in the amount of coverage required by and
otherwise in accordance with the terms of the
1122(d)(1)(iv) transaction agreements.
---------------- ----------------
Cash Collection and Administration
---------------- ----------------
Payments on mortgage loans are deposited into
the appropriate custodial bank accounts and
related bank clearing accounts no more than two
business days following receipt, or such other
number of days specified in the transaction
1122(d)(2)(i) agreements.
---------------- ----------------
Disbursements made via wire transfer on behalf
of an obligor or to an investor are made only by
1122(d)(2)(ii) authorized personnel.
---------------- ----------------
Advances of funds or guarantees regarding
collections, cash flows or distributions, and
any interest or other fees charged for such
advances, are made, reviewed and approved as
1122(d)(2)(iii) specified in the transaction agreements.
---------------- ----------------
The related accounts for the transaction, such
as cash reserve accounts or accounts established
as a form of overcollateralization, are
separately maintained (e.g., with respect to
commingling of cash) as set forth in the
1122(d)(2)(iv) transaction agreements.
---------------- ----------------
Each custodial account is maintained at a
federally insured depository institution as set
forth in the transaction agreements. For
purposes of this criterion, "federally insured
depository institution" with respect to a
foreign financial institution means a foreign
financial institution that meets the
requirements of Rule 13k-1(b)(1) of the
1122(d)(2)(v) Securities Exchange Act.
---------------- ----------------
Unissued checks are safeguarded so as to prevent
1122(d)(2)(vi) unauthorized access.
---------------- ----------------
Reconciliations are prepared on a monthly basis
for all asset-backed securities related bank
accounts, including custodial accounts and
related bank clearing accounts. These
reconciliations are (A) mathematically accurate;
(B) prepared within 30 calendar days after the
bank statement cutoff date, or such other number
of days specified in the transaction agreements;
(C) reviewed and approved by someone other than
the person who prepared the reconciliation; and
(D) contain explanations for reconciling items.
These reconciling items are resolved within 90
calendar days of their original identification,
or such other number of days specified in the
1122(d)(2)(vii) transaction agreements.
---------------- ----------------
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APPLICABLE
SERVICING
SERVICING CRITERIA CRITERIA
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Reference Criteria
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Investor Remittances and Reporting
---------------- ----------------
Reports to investors, including those to be
filed with the Commission, are maintained in
accordance with the transaction agreements and
applicable Commission requirements.
Specifically, such reports (A) are prepared in
accordance with timeframes and other terms set
forth in the transaction agreements; (B) provide
information calculated in accordance with the
terms specified in the transaction agreements;
(C) are filed with the Commission as required by
its rules and regulations; and (D) agree with
investors' or the trustee's records as to the
total unpaid principal balance and number of
1122(d)(3)(i) mortgage loans serviced by the Servicer.
---------------- ----------------
Amounts due to investors are allocated and
remitted in accordance with timeframes,
distribution priority and other terms set forth
1122(d)(3)(ii) in the transaction agreements.
---------------- ----------------
Disbursements made to an investor are posted
within two business days to the Servicer's
investor records, or such other number of days
1122(d)(3)(iii) specified in the transaction agreements.
---------------- ----------------
Amounts remitted to investors per the investor
reports agree with cancelled checks, or other
1122(d)(3)(iv) form of payment, or custodial bank statements.
---------------- ----------------
Pool Asset Administration
---------------- ----------------
Collateral or security on mortgage loans is
maintained as required by the transaction X
1122(d)(4)(i) agreements or related mortgage loan documents.
---------------- ----------------
Mortgage loan and related documents are
safeguarded as required by the transaction X
1122(d)(4)(ii) agreements
---------------- ----------------
Any additions, removals or substitutions to the
asset pool are made, reviewed and approved in
accordance with any conditions or requirements
1122(d)(4)(iii) in the transaction agreements.
---------------- ----------------
Payments on mortgage loans, including any
payoffs, made in accordance with the related
mortgage loan documents are posted to the
Servicer's obligor records maintained no more
than two business days after receipt, or such
other number of days specified in the
transaction agreements, and allocated to
principal, interest or other items (e.g.,
escrow) in accordance with the related
1122(d)(4)(iv) mortgage loan documents.
---------------- ----------------
The Servicer's records regarding the mortgage
loans agree with the Servicer's records with
respect to an obligor's unpaid principal
1122(d)(4)(v) balance.
---------------- ----------------
Changes with respect to the terms or status of
an obligor's mortgage loans (e.g., loan
modifications or re-agings) are made, reviewed
and approved by authorized personnel in
accordance with the transaction agreements and
1122(d)(4)(vi) related pool asset documents.
---------------- ----------------
Loss mitigation or recovery actions (e.g.,
forbearance plans, modifications and deeds in
lieu of foreclosure, foreclosures and
repossessions, as applicable) are initiated,
conducted and concluded in accordance with the
timeframes or other requirements established by
1122(d)(4)(vii) the transaction agreements.
---------------- ----------------
Records documenting collection efforts are
maintained during the period a mortgage loan is
delinquent in accordance with the transaction
agreements. Such records are maintained on at
least a monthly basis, or such other period
specified in the transaction agreements, and
describe the entity's activities in monitoring
delinquent mortgage loans including, for
example, phone calls, letters and payment
rescheduling plans in cases where delinquency is
deemed temporary (e.g., illness or
1122(d)(4)(viii)unemployment).
---------------- ----------------
Adjustments to interest rates or rates of return
for mortgage loans with variable rates are
computed based on the related mortgage loan
1122(d)(4)(ix) documents.
---------------- ----------------
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APPLICABLE
SERVICING
SERVICING CRITERIA CRITERIA
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Reference Criteria
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Regarding any funds held in trust for an obligor
(such as escrow accounts): (A) such funds are
analyzed, in accordance with the obligor's
mortgage loan documents, on at least an annual
basis, or such other period specified in the
transaction agreements; (B) interest on such
funds is paid, or credited, to obligors in
accordance with applicable mortgage loan
documents and state laws; and (C) such funds are
returned to the obligor within 30 calendar days
of full repayment of the related mortgage loans,
or such other number of days specified in the
1122(d)(4)(x) transaction agreements.
---------------- ----------------
Payments made on behalf of an obligor (such as
tax or insurance payments) are made on or before
the related penalty or expiration dates, as
indicated on the appropriate bills or notices
for such payments, provided that such support
has been received by the servicer at least 30
calendar days prior to these dates, or such
other number of days specified in the
1122(d)(4)(xi) transaction agreements.
---------------- ----------------
Any late payment penalties in connection with
any payment to be made on behalf of an obligor
are paid from the servicer's funds and not
charged to the obligor, unless the late payment
1122(d)(4)(xii) was due to the obligor's error or omission.
---------------- ----------------
Disbursements made on behalf of an obligor are
posted within two business days to the obligor's
records maintained by the servicer, or such
other number of days specified in the
1122(d)(4)(xiii)transaction agreements.
---------------- ----------------
Delinquencies, charge-offs and uncollectible
accounts are recognized and recorded in
1122(d)(4)(xiv) accordance with the transaction agreements.
---------------- ----------------
Any external enhancement or other support,
identified in Item 1114(a)(1) through (3) or
Item 1115 of Regulation AB, is maintained as
1122(d)(4)(xv) set forth in the transaction agreements.
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SCHEDULE 1-A
LIST OF DOCUMENTS FOR AMERICAN HOME
With respect to each Mortgage Loan, the Mortgage Loan Documents
shall include each of the following items, which shall be available for
inspection by the Purchaser and any prospective Purchaser, and which shall be
delivered to the Custodian, or to such other Person as the Purchaser shall
designate in writing:
(a) the original Mortgage Note bearing all intervening
endorsements, endorsed "Pay to the order of _________, without recourse" and
signed in the name of the last endorsee (the "Last Endorsee") by an authorized
officer. To the extent that there is no room on the face of the Mortgage Notes
for endorsements, the endorsement may be contained on an allonge, if state law
so allows and the Custodian is so advised by the Seller that state law so
allows. If the Mortgage Loan was acquired by the Seller in a merger, the
endorsement must be by "[Last Endorsee], successor by merger to [name of
predecessor]". If the Mortgage Loan was acquired or originated by the Last
Endorsee while doing business under another name, the endorsement must be by
"[Last Endorsee], formerly known as [previous name]";
(b) the original of any guarantee executed in connection with the
Mortgage Note;
(c) with respect to Mortgage Loans that are not Co-op Loans, the
original Mortgage with evidence of recording thereon. With respect to any
Co-op Loan, an original or copy of the Security Agreement. If in connection
with any Mortgage Loan, the Seller cannot deliver or cause to be delivered the
original Mortgage with evidence of recording thereon on or prior to the
Closing Date because of a delay caused by the public recording office where
such Mortgage has been delivered for recordation or because such Mortgage has
been lost or because such public recording office retains the original
recorded Mortgage, the Seller shall deliver or cause to be delivered to the
Custodian, a photocopy of such Mortgage, together with (i) in the case of a
delay caused by the public recording office, an Officer's Certificate of the
Seller (or certified by the title company, escrow agent, or closing attorney)
stating that such Mortgage has been dispatched to the appropriate public
recording office for recordation and that the original recorded Mortgage or a
copy of such Mortgage certified by such public recording office to be a true
and complete copy of the original recorded Mortgage will be promptly delivered
to the Custodian upon receipt thereof by the Seller; or (ii) in the case of a
Mortgage where a public recording office retains the original recorded
Mortgage or in the case where a Mortgage is lost after recordation in a public
recording office, a copy of such Mortgage certified by such public recording
office to be a true and complete copy of the original recorded Mortgage;
(d) the originals of all assumption, modification, consolidation
or extension agreements, if any, with evidence of recording thereon;
(e) with respect to Mortgage Loans that are not Co-op Loans, the
original Assignment of Mortgage for each Mortgage Loan, in form and substance
acceptable for recording (except with respect to MERS Designated Loans). The
Assignment of Mortgage must be duly recorded only if recordation is either
necessary under applicable law or commonly
required by private institutional mortgage investors in the area where the
Mortgaged Property is located or on direction of the Purchaser as provided in
this Agreement. If the Assignment of Mortgage is to be recorded, the Mortgage
shall be assigned to the Purchaser. If the Assignment of Mortgage is not to be
recorded, the Assignment of Mortgage shall be delivered in blank. If the
Mortgage Loan was acquired by the Seller in a merger, the Assignment of
Mortgage must be made by "[Seller], successor by merger to [name of
predecessor]". If the Mortgage Loan was acquired or originated by the Seller
while doing business under another name, the Assignment of Mortgage must be by
"[Seller], formerly known as [previous name]";
(f) with respect to Mortgage Loans that are not Co-op Loans, the
originals of all intervening assignments of mortgage (if any) evidencing a
complete chain of assignment from the Seller to the Last Endorsee (or, in the
case of a MERS Designated Loan, MERS) with evidence of recording thereon, or
if any such intervening assignment has not been returned from the applicable
recording office or has been lost or if such public recording office retains
the original recorded assignments of mortgage, the Seller shall deliver or
cause to be delivered to the Custodian, a photocopy of such intervening
assignment, together with (i) in the case of a delay caused by the public
recording office, an Officer's Certificate of the Seller (or certified by the
title company, escrow agent, or closing attorney) stating that such
intervening assignment of mortgage has been dispatched to the appropriate
public recording office for recordation and that such original recorded
intervening assignment of mortgage or a copy of such intervening assignment of
mortgage certified by the appropriate public recording office to be a true and
complete copy of the original recorded intervening assignment of mortgage will
be promptly delivered to the Custodian upon receipt thereof by the Seller; or
(ii) in the case of an intervening assignment where a public recording office
retains the original recorded intervening assignment or in the case where an
intervening assignment is lost after recordation in a public recording office,
a copy of such intervening assignment certified by such public recording
office to be a true and complete copy of the original recorded intervening
assignment;
(g) with respect to Mortgage Loans that are not Co-op Loans, the
original mortgagee policy of title insurance or, in the event such original
title policy is unavailable, a certified true copy of the related policy
binder or commitment for title certified to be true and complete by the title
insurance company;
(h) the original or, if unavailable, a copy of any security
agreement, chattel mortgage or equivalent document executed in connection with
the Mortgage;
(i) with respect to any Co-op Loan: (i) a copy of the Co-op Lease
and the assignment of such Co-op Lease, with all intervening assignments
showing a complete chain of title and an assignment thereof by Seller; (ii)
the stock certificate together with an undated stock power relating to such
stock certificate executed in blank; (iii) the recognition agreement of the
interests of the Mortgagee with respect to the Co-op Loan by the residential
cooperative housing corporation, the stock of which was pledged by the related
Mortgagor to the originator of such Co-op Loan; and (iv) copies of the
financial statement filed by the originator as secured party and, if
applicable, a filed UCC-3 assignment of the subject security interest showing
a complete chain of title, together with an executed UCC-3 assignment of such
security interest by the Seller in a form sufficient for filing; and
(j) if any of the above documents has been executed by a person
holding a power of attorney, an original or photocopy of such power certified
by the Seller to be a true and correct copy of the original.
In the event an Officer's Certificate of the Seller is delivered to the
Purchaser because of a delay caused by the public recording office in
returning any recorded document, the Seller shall deliver to the Purchaser,
within 90 days of the related Closing Date, an Officer's Certificate which
shall (i) identify the recorded document, (ii) state that the recorded
document has not been delivered to the Custodian due solely to a delay caused
by the public recording office, (iii) state the amount of time generally
required by the applicable recording office to record and return a document
submitted for recordation, and (iv) specify the date the applicable recorded
document will be delivered to the Custodian; provided, however, that any
recorded document shall in no event be delivered later than one year following
the related Closing Date. An extension of the date specified in clause (iv)
above may be requested from the Purchaser, which consent shall not be
unreasonably withheld.
SCHEDULE 1-B
LIST OF DOCUMENTS FOR THE HEMISPHERE NATIONAL BANK
With respect to each Mortgage Loan, the Mortgage Loan Documents
shall consist of the following:
(a) the original Mortgage Note bearing all intervening
endorsements, endorsed "Pay to the order of _________, without recourse" and
signed in the name of the last endorsee (the "Last Endorsee") by an authorized
officer. To the extent that there is no room on the face of the Mortgage Notes
for endorsements, the endorsement may be contained on an allonge, if state law
so allows and the Custodian is so advised by the Seller that state law so
allows. If the Mortgage Loan was acquired by the Seller in a merger, the
endorsement must be by "[Last Endorsee], successor by merger to [name of
predecessor]". If the Mortgage Loan was acquired or originated by the Last
Endorsee while doing business under another name, the endorsement must be by
"[Last Endorsee], formerly known as [previous name]";
(b) the original of any guarantee executed in connection with the
Mortgage Note;
(c) with respect to Mortgage Loans that are not Co-op Loans, the
original Mortgage with evidence of recording thereon. With respect to any
Co-op Loan, an original or copy of the Security Agreement. If in connection
with any Mortgage Loan, the Seller cannot deliver or cause to be delivered the
original Mortgage with evidence of recording thereon on or prior to the
Closing Date because of a delay caused by the public recording office where
such Mortgage has been delivered for recordation or because such Mortgage has
been lost or because such public recording office retains the original
recorded Mortgage, the Seller shall deliver or cause to be delivered to the
Custodian, a photocopy of such Mortgage, together with (i) in the case of a
delay caused by the public recording office, an Officer's Certificate of the
Seller (or certified by the title company, escrow agent, or closing attorney)
stating that such Mortgage has been dispatched to the appropriate public
recording office for recordation and that the original recorded Mortgage or a
copy of such Mortgage certified by such public recording office to be a true
and complete copy of the original recorded Mortgage will be promptly delivered
to the Custodian upon receipt thereof by the Seller; or (ii) in the case of a
Mortgage where a public recording office retains the original recorded
Mortgage or in the case where a Mortgage is lost after recordation in a public
recording office, a copy of such Mortgage certified by such public recording
office to be a true and complete copy of the original recorded Mortgage;
(d) the originals of all assumption, modification, consolidation
or extension agreements, if any, with evidence of recording thereon;
(e) with respect to Mortgage Loans that are not Co-op Loans, the
original Assignment of Mortgage for each Mortgage Loan, in form and substance
acceptable for recording (except with respect to MERS Designated Loans). The
Assignment of Mortgage must be duly recorded only if recordation is either
necessary under applicable law or commonly required by private institutional
mortgage investors in the area where the Mortgaged Property is located or on
direction of the Purchaser as provided in this Agreement. If the Assignment of
Mortgage is to be recorded, the Mortgage shall be assigned to the Purchaser.
If the Assignment of Mortgage is not to be recorded, the Assignment of
Mortgage shall be delivered in blank. If the Mortgage Loan was acquired by the
Seller in a merger, the Assignment of Mortgage must be made by "[Seller],
successor by merger to [name of predecessor]". If the Mortgage Loan was
acquired or originated by the Seller while doing business under another name,
the Assignment of Mortgage must be by "[Seller], formerly known as [previous
name]";
(f) with respect to Mortgage Loans that are not Co-op Loans, the
originals of all intervening assignments of mortgage (if any) evidencing a
complete chain of assignment from the Seller to the Last Endorsee (or, in the
case of a MERS Designated Loan, MERS) with evidence of recording thereon, or
if any such intervening assignment has not been returned from the applicable
recording office or has been lost or if such public recording office retains
the original recorded assignments of mortgage, the Seller shall deliver or
cause to be delivered to the Custodian, a photocopy of such intervening
assignment, together with (i) in the case of a delay caused by the public
recording office, an Officer's Certificate of the Seller (or certified by the
title company, escrow agent, or closing attorney) stating that such
intervening assignment of mortgage has been dispatched to the appropriate
public recording office for recordation and that such original recorded
intervening assignment of mortgage or a copy of such intervening assignment of
mortgage certified by the appropriate public recording office to be a true and
complete copy of the original recorded intervening assignment of mortgage will
be promptly delivered to the Custodian upon receipt thereof by the Seller; or
(ii) in the case of an intervening assignment where a public recording office
retains the original recorded intervening assignment or in the case where an
intervening assignment is lost after recordation in a public recording office,
a copy of such intervening assignment certified by such public recording
office to be a true and complete copy of the original recorded intervening
assignment;
(g) with respect to Mortgage Loans that are not Co-op Loans, the
original mortgagee policy of title insurance or, in the event such original
title policy is unavailable, a certified true copy of the related policy
binder or commitment for title certified to be true and complete by the title
insurance company;
(h) the original or, if unavailable, a copy of any security
agreement, chattel mortgage or equivalent document executed in connection with
the Mortgage;
(i) with respect to any Co-op Loan: (i) a copy of the Co-op Lease,
if any, and the assignment of such Co-op Lease, if any, with all intervening
assignments showing a complete chain of title and an assignment thereof by
Seller; (ii) the stock certificate together with an undated stock power
relating to such stock certificate executed in blank; (iii) the recognition
agreement of the interests of the Mortgagee with respect to the Co-op Loan by
the residential cooperative housing corporation, the stock of which was
pledged by the related Mortgagor to the originator of such Co-op Loan; and
(iv) copies of the financial statement filed by the originator as secured
party and, if applicable, a filed UCC-3 assignment of the subject security
interest showing a complete chain of title, together with, if applicable, an
executed UCC-3 assignment of such security interest by the Seller in a form
sufficient for filing; and
(j) if any of the above documents has been executed by a person
holding a power of attorney, an original or photocopy of such power certified
by the Seller to be a true and correct copy of the original.
In the event an Officer's Certificate of the Seller is delivered
to the Purchaser because of a delay caused by the public recording office in
returning any recorded document, the Seller shall deliver to the Purchaser,
within 90 days of the related Closing Date, an Officer's Certificate which
shall (i) identify the recorded document, (ii) state that the recorded
document has not been delivered to the Custodian due solely to a delay caused
by the public recording office, (iii) state the amount of time generally
required by the applicable recording office to record and return a document
submitted for recordation, and (iv) specify the date the applicable recorded
document will be delivered to the Custodian; provided, however, that any
recorded document shall in no event be delivered later than one year following
the related Closing Date. An extension of the date specified in clause (iv)
above may be requested from the Purchaser, which consent shall not be
unreasonably withheld.
SCHEDULE 1-C
LIST OF DOCUMENTS FOR XXXXXX XXXXXXX CREDIT CORP.
(a) the original Mortgage Note bearing all intervening
endorsements, endorsed "Pay to the order of __________, without recourse" and
signed in the name of the last endorsee (the "Last Endorsee") by an authorized
officer. Any endorsement may be contained on an allonge, if state law so
allows and the Custodian is so advised by the Seller that state law so allows.
If the Mortgage Loan was acquired by the Seller in a merger, the endorsement
must be by "[Last Endorsee], successor by merger to [name of predecessor]". If
the Mortgage Loan was acquired or originated by the Last Endorsee while doing
business under another name, the endorsement must be by "[Last Endorsee],
formerly known as [previous name]";
(b) the original of any guarantee executed in connection with the
Mortgage Note;
(c) with respect to Mortgage Loans that are not Co-op Loans, the
original Mortgage with evidence of recording thereon. With respect to any
Co-op Loan, an original or copy of the Security Agreement;
(d) the originals of all assumption, modification, consolidation
or extension agreements, if any, with evidence of recording thereon;
(e) with respect to Mortgage Loans that are not Co-op Loans, the
original Assignment of Mortgage for each Mortgage Loan (or, in lieu of an
original signature page of the Assignment of Mortgage, a facsimile or a
Portable Document Format (PDF) copy thereof), in form and substance acceptable
for recording (except with respect to MERS Designated Mortgage Loans). The
Assignment of Mortgage shall be delivered in blank. If the Mortgage Loan was
acquired by the Seller in a merger, the Assignment of Mortgage must be made by
"[Seller], successor by merger to [name of predecessor]". If the Mortgage Loan
was acquired or originated by the Seller while doing business under another
name, the Assignment of Mortgage must be by "[Seller], formerly known as
[previous name]". With respect to any Co-op Loan, an original or copy of the
assignment of the Security Agreement endorsed in blank, together with all
intervening assignments thereof;
(f) with respect to Mortgage Loans that are not Co-op Loans, the
originals of all intervening assignments of mortgage (if any) evidencing a
complete chain of assignment from the Seller to the Last Endorsee (or, in the
case of a MERS Designated Mortgage Loan, MERS) with evidence of recording
thereon;
(g) with respect to Mortgage Loans that are not Co-op Loans, the
original mortgagee policy of title insurance or, in the event such original
title policy is unavailable, a certified true copy of the related policy
binder or commitment for title certified to be true and complete by the title
insurance company;
(h) the original or, if unavailable, a copy of any security
agreement, chattel mortgage or equivalent document executed in connection with
the Mortgage; and
(i) with respect to any Co-op Loan: (i) a copy of the Co-op Lease
and the assignment of such Co-op Lease, with all intervening assignments
showing a complete chain of title and an assignment thereof by Seller; (ii)
the stock certificate together with an undated stock power relating to such
stock certificate executed in blank; (iii) the recognition agreement of the
interests of the mortgagee with respect to the Co-op Loan by the residential
cooperative housing corporation, the stock of which was pledged by the related
Mortgagor to the originator of such Co-op Loan; (iv) copies of the financing
statement filed by the originator as secured party and, if applicable, a filed
UCC-3 Assignment of the subject security interest showing a complete chain of
title, together with an executed UCC-3 Assignment of such security interest by
the Seller; and
if any of the above documents has been executed by a person holding a power of
attorney, an original or photocopy of such power certified by the Seller to be
a true and correct copy of the original.
SCHEDULE 1-D
LIST OF DOCUMENTS FOR WACHOVIA MORTGAGE CORPORATION
With respect to each Mortgage Loan, the Mortgage File shall
include each of the following items, which shall be available for inspection
by the Purchaser, and which shall be retained by Wachovia Mortgage Corporation
(the "Seller") in the Servicing File or delivered to the Purchaser or its
designee pursuant to Sections 2.04 and 2.05 of the Seller's Purchase,
Warranties and Servicing Agreement.
1. The original Mortgage Note endorsed "Pay to the order of
___________________ without recourse," and signed in the name of the Seller by
an authorized officer, with all intervening endorsements showing a complete
chain of title from the originator to the Seller. If the Mortgage Loan was
acquired by the Seller in a merger, the endorsement must be by "[Seller],
successor by merger to the [name of predecessor]". If the Mortgage Loan was
acquired or originated by the Seller while doing business under another name,
the endorsement must be by "[Seller] formerly known as [previous name]". If
the original note is unavailable, seller will provide an affidavit of lost
note (in form acceptable to the Purchaser) stating that the original Mortgage
Note was lost or destroyed, together with a copy of such Mortgage Note and
indemnifying the Purchaser against any and all claims arising as a result of
any person or entity claiming they are the holder of the note or that the note
has been paid off and returned.
2. A true certified copy, certified by the [title insurer], of the
applicable First Lien.
3. Except as provided below and for each Mortgage Loan that is not
a MERS Mortgage Loan, the original Mortgage with evidence of recording
thereon, or a copy thereof certified by the public recording office in which
such mortgage has been recorded or, if the original Mortgage has not been
returned from the applicable public recording office, a true certified copy,
certified by the [title insurer], of the original Mortgage together with a
certificate of the Seller certifying that the original Mortgage has been
delivered for recording in the appropriate public recording office of the
jurisdiction in which the Mortgaged Property is located and in the case of
each MERS Mortgage Loan, the original Mortgage, noting the presence of the MIN
of the Mortgage Loans and either language indicating that the Mortgage Loan is
a MOM Loan or if the Mortgage Loan was not a MOM Loan at origination, the
original Mortgage and the assignment thereof to MERS, with evidence of
recording indicated thereon, or a copy of the Mortgage certified by the public
recording office in which such Mortgage has been recorded.
4. The original or certified to be a true copy or if in electronic
form identified on the Mortgage Loan Schedule, the certificate number,
certified by the Seller, of the related Primary Mortgage Insurance Policy, if
required.
5. In the case of each Mortgage Loan that is not a MERS Mortgage
Loan, the original Assignment, from the Seller in accordance with Purchaser's
instructions, which assignment shall, but for any blanks requested by the
Purchaser, be in form and substance
acceptable for recording, or a copy certified by the Seller as a true and
correct copy of the original Assignment which has been sent for recordation.
If the Mortgage Loan was acquired or originated by the Seller while doing
business under another name, the Assignment must be by "[Seller] formerly
known as [previous name]".
6. With respect to Mortgage Loans that are not Co-op Loans, the
original policy of title insurance, including riders and endorsements thereto,
or if the policy has not yet been issued, a written commitment or interim
binder or preliminary report of title issued by the title insurance or escrow
company.
7. Originals of all recorded intervening Assignments, or copies
thereof, certified by the public recording office in which such Assignments
have been recorded showing a complete chain of title from the originator to
the Seller, with evidence of recording thereon, or a copy thereof certified by
the public recording office in which such Assignment has been recorded or, if
the original Assignment has not been returned from the applicable public
recording office, a true certified copy, certified by the [title insurer] of
the original Assignment together with a certificate of the [title insurer]
certifying that the original Assignment has been delivered for recording in
the appropriate public recording office of the jurisdiction in which the
Mortgaged Property is located.
8. Originals, or copies thereof certified by the public recording
office in which such documents have been recorded, of each assumption,
extension, modification, written assurance or substitution agreements, if
applicable, or if the original of such document has not been returned from the
applicable public recording office, a true certified copy, certified by the
[title insurer], of such original document together with certificate of Seller
certifying the original of such document has been delivered for recording in
the appropriate recording office of the jurisdiction in which the Mortgaged
Property is located.
9. If the Mortgage Note or Mortgage or any other material document
or instrument relating to the Mortgage Loan has been signed by a person on
behalf of the Mortgagor, the original power of attorney or other instrument
that authorized and empowered such person to sign bearing evidence that such
instrument has been recorded, if so required in the appropriate jurisdiction
where the Mortgaged Property is located (or, in lieu thereof, a duplicate or
conformed copy of such instrument, together with a certificate of receipt from
the recording office, certifying that such copy represents a true and complete
copy of the original and that such original has been or is currently submitted
to be recorded in the appropriate governmental recording office of the
jurisdiction where the Mortgaged Property is located), or if the original
power of attorney or other such instrument has been delivered for recording in
the appropriate public recording office of the jurisdiction in which the
Mortgaged Property is located.
10. With respect to a Co-op Loan: (i) a copy of the Co-op Lease
and the assignment of such Co-op Lease to the originator of the Mortgage Loan,
with all intervening assignments showing a complete chain of title and an
assignment thereof by Seller; (ii) the stock certificate together with an
undated stock power relating to such stock certificate executed in blank;
(iii) the recognition agreement in substantially the same form as standard a
"AZTECH" form; (iv) copies of the financial statement filed by the originator
as secured party and, if applicable, a filed UCC-3 Assignment of the subject
security interest showing a complete chain
of title, together with an executed UCC-3 Assignment of such security interest
by the Seller in a form sufficient for filing.
11. The original of any guarantee executed in connection with the
Mortgage Note. Notwithstanding anything to the contrary herein, the Seller may
provide one certificate for all of the Mortgage Loans indicating that the
documents were delivered for recording.
