EXECUTION COPY
RESIDENTIAL ASSET MORTGAGE PRODUCTS, INC.,
as Purchaser,
GMAC MORTGAGE, LLC,
as Seller and Servicer,
WALNUT GROVE MORTGAGE LOAN TRUST 2003-A,
as Seller,
GMACM HOME EQUITY LOAN TRUST 2007-HE1,
as Issuer,
and
THE BANK OF NEW YORK TRUST COMPANY, N.A.,
as Indenture Trustee
____________________________________________
MORTGAGE LOAN PURCHASE AGREEMENT
____________________________________________
Dated as of March 29, 2007
ARTICLE I DEFINITIONS 3
Section 1.1 Definitions........................................................................3
Section 1.2 Other Definitional Provisions......................................................3
ARTICLE II SALE OF MORTGAGE LOANS AND RELATED PROVISIONS.........................................................4
Section 2.1 Sale of Initial Mortgage Loans.....................................................4
Section 2.2 Sale of Subsequent Mortgage Loans..................................................7
Section 2.3 Payment of Purchase Price.........................................................10
ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH.................................................11
Section 3.1 Representations and Warranties....................................................11
ARTICLE IV SELLERS’ COVENANTS...................................................................................21
Section 4.1 Covenants of the Sellers..........................................................21
ARTICLE V SERVICING 21
Section 5.1 Servicing.........................................................................21
ARTICLE VI LIMITATION ON LIABILITY OF THE SELLERS...............................................................21
Section 6.1 Limitation on Liability of the Sellers............................................21
ARTICLE VII TERMINATION.........................................................................................22
Section 7.1 Termination.......................................................................22
ARTICLE VIII MISCELLANEOUS PROVISIONS...........................................................................22
Section 8.1 Amendment.........................................................................22
Section 8.2 Governing Law.....................................................................22
Section 8.3 Notices...........................................................................22
Section 8.4 Severability of Provisions........................................................24
Section 8.5 Relationship of Parties...........................................................24
Section 8.6 Counterparts......................................................................24
Section 8.7 Further Agreements................................................................24
Section 8.8 Intention of the Parties..........................................................24
Section 8.9 Successors and Assigns; Assignment of this Agreement..............................24
Section 8.10 Survival..........................................................................25
Section 8.11 Third Party Beneficiary...........................................................25
EXHIBIT 1 MORTGAGE LOAN SCHEDULE.....................................................................Exhibit 1-B-1
EXHIBIT 2 FORM OF SUBSEQUENT TRANSFER AGREEMENT........................................................Exhibit 2-1
EXHIBIT 2 FORM OF ADDITION NOTICE .....................................................................Exhibit 3-1
This Mortgage Loan Purchase Agreement (the “Agreement”), dated as of March 29, 2007, is made among GMAC Mortgage, LLC, as
seller (“GMACM”) and as servicer (in such capacity, the “Servicer”), Walnut Grove Mortgage Loan Trust 2003-A, as seller (“WG Trust
2003” and, together with GMACM, each a “Seller” and collectively, the “Sellers”), Residential Asset Mortgage Products, Inc., as
purchaser (the “Purchaser”), GMACM Home Equity Loan Trust 2007-HE1, as issuer (the “Issuer”), and The Bank of New York Trust Company,
N.A., as indenture trustee (the “Indenture Trustee”).
WITNESSETH:
WHEREAS, GMACM, in the ordinary course of its business acquires and originates home equity loans and acquired or originated
all of the home equity loans listed on the Mortgage Loan Schedule attached as Exhibit 1 hereto (the “Initial Mortgage Loans”);
WHEREAS, GMACM sold a portion of the Initial Mortgage Loans (the “WG Trust 2003 Initial Mortgage Loans”) and intends to sell
a portion of the Subsequent Mortgage Loans to be sold by WG Trust 2003 hereunder, to Walnut Grove Funding, LLC (“Walnut Grove”),
pursuant to a Mortgage Loan Purchase Agreement (the “Walnut Grove Purchase Agreement”), dated as of January 31, 2003 (each date of
sale, a “Prior Transfer Date”) among Walnut Grove, as purchaser, GMACM, as seller, WG Trust 2003, as Issuer and Bank One, National
Association, as trustee;
WHEREAS, Walnut Grove sold the WG Trust 2003 Initial Mortgage Loans to WG Trust 2003 pursuant to a Trust Agreement, dated as
of January 31, 2003, between Walnut Grove, as depositor and Wilmington Trust Company, as owner trustee;
WHEREAS, GMACM owns the Cut-Off Date Principal Balances and the Related Documents for the portion of Initial Mortgage Loans
identified on the Mortgage Loan Schedule attached as Exhibit 1-A hereto (the “GMACM Initial Mortgage Loans”), including rights to
(a) any property acquired by foreclosure or deed in lieu of foreclosure or otherwise, and (b) the proceeds of any insurance policies
covering the GMACM Initial Mortgage Loans;
WHEREAS, WG Trust 2003 owns the Cut-Off Date Principal Balances and the Related Documents for the WG Trust 2003 Initial
Mortgage Loans identified on the Mortgage Loan Schedule-B attached as Exhibit 1-B hereto, including rights to (a) any property
acquired by foreclosure or deed in lieu of foreclosure or otherwise, and (b) the proceeds of any insurance policies covering the
WG Trust 2003 Initial Mortgage Loans;
WHEREAS, the parties hereto desire that: (i) GMACM sell the Cut-Off Date Principal Balances of the GMACM Initial Mortgage
Loans to the Purchaser on the Closing Date pursuant to the terms of this Agreement together with the Related Documents relating to
the GMACM Initial Mortgage Loans created on or after the Cut-Off Date, (ii) WG Trust 2003 sell the Cut-Off Date Principal Balances of
the WG Trust 2003 Initial Mortgage Loans to the Purchaser on the Closing Date pursuant to the terms of this Agreement together with
the Related Documents relating to the WG Trust 2003 Initial Mortgage Loans created on or after the Cut-Off Date, (iii) the Sellers
may sell Subsequent Mortgage Loans to the Issuer on one or more Subsequent Transfer Dates pursuant to the terms of the related
Subsequent Transfer Agreement, and (iv) the related Seller and GMACM make certain representations and warranties on the Closing Date
and on each Subsequent Transfer Date;
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WHEREAS, pursuant to the Trust Agreement, the Purchaser will sell the Initial Mortgage Loans and transfer all of its rights
under this Agreement to the Issuer on the Closing Date;
WHEREAS, pursuant to the terms of the Servicing Agreement, the Servicer will service the Mortgage Loans;
WHEREAS, pursuant to the terms of the Trust Agreement, the Issuer will issue the Certificates;
WHEREAS, pursuant to the terms of the Indenture, the Issuer will issue the Notes, secured by the Trust Estate;
NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties hereto agree as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. For all purposes of this Agreement, except as otherwise expressly provided herein or unless
the context otherwise requires, capitalized terms not otherwise defined herein shall have the meanings assigned to such terms in the
Definitions contained in Appendix A to the indenture dated as of March 29, 2007 (the “Indenture”), between the Issuer and the
Indenture Trustee, which is incorporated by reference herein. All other capitalized terms used herein shall have the meanings
specified herein.
Section 1.2 Other Definitional Provisions. All terms defined in this Agreement shall have the defined meanings when
used in any certificate or other document made or delivered pursuant hereto unless otherwise defined therein.
As used in this Agreement and in any certificate or other document made or delivered pursuant hereto or thereto, accounting
terms not defined in this Agreement or in any such certificate or other document, and accounting terms partly defined in this
Agreement or in any such certificate or other document, to the extent not defined, shall have the respective meanings given to them
under generally accepted accounting principles. To the extent that the definitions of accounting terms in this Agreement or in any
such certificate or other document are inconsistent with the meanings of such terms under generally accepted accounting principles,
the definitions contained in this Agreement or in any such certificate or other document shall control.
The words “hereof,” “herein,” “hereunder” and words of similar import when used in this Agreement shall refer to this
Agreement as a whole and not to any particular provision of this Agreement; Section and Exhibit references contained in this
Agreement are references to Sections and Exhibits in or to this Agreement unless otherwise specified; the term “including” shall mean
“including without limitation”; “or” shall include “and/or”; and the term “proceeds” shall have the meaning ascribed thereto in the
UCC.
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The definitions contained in this Agreement are applicable to the singular as well as the plural forms of such terms and to
the masculine as well as the feminine and neuter genders of such terms.
Any agreement, instrument or statute defined or referred to herein or in any instrument or certificate delivered in
connection herewith means such agreement, instrument or statute as from time to time amended, modified or supplemented and includes
(in the case of agreements or instruments) references to all attachments thereto and instruments incorporated therein; references to
a Person are also to its permitted successors and assigns.
ARTICLE II
SALE OF MORTGAGE LOANS AND RELATED PROVISIONS
Section 2.1 Sale of Initial Mortgage Loans.
(a) GMACM, by the execution and delivery of this Agreement, does hereby sell, assign, set over, and otherwise
convey to the Purchaser, without recourse, all of its right, title and interest in, to and under the following, wherever located: (i)
the GMACM Initial Mortgage Loans (including the Cut-Off Date Principal Balances of the GMACM Initial Mortgage Loans now existing),
all interest accruing thereon, all monies due or to become due thereon, and all collections in respect thereof received on or after
the Cut-Off Date (other than interest thereon in respect of any period prior to the Cut-Off Date); (ii) the interest of GMACM in any
insurance policies in respect of the GMACM Initial Mortgage Loans; and (iii) all proceeds of the foregoing.
(b) Reserved.
(c) WG Trust 2003, by the execution and delivery of this Agreement, does hereby sell, assign, set over, and
otherwise convey to the Purchaser, without recourse, all of its right, title and interest in, to and under the following, and
wherever located: (i) the WG Trust Initial Mortgage Loans (including the Cut-Off Date Principal Balances of the WG Initial Mortgage
Loans now existing), all interest accruing thereon, all monies due or to become due thereon, and all collections in respect thereof
received on or after the Cut-Off Date (other than interest thereon in respect of any period prior to the Cut-Off Date); (ii) the WG
Trust 2003’s interest in any insurance policies in respect of the WG Trust 2003 Initial Mortgage Loans; and (iii) all proceeds of the
foregoing.
(d) In connection with the conveyance by GMACM of the GMACM Initial Mortgage Loans and any Subsequent Mortgage
Loans, GMACM further agrees, at its own expense, on or prior to the Closing Date with respect to the Principal Balances of the GMACM
Initial Mortgage Loans and on or prior to the related Subsequent Cut-Off Date in the case of such Subsequent Mortgage Loans sold by
it, to indicate in its books and records that the GMACM Initial Mortgage Loans have been sold to the Purchaser pursuant to this
Agreement, and, in the case of the Subsequent Mortgage Loans, to the Issuer pursuant to the related Subsequent Transfer Agreement,
and to deliver to the Purchaser true and complete lists of all of the Mortgage Loans sold by GMACM specifying for each Mortgage Loan
(i) its account number and (ii) its Cut-Off Date Principal Balance or Subsequent Cut-Off Date Principal Balance. The Mortgage Loan
Schedule indicating such information with respect to the Mortgage Loans sold by GMACM shall be marked as Exhibit 1-A to this
Agreement and is hereby incorporated into and made a part of this Agreement.
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(e) In connection with the conveyance by WG Trust 2003 of the WG Trust Initial Mortgage Loans and any Subsequent
Mortgage Loans, such Seller further agrees, at its own expense, on or prior to the Closing Date with respect to the Principal
Balances of such WG Trust Initial Mortgage Loans and on or prior to the related Subsequent Cut-Off Date in the case of such
Subsequent Mortgage Loans sold by it, to indicate in its books and records that the respective WG Trust Initial Mortgage Loans have
been sold to the Purchaser pursuant to this Agreement, and, in the case of the Subsequent Mortgage Loans, to the Issuer pursuant to
the related Subsequent Transfer Agreement. GMACM, as Servicer of the Mortgage Loans sold by WG Trust 2003, agrees to deliver to the
Purchaser true and complete lists of all of the Mortgage Loans sold by each Seller specifying for each Mortgage Loan (i) its account
number and (ii) its Cut-Off Date Principal Balance or Subsequent Cut-Off Date Principal Balance. The Mortgage Loan Schedule
indicating such information with respect to the Mortgage Loans sold by WG Trust 2003 shall be marked as Exhibit 1-B to this Agreement
and is hereby incorporated into and made a part of this Agreement.
(f) In connection with the conveyance by GMACM of the GMACM Initial Mortgage Loans and any Subsequent Mortgage
Loans sold by it and the conveyance by WG Trust 2003 of the WG Trust Initial Mortgage Loans and any Subsequent Mortgage Loans sold by
such Seller, GMACM shall, (A) with respect to each Mortgage Loan, on behalf of the Purchaser deliver to, and deposit with the
Custodian, at least five (5) Business Days before the Closing Date in the case of an Initial Mortgage Loan, and, on behalf of the
Issuer, three (3) Business Days prior to the related Subsequent Transfer Date in the case of a Subsequent Mortgage Loan, the original
Mortgage Note endorsed or assigned without recourse in blank (which endorsement shall contain either an original signature or a
facsimile signature of an authorized officer of GMACM) or, with respect to any Mortgage Loan as to which the original Mortgage Note
has been permanently lost or destroyed and has not been replaced, a Lost Note Affidavit, and any modification agreement or amendment
to such Mortgage Note and (B) except as provided in clause (A) with respect to the Mortgage Notes, deliver the Mortgage Files to the
Servicer.
Within the time period for the review of each Mortgage Note set forth in Section 2.2 of the Custodial Agreement, if a
material defect in any Mortgage Note is discovered which may materially and adversely affect the value of the related Mortgage Loan,
or the interests of the Indenture Trustee (as pledgee of the Mortgage Loans), the Noteholders, the Certificateholders or the Enhancer
in such Mortgage Loan, including GMACM’s failure to deliver the Mortgage Note to the Custodian on behalf of the Indenture Trustee,
GMACM shall cure such defect, repurchase the related Mortgage Loan at the Repurchase Price or substitute an Eligible Substitute Loan
therefor upon the same terms and conditions set forth in Section 3.1 hereof for breaches of representations and warranties as to the
Mortgage Loans, provided that a Seller shall have the option to substitute an Eligible Substitute Loan or Loans for such Mortgage
Loan only if such substitution occurs within two years following the Closing Date. If a material defect in any of the documents in
the Mortgage File held by the Servicer is discovered which may materially and adversely affect the value of the related Mortgage
Loan, or the interests of the Indenture Trustee (as pledgee of the Mortgage Loans), the Noteholders, the Certificateholders or the
Enhancer in such Mortgage Loan, including GMACM’s failure to deliver such documents to the Servicer on behalf of the Indenture
Trustee, GMACM shall cure such defect, repurchase the related Mortgage Loan at the Repurchase Price or substitute an Eligible
Substitute Loan therefor upon the same terms and conditions set forth in Section 3.1 hereof for breaches of representations and
warranties as to the Mortgage Loans, provided that a Seller shall have the option to substitute an Eligible Substitute Loan or Loans
for such Mortgage Loan only if such substitution occurs within two years following the Closing Date.
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Upon sale of the Initial Mortgage Loans, the ownership of each Mortgage Note, each related Mortgage and the contents of the
related Mortgage File shall be vested in the Purchaser and the ownership of all records and documents with respect to the Initial
Mortgage Loans that are prepared by or that come into the possession of any Seller, as a seller of the Initial Mortgage Loans
hereunder or by GMACM in its capacity as Servicer under the Servicing Agreement shall immediately vest in the Purchaser, and shall be
promptly delivered to the Servicer in the case of the documents in possession of WG Trust 2003 and retained and maintained in trust
by GMACM as the Servicer (except for the Mortgage Notes, which shall be retained by the Custodian) at the will of the Purchaser, in
such custodial capacity only. Each Seller’s records will accurately reflect the sale of each Initial Mortgage Loan sold by it to the
Purchaser.
The Purchaser hereby acknowledges its acceptance of all right, title and interest to the property conveyed to it pursuant to
this Section 2.1.
(g) The parties hereto intend that the transactions set forth herein constitute a sale by the Sellers to the
Purchaser of each of the Sellers’ right, title and interest in and to their respective Initial Mortgage Loans and other property as
and to the extent described above. In the event the transactions set forth herein are deemed not to be a sale, each Seller hereby
grants to the Purchaser a security interest in all of such Seller’s right, title and interest in, to and under all accounts, chattel
papers, general intangibles, contract rights, payment intangibles, certificates of deposit, deposit accounts, instruments, documents,
letters of credit, money, advices of credit, investment property, goods and other property consisting of, arising under or related to
the Initial Mortgage Loans and such other property, to secure all of such Seller’s obligations hereunder, and this Agreement shall
and hereby does constitute a security agreement under applicable law. Each Seller agrees to take or cause to be taken such actions
and to execute such documents, including the filing of any continuation statements with respect to the UCC-1 financing statements
filed with respect to the Initial Mortgage Loans by the Purchaser on the Closing Date, and any amendments thereto required to reflect
a change in the name or corporate structure of such Seller or the filing of any additional UCC-1 financing statements due to the
change in the principal office or jurisdiction of incorporation of such Seller, as are necessary to perfect and protect the
Purchaser’s and its assignees’ interests in each Initial Mortgage Loan and the proceeds thereof. The Servicer shall file any such
continuation statements on a timely basis.
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(h) In connection with the assignment of any Mortgage Loan registered on the MERS® System, GMACM further agrees
that it will cause, at GMACM’s own expense, as soon as practicable after the Closing Date, the MERS® System to indicate that such
Mortgage Loan has been assigned by GMACM to the Indenture Trustee in accordance with this Agreement or the Trust Agreement for the
benefit of the Noteholders and the Enhancer by including (or deleting, in the case of Mortgage Loans which are repurchased in
accordance with this Agreement) in such computer files (a) the specific code which identifies the Indenture Trustee as the assignee
of such Mortgage Loan and (b) the series specific code in the field “Pool Field” which identifies the series of the Notes issued in
connection with such Mortgage Loans. GMACM agrees that it will not alter the codes referenced in this paragraph with respect to any
Mortgage Loan during the term of this Agreement unless and until such Mortgage Loan is repurchased in accordance with the terms of
this Agreement.
Section 2.2 Sale of Subsequent Mortgage Loans.
(a) Subject to the conditions set forth in paragraphs (b) and (c) below (the satisfaction of which (other than the
conditions specified in paragraphs (b)(i), (b)(ii) and (b)(iii)) shall be evidenced by an Officer’s Certificate of GMACM dated the
date of the related Subsequent Transfer Date), in consideration of the Issuer’s payment of the purchase price provided for in Section
2.3 on one or more Subsequent Transfer Dates using amounts on deposit in the Pre-Funding Account), each Seller may, on the related
Subsequent Transfer Date, sell, transfer, assign, set over and convey without recourse to the Issuer but subject to the other terms
and provisions of this Agreement all of the right, title and interest of such Seller in and to (i) Subsequent Mortgage Loans
identified on the related Mortgage Loan Schedule attached to the related Subsequent Transfer Agreement delivered by GMACM on such
Subsequent Transfer Date, (ii) all money due or to become due on such Subsequent Mortgage Loan and all collections received on or
after the related Subsequent Cut-Off Date and (iii) all items with respect to such Subsequent Mortgage Loans to be delivered pursuant
to Section 2.1 above and the other items in the related Mortgage Files; provided, however, that the Seller of a Subsequent Mortgage
Loan reserves and retains all right, title and interest in and to principal received and interest accruing on such Subsequent
Mortgage Loan prior to the related Subsequent Cut-Off Date. Any transfer to the Issuer by a Seller of Subsequent Mortgage Loans
shall be absolute, and is intended by the Issuer and such Seller to constitute and to be treated as a sale of such Subsequent
Mortgage Loans by such Seller to the Issuer. In the event that any such transaction is deemed not to be a sale, GMACM and WG Trust
2003, as the case may be, hereby grant to the Issuer as of each Subsequent Transfer Date a security interest in all of such Seller’s
right, title and interest in, to and under all accounts, chattel papers, general intangibles, payment intangibles, contract rights,
certificates of deposit, deposit accounts, instruments, documents, letters of credit, money, advices of credit, investment property,
goods and other property consisting of, arising under or related to the related Subsequent Mortgage Loans and such other property, to
secure all of such Seller’s obligations hereunder, and this Agreement shall constitute a security agreement under applicable law.
Each Seller agrees to take or cause to be taken such actions and to execute such documents, including the filing of all necessary
UCC-1 financing statements filed in the State of Delaware and the Commonwealth of Pennsylvania (which shall be submitted for filing
as of the related Subsequent Transfer Date), any continuation statements with respect thereto and any amendments thereto required to
reflect a change in the name or corporate structure of such Seller or the filing of any additional UCC-1 financing statements due to
the change in the principal office or jurisdiction of incorporation of such Seller, as are necessary to perfect and protect the
interests of the Issuer and its assignees in each Subsequent Mortgage Loan and the proceeds thereof. The Servicer shall file any
such continuation statements on a timely basis.
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The Issuer on each Subsequent Transfer Date shall acknowledge its acceptance of all right, title and interest to the related
Subsequent Mortgage Loans and other property, existing on the Subsequent Transfer Date and thereafter created, conveyed to it
pursuant to this Section 2.2.
The Issuer shall be entitled to all scheduled principal payments due on and after each Subsequent Cut-Off Date, all other
payments of principal due and collected on and after each Subsequent Cut-Off Date, and all payments of interest on any related
Subsequent Mortgage Loans, minus that portion of any such interest payment that is allocable to the period prior to the related
Subsequent Cut-Off Date.
(b) Any Seller may transfer to the Issuer Subsequent Mortgage Loans and the other property and rights related
thereto described in Section 2.2(a) above, and during the Pre-Funding Period, upon the release of funds on deposit in the Pre-Funding
Account, in accordance with the Servicing Agreement, only upon the satisfaction of each of the following conditions on or prior to
the related Subsequent Transfer Date:
(i) such Seller or GMACM, as Servicer, shall have provided the Indenture Trustee, the Rating Agencies
and the Enhancer with a timely Addition Notice substantially in the form of Exhibit 3, which notice shall be given no later than
seven Business Days prior to the related Subsequent Transfer Date, and shall designate the Subsequent Mortgage Loans to be sold to
the Issuer, the aggregate Principal Balance of such Subsequent Mortgage Loans as of the related Subsequent Cut-Off Date and any other
information reasonably requested by the Indenture Trustee or the Enhancer with respect to such Subsequent Mortgage Loans;
(ii) such Seller shall have delivered to the Indenture Trustee and the Enhancer a duly executed
Subsequent Transfer Agreement substantially in the form of Exhibit 2, (A) confirming the satisfaction of each condition precedent and
representations specified in this Section 2.2(b) and in Section 2.2(c) and in the related Subsequent Transfer Agreement and
(B) including a Mortgage Loan Schedule listing the Subsequent Mortgage Loans;
(iii) as of each Subsequent Transfer Date, as evidenced by delivery to the Indenture Trustee of the
Subsequent Transfer Agreement in the form of Exhibit 2, the respective Seller shall not be insolvent, made insolvent by such transfer
or aware of any pending insolvency;
(iv) such sale and transfer shall not result in a material adverse tax consequence to the Issuer or,
due to any action or inaction on the part of the respective Seller, to the Securityholders or the Enhancer; and
(v) the Enhancer shall have approved the sale of the Subsequent Mortgage Loans (which approval shall
not be unreasonably withheld) within five (5) Business Days of receipt of an electronic file containing the information regarding the
Subsequent Mortgage Loans that was delivered to the Enhancer prior to the Closing Date with respect to the Initial Mortgage Loans;
provided, that if the Enhancer shall not have notified the respective Seller or GMACM within such five (5) Business Days that the
Enhancer does not so approve, such sale of Subsequent Mortgage Loans shall be deemed approved by the Enhancer.
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The obligation of the Issuer to purchase a Subsequent Mortgage Loan on any Subsequent Transfer Date is subject to the
following conditions: (i) each such Subsequent Mortgage Loan must satisfy the representations and warranties specified in the
related Subsequent Transfer Agreement and this Agreement; (ii) no such Seller has selected such Subsequent Mortgage Loans in a manner
that it reasonably believes is adverse to the interests of the Noteholders or the Enhancer as of the related Subsequent Cut-Off Date
each Subsequent Mortgage Loan will satisfy the following conditions: (A) such Subsequent Mortgage Loan may not be 30 or more days
contractually delinquent as of the related Subsequent Cut-Off Date; (B) the original stated term to maturity of such Subsequent
Mortgage Loan will not exceed 360 months; (C) such Subsequent Mortgage Loan will be underwritten substantially in accordance with the
criteria set forth under “Description of the Mortgage Loans - Underwriting Standards” in the Prospectus Supplement; (D) such
Subsequent Mortgage Loan must have a CLTV at origination of no more than 100.00%; (E) such Subsequent Mortgage Loan shall not provide
for negative amortization; (F) following the purchase of such Subsequent Mortgage Loans by the Issuer, the Mortgage Loans included in
the Trust Estate must have a weighted average interest rate, a weighted average remaining term to maturity and a weighted average
CLTV at origination, as of each Subsequent Cut-Off Date, that does not vary materially from the Initial Mortgage Loans included
initially in the Trust Estate, and the percentage of Mortgage Loans (by aggregate principal balance) that are secured by second liens
on the related Mortgaged Properties shall be no greater than the percentage of Initial Mortgage Loans; (G) such Subsequent Mortgage
Loan must be secured by a mortgage in a first or second lien position; (H) such Subsequent Mortgage Loan must not have an interest
rate below 5.250%; (J) following the purchase of such Subsequent Mortgage Loan by the Issuer, the Subsequent Mortgage Loans included
in the Trust Estate must have a weighted average interest rate of at least 8.707%, a weighted average Principal Balance of not more
than $54,000, a concentration in any one state of more than 25.00%; and (K) the remaining term to stated maturity of such Subsequent
Mortgage Loan must not extend beyond July 2037.
Subsequent Mortgage Loans with characteristics materially varying from those set forth above may be purchased by the Issuer
and included in the Trust Estate if they are acceptable to the Enhancer, in its reasonable discretion; provided, however, that the
addition of such Subsequent Mortgage Loans will not materially affect the aggregate characteristics of the Mortgage Loans in the
Trust Estate.
Neither of the Sellers shall transfer Subsequent Mortgage Loans with the intent to mitigate losses on Mortgage Loans
previously transferred.
(c) Within five Business Days after each Subsequent Transfer Date, GMACM shall deliver to the Rating Agencies, the
Indenture Trustee and the Enhancer a copy of the a Mortgage Loan Schedule reflecting the Subsequent Mortgage Loans in electronic
format.
(d) In the event that a mortgage loan is not acceptable to the Enhancer as a Subsequent Mortgage Loan pursuant to
Section 2.2(b)(vi) hereof, the Enhancer and GMACM may mutually agree to the transfer of such mortgage loan to the Issuer as a
Subsequent Mortgage Loan, subject to any increase in the Overcollateralization Amount that may be agreed to by GMACM and the Enhancer
pursuant to the Indenture, in which event GMACM shall deliver to the Issuer and the Indenture Trustee, with a copy to the Enhancer,
an Officer’s Certificate confirming the agreement to the transfer of such Subsequent Mortgage Loan and specifying the amount of such
increase in the Overcollateralization Amount, which additional Overcollateralization Amount may not be contributed by GMACM.
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Section 2.3 Payment of Purchase Price.
(a) The sale of the Initial Mortgage Loans shall take place on the Closing Date, subject to and simultaneously with
the deposit of the Initial Mortgage Loans into the Trust Estate, the deposit of the Original Pre-Funded Amount and the Interest
Coverage Amount into the Pre Funding Account and the Capitalized Interest Account, respectively, and the issuance of the Securities.
The purchase price for the GMACM Initial Mortgage Loans to be paid by the Purchaser to GMACM on the Closing Date shall be an amount
equal to $52,225,650.34 in immediately available funds, together with the Certificates, in respect of the Cut-Off Date Principal
Balances thereof. The purchase price for the WG Trust 2003 Initial Mortgage Loans to be paid by the Purchaser to WG Trust 2003 on the
Closing Date shall be an amount equal to $733,427,885.54 in immediately available funds, in respect of the Cut-Off Date Principal
Balances thereof. The purchase price paid for any Subsequent Mortgage Loan by the Indenture Trustee from funds on deposit in the
Pre-Funding Account, at the direction of the Issuer, pursuant to the terms hereunder shall be one-hundred percent (100%) of the
Subsequent Cut-Off Date Principal Balance thereof (as identified on the Mortgage Loan Schedule attached to the related Subsequent
Transfer Agreement provided by GMACM).
(b) In consideration of the sale of the GMACM Initial Mortgage Loans by GMACM to the Purchaser on the Closing Date,
the Purchaser shall pay to GMACM on the Closing Date by wire transfer of immediately available funds to a bank account designated by
GMACM, the amount specified above in paragraph (a) for the GMACM Initial Mortgage Loans; provided, that such payment may be on a net
funding basis if agreed by GMACM and the Purchaser. In consideration of the sale of any Subsequent Mortgage Loan by GMACM to the
Issuer, the Issuer shall pay to GMACM by wire transfer of immediately available funds to a bank account designated by GMACM, the
amount specified above in paragraph (a) for each Subsequent Mortgage Loan sold by GMACM.
(c) In consideration of the sale of the WG Trust 2003 Initial Mortgage Loans by WG Trust 2003 to the Purchaser on
the Closing Date, the Purchaser shall pay to WG Trust 2003 on the Closing Date by wire transfer of immediately available funds to a
bank account designated by WG Trust 2003, the amount specified above in paragraph (a) for the WG Trust 2003 Initial Mortgage Loans;
provided, that such payment may be on a net funding basis if agreed by WG Trust 2003 and the Purchaser. In consideration of the sale
of any Subsequent Mortgage Loan by WG Trust 2003 to the Issuer, the Issuer shall pay to WG Trust 2003 by wire transfer of immediately
available funds to a bank account designated by WG Trust 2003, the amount specified above in paragraph (a) for each Subsequent
Mortgage Loan sold by WG Trust 2003.
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ARTICLE III
REPRESENTATIONS AND WARRANTIES;
REMEDIES FOR BREACH
Section 3.1 Representations and Warranties. GMACM represents and warrants to the Purchaser, as of the Closing Date and
as of each Subsequent Transfer Date (or if otherwise specified below, as of the date so specified):
(a) As to GMACM:
(i) GMACM is a limited liability company duly formed, validly existing and in good standing under the
laws of the jurisdiction governing its creation and existence and is or will be in compliance with the laws of each state in which
any Mortgaged Property is located to the extent necessary to ensure the enforceability of each Mortgage Loan;
(ii) GMACM has the power and authority to make, execute, deliver and perform its obligations under this
Agreement and each Subsequent Transfer Agreement to which it is a party and all of the transactions contemplated under this Agreement
and each such Subsequent Transfer Agreement, and has taken all necessary corporate action to authorize the execution, delivery and
performance of this Agreement and each such Subsequent Transfer Agreement;
(iii) GMACM is not required to obtain the consent of any other Person or any consents, licenses,
approvals or authorizations from, or registrations or declarations with, any governmental authority, bureau or agency in connection
with the execution, delivery, performance, validity or enforceability of this Agreement or any Subsequent Transfer Agreement, except
for such consents, licenses, approvals or authorizations, or registrations or declarations, as shall have been obtained or filed, as
the case may be;
(iv) The execution and delivery of this Agreement and any Subsequent Transfer Agreement by GMACM and
its performance and compliance with the terms of this Agreement and each such Subsequent Transfer Agreement will not violate GMACM’s
Certificate of Incorporation or Bylaws or constitute a material default (or an event which, with notice or lapse of time, or both,
would constitute a material default) under, or result in the material breach of, any material contract, agreement or other instrument
to which GMACM is a party or which may be applicable to GMACM or any of its assets;
(v) No litigation before any court, tribunal or governmental body is currently pending, or to the
knowledge of GMACM threatened, against GMACM or with respect to this Agreement or any Subsequent Transfer Agreement that in the
opinion of GMACM has a reasonable likelihood of resulting in a material adverse effect on the transactions contemplated by this
Agreement or any Subsequent Transfer Agreement;
(vi) Reserved;
(vii) This Agreement and each Subsequent Transfer Agreement to which it is a party, constitutes a legal,
valid and binding obligation of GMACM, enforceable against GMACM in accordance with its terms, except as enforceability may be
limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect affecting
the enforcement of creditors’ rights in general and except as such enforceability may be limited by general principles of equity
(whether considered in a proceeding at law or in equity) or by public policy with respect to indemnification under applicable
securities laws;
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(viii) This Agreement constitutes a valid transfer and assignment to the Purchaser of all right, title
and interest of GMACM in and to the GMACM Initial Mortgage Loans, including the Cut-Off Date Principal Balances with respect to the
GMACM Initial Mortgage Loans, all monies due or to become due with respect thereto, and all proceeds of such Cut-Off Date Principal
Balances with respect to the GMACM Initial Mortgage Loans; and this Agreement and the related Subsequent Transfer Agreement, when
executed, will constitute a valid transfer and assignment to the Issuer of all right, title and interest of GMACM in and to the
related Subsequent Mortgage Loans, including Cut-Off Date Principal Balances existing on the related Subsequent Cut-Off Date and all
monies due or to become due with respect thereto, and all proceeds of each Subsequent Cut-Off Date Principal Balances; and
(ix) GMACM is not in default with respect to any order or decree of any court or any order, regulation
or demand of any federal, state, municipal or governmental agency, which default might have consequences that would materially and
adversely affect the condition (financial or otherwise) or operations of GMACM or its properties or might have consequences that
would materially adversely affect its performance hereunder;
(b) As to each Initial Mortgage Loan (except as otherwise specified below) as of the Closing Date, or with respect to
each Subsequent Mortgage Loan as of the related Subsequent Transfer Date (except as otherwise specified below):
(i) The information set forth in the Mortgage Loan Schedule with respect to each Mortgage Loan or the
Mortgage Loans is true and correct in all material respects as of the date or dates respecting which such information is initially
furnished;
(ii) With respect to each of the WG Trust Initial Mortgage Loans or, as applicable, any the Subsequent
Mortgage Loans sold by WG Trust 2003 as of each Prior Transfer Date: (A) the related Mortgage Note and the Mortgage had not been
assigned or pledged, except for any assignment or pledge that has been satisfied and released, (B) immediately prior to the
assignment of such Mortgage Loans to Walnut Grove, GMACM had good title thereto and (C) immediately prior to such assignment, GMACM
was the sole owner and holder of the Mortgage Loan free and clear of any and all liens, encumbrances, pledges, or security interests
(other than, with respect to any Mortgage Loan in a second lien position, the lien of the related first mortgage) of any nature and
had full right and authority, under all governmental and regulatory bodies having jurisdiction over the ownership of the applicable
Mortgage Loan, to sell and assign the same pursuant to the related Walnut Grove Purchase Agreement;
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(iii) With respect to the GMACM Initial Mortgage Loans or, as applicable, any Subsequent Mortgage Loans
sold by GMACM as of each respective Subsequent Transfer Date: (A) the related Mortgage Note and the Mortgage have not been assigned
or pledged, except for any assignment or pledge that has been satisfied and released, (B) immediately prior to the assignment of the
Mortgage Loans to the Purchaser(or to the Issuer in the case of the Subsequent Mortgage Loans sold by GMACM), GMACM had good title
thereto and (C) GMACM is the sole owner and holder of the Mortgage Loan free and clear of any and all liens, encumbrances, pledges,
or security interests (other than, with respect to any Mortgage Loan in a second lien position, the lien of the related first
mortgage) of any nature and has full right and authority, under all governmental and regulatory bodies having jurisdiction over the
ownership of the applicable Mortgage Loans to sell and assign the same pursuant to this Agreement or the related Subsequent Transfer
Agreement, as applicable;
(iv) To the best of GMACM’s knowledge, there is no valid offset, defense or counterclaim of any obligor
under any Mortgage Note or Mortgage;
(v) To the best of GMACM’s knowledge, there is no delinquent recording or other tax or fee or
assessment lien against any related Mortgaged Property;
(vi) To the best of GMACM’s knowledge, there is no proceeding pending or threatened for the total or
partial condemnation of the related Mortgaged Property;
(vii) To the best of GMACM’s knowledge, there are no mechanics’ or similar liens or claims which have
been filed for work, labor or material affecting the related Mortgaged Property which are, or may be liens prior or equal to, or
subordinate with, the lien of the related Mortgage, except liens which are fully insured against by the title insurance policy
referred to in clause (xi);
(viii) As of the Cut-Off Date or related Subsequent Cut-Off Date, no Mortgage Loan was 30 days or more
delinquent in payment of principal or interest;
(ix) With respect to the GMACM Initial Mortgage Loans or, as applicable, any Subsequent Mortgage Loans
sold by GMACM, the related Mortgage File contains or will contain, in accordance with the definition of “Mortgage File” in Appendix A
to the Indenture, each of the documents and instruments specified to be included therein (it being understood that the Custodian
maintains the Mortgage Note related to each Mortgage File and the Servicer maintains the remainder of the items to be included in the
Mortgage File pursuant to the terms of this Agreement);
(x) The related Mortgage Note and the related Mortgage at the time it was made complied in all
material respects with applicable local, state and federal laws, including, but not limited to, applicable predatory lending laws;
(xi) A title search or other assurance of title customary in the relevant jurisdiction was obtained
with respect to each Mortgage Loan;
(xii) None of the Mortgaged Properties is a mobile home or a manufactured housing unit that is not
permanently attached to its foundation;
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(xiii) As of the Cut-Off Date, (a) no more than approximately 20.73%, 6.39% and 5.82% of the Initial
Mortgage Loans, by Cut-Off Date Principal, are secured by Mortgaged Properties located in California, Florida and New Jersey,
respectively;
(xiv) As of the Cut-Off Date or Subsequent Cut-Off Date, the Combined Loan-to-Value Ratio for each
Mortgage Loan was not in excess of 100.00%;
(xv) GMACM has not transferred the GMACM Initial Mortgage Loans to the Purchaser or any Subsequent
Mortgage Loans to the Issuer with any intent to hinder, delay or defraud any of its creditors;
(xvi) As of the Cut-Off Date, no more than approximately 46.08% of the Initial Mortgage Loans, by Cut-Off Date
Principal Balance, are secured by Mortgaged Properties which may have been appraised using a statistical property evaluation method and
all of the appraisals on such Mortgaged Properties have been delivered by Basis100 Inc. (also known as Solimar); no more than
approximately 3.87% of the Initial Mortgage Loans, by Cut-Off Date Principal Balance, are secured by Mortgaged Properties which may
have been appraised using the GMACM Stated Value method; no more than approximately 0.62% of the Initial Mortgage Loans, by Cut-Off
Date Principal Balance, are secured by Mortgaged Properties which may have been appraised using a tax assessment; no more than
approximately 1.71% of the Initial Mortgage Loans, by Cut-Off Date Principal Balance, are secured by Mortgaged Properties which may
have been appraised using a broker price opinion; no more than approximately 30.94% of the Initial Mortgage Loans, by Cut-Off Date
Principal Balance, are secured by Mortgaged Properties which may have been appraised using a URAR Form 1004; no more than approximately
2.67% of the Initial Mortgage Loans, by Cut-Off Date Principal Balance, are secured by Mortgaged Properties which may have been
appraised using a Drive-By Form 704; no more than approximately 13.96% of the Initial Mortgage Loans, by Cut-Off Date Principal
Balance, are secured by Mortgaged Properties which may have been appraised using Form 2055 (Exterior Only); no more than approximately
0.15% of the Initial Mortgage Loans, by Cut-Off Date Principal Balance, are secured by Mortgaged Properties which may have been
appraised using a Form 2055 (with Interior Inspection); and no more than approximately 0.00% of the Initial Mortgage Loans, by Cut-Off
Date Principal Balance, are secured by Mortgaged Properties which may have been appraised using a Form 2065;
(xvii) Within a loan type, and except as required by applicable law, each Mortgage Note and each Mortgage
is an enforceable obligation of the related Mortgagor;
(xviii) To the best knowledge of GMACM, the physical property subject to each Mortgage is free of material
damage and is in acceptable repair;
(xix) GMACM has not received a notice of default of any senior mortgage loan related to a Mortgaged
Property which has not been cured by a party other than the Servicer;
(xx) None of the Mortgage Loans is a reverse mortgage loan;
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(xxi) No Initial Mortgage Loan has an original term to maturity in excess of 360 months;
(xxii) As of the Cut-Off Date, all of the Initial Mortgage Loans are fixed rate. As of the Cut-Of Date,
37.61% of the Initial Mortgage Loans, by Cut-Off Date Principal, are Balloon Mortgage Loans. As of the Cut-Off Date, the Loan Rates
on the Initial Mortgage Loans range between 5.250% and 16.600%. As of the Cut-Off Date, the weighted average Loan Rate for the
Initial Mortgage Loans is approximately 8.707%. The weighted average remaining term to scheduled maturity of the Initial Mortgage
Loans on a contractual basis as of the Cut-Off Date is approximately 219 months;
(xxiii) (A) Each Mortgaged Property consists of a single parcel of real property with a single family or
two- to four-family residence erected thereon, or an individual condominium unit, planned unit development unit, manufactured housing
unit or a townhouse. (B) With respect to the Initial Mortgage Loans, (a) approximately 84.00% (by Cut-Off Date Principal Balance)
are secured by real property with a single family residence erected thereon, (b) approximately 8.68% (by Cut-Off Date Principal
Balance) are secured by real property improved by planned development units, (c) approximately 5.59% (by Cut-Off Date Principal
Balance) are secured by real property improved by individual condominium units, (d) approximately 1.71% (by Cut-Off Date Principal
Balance) are secured by real property with a two- to four-family residence erected thereon, and (e) approximately 0.02% (by Cut-Off
Date Principal Balance) are secured by real property improved by townhouses;
(xxiv) As of the Cut-Off Date, no Initial Mortgage Loan had a principal balance in excess of $998,055.26.
(xxv) No more than approximately 94.55% of the Initial Mortgage Loans, by aggregate Principal Balance as
of the Cut-Off Date, are secured by second liens;
(xxvi) A policy of hazard insurance and flood insurance, if applicable, was required from the Mortgagor
for the Mortgage Loan when the Mortgage Loan was originated;
(xxvii) Other than with respect to a payment default, there is no material default, breach, violation or
event of acceleration existing under the terms of any Mortgage Note or Mortgage and, to the best of GMACM’s knowledge, no event
which, with notice and expiration of any grace or cure period, would constitute a material default, breach, violation or event of
acceleration under the terms of any Mortgage Note or Mortgage, and no such material default, breach, violation or event of
acceleration has been waived by GMACM involved in originating or servicing the related Mortgage Loan;
(xxviii) No instrument of release or waiver has been executed by GMACM or, to the best knowledge of GMACM,
by any other person, in connection with the Mortgage Loans, and no Mortgagor has been released by GMACM or, to the best knowledge of
GMACM, by any other person, in whole or in part from its obligations in connection therewith;
(xxix) With respect to each Mortgage Loan secured by a second lien, either (a) no consent for such
Mortgage Loan was required by the holder or holders of the related prior lien, (b) such consent has been obtained and is contained in
the related Mortgage File or (c) no consent for such Mortgage Loan was required by relevant law;
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(xxx) With respect to each Mortgage Loan, to the extent permitted by applicable law, the related
Mortgage contains a customary provision for the acceleration of the payment of the unpaid Principal Balance of the Mortgage Loan in
the event the related Mortgaged Property is sold without the prior consent of the mortgagee thereunder;
(xxxi) No Mortgage Loan provides for payments that are subject to reduction by withholding taxes levied
by foreign (non-United States) sovereign government;
(xxxii) None of the Mortgage Loans are “high cost loans” subject to the Home Ownership and Equity
Protection Act of 1994;
(xxxiii) As of the Cut-Off Date, none of the Mortgage Loans are “High Cost Loans” or “Covered Loans” (as
such terms are defined in the version of Appendix E to the Standard & Poor’s LEVELS Glossary in effect as of the Closing Date);
(xxxiv) None of the Initial Mortgage Loans are secured by Mortgaged Properties located in the State of
Georgia and no Subsequent Mortgage Loan shall be secured by Mortgaged Properties located in the State of Georgia if such Mortgage
Loan was originated prior to June 7, 2003 and subsequent to October 1, 2002;
(xxxv) Each Initial Mortgage Loan constitutes a “qualified mortgage” under Section 860G(a)(3)(A) of the
Code and Treasury Regulation Section 1.860G-2(a)(1); and
(xxxvi) GMACM used no selection procedures that identified the Mortgage Loans as being less desirable or
valuable than other comparable mortgage loans originated or acquired by GMACM under the GMACM Home Equity Program. The Mortgage
Loans are representative of GMACM’s portfolio of home equity lines of credit that were originated under the GMACM Home Equity Program.
With respect to this Section 3.1(b), representations made by GMACM with respect to the WG Trust Initial Mortgage
Loans, made as of the Cut-Off Date or the Closing Date or with respect to the Subsequent Mortgage Loans sold by WG Trust 2003 and
made as of the Subsequent Cut-Off Date or the Subsequent Transfer Date, are made by GMACM in its capacity as Servicer.
Representations made by GMACM with respect to the WG Trust Initial Mortgage Loans or the Subsequent Mortgage Loans sold by WG Trust
2003 and made as of any other date, are made by GMACM in its capacity as Seller.
(c) [Reserved].
(d) WG Trust 2003 Representations and Warranties. WG Trust 2003 represents and warrants to the Purchaser, as of the
Closing Date and as of each Subsequent Transfer Date:
(I) As to WG Trust 2003:
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(i) WG Trust 2003 is a Delaware statutory trust duly organized, validly existing and in good standing
under the laws of the State of Delaware;
(ii) WG Trust 2003 has the power and authority to make, execute, deliver and perform its obligations
under this Agreement and each Subsequent Transfer Agreement to which it is a party and all of the transactions contemplated under
this Agreement and each such Subsequent Transfer Agreement, and has taken all necessary action to authorize the execution, delivery
and performance of this Agreement and each such Subsequent Transfer Agreement;
(iii) WG Trust 2003 is not required to obtain the consent of any other Person or any consents, licenses,
approvals or authorizations from, or registrations or declarations with, any governmental authority, bureau or agency in connection
with the execution, delivery, performance, validity or enforceability of this Agreement or any Subsequent Transfer Agreement, except
for such consents, licenses, approvals or authorizations, or registrations or declarations, as shall have been obtained or filed, as
the case may be;
(iv) The execution and delivery of this Agreement and any Subsequent Transfer Agreement by WG Trust
2003 and its performance and compliance with the terms of this Agreement and each such Subsequent Transfer Agreement will not violate
WG Trust 2003’s organizational documents or constitute a material default (or an event which, with notice or lapse of time, or both,
would constitute a material default) under, or result in the material breach of, any material contract, agreement or other instrument
to which WG Trust 2003 is a party or which may be applicable to WG Trust 2003 or any of its assets;
(v) No litigation before any court, tribunal or governmental body is currently pending, or to the
knowledge of WG Trust 2003 threatened, against WG Trust 2003 or with respect to this Agreement or any Subsequent Transfer Agreement
that in the opinion of WG Trust 2003 has a reasonable likelihood of resulting in a material adverse effect on the transactions
contemplated by this Agreement or any Subsequent Transfer Agreement;
(vi) This Agreement and each Subsequent Transfer Agreement to which it is a party constitutes a legal,
valid and binding obligation of WG Trust 2003, enforceable against WG Trust 2003 in accordance with its terms, except as
enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter
in effect affecting the enforcement of creditors’ rights in general and except as such enforceability may be limited by general
principles of equity (whether considered in a proceeding at law or in equity) or by public policy with respect to indemnification
under applicable securities laws;
(vii) This Agreement constitutes a valid transfer and assignment to the Purchaser of all right, title
and interest of WG Trust 2003 in and to the WG Trust 2003 Initial Mortgage Loans, including the Cut-Off Date Principal Balances with
respect to the WG Trust 2003 Initial Mortgage Loans, all monies due or to become due with respect thereto, and all proceeds of such
Cut-Off Date Principal Balances with respect to the WG Trust 2003 Initial Mortgage Loans; and this Agreement and the related
Subsequent Transfer Agreement, when executed, will constitute a valid transfer and assignment to the Issuer of all right, title and
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interest of WG Trust 2003 in and to the related Subsequent Mortgage Loans, including the Cut-Off Date Principal Balances existing on
the related Subsequent Cut-Off Date, all monies due or to become due with respect thereto, and all proceeds thereof and such funds as
are from time to time deposited in the Custodial Account (excluding any investment earnings thereon) as assets of the Trust and all
other property specified in the definition of “Trust” as being part of the corpus of the Trust conveyed to the Purchaser by WG Trust
2003; and
(viii) WG Trust 2003 is not in default with respect to any order or decree of any court or any order,
regulation or demand of any federal, state, municipal or governmental agency, which default might have consequences that would
materially and adversely affect the condition (financial or otherwise) or operations of WG Trust 2003 or its properties or might have
consequences that would materially adversely affect its performance hereunder.
(II) As to the WG Trust 2003 Initial Mortgage Loans as of the Closing Date, or with respect to each Subsequent Mortgage
Loan as of the related Subsequent Transfer Date:
(i) With respect to the WG Trust 2003 Initial Mortgage Loans or, as applicable, any Subsequent Mortgage
Loans sold by WG Trust 2003: (A) the related Mortgage Note and the Mortgage have not been assigned or pledged, except for any
assignment or pledge that has been satisfied and released, (B) immediately prior to the assignment of such Mortgage Loans to the
Purchaser (or to the Issuer in the case of the Subsequent Mortgage Loans sold by WG Trust 2003), WG Trust 2003 had good title thereto
and (C) WG Trust 2003 is the sole owner and holder of the Mortgage Loan free and clear of any and all liens, encumbrances, pledges, or
security interests (other than, with respect to any Mortgage Loan in a second lien position, the lien of the related first mortgage) of
any nature and has full right and authority, under all governmental and regulatory bodies having jurisdiction over the ownership of the
applicable Mortgage Loans to sell and assign the same pursuant to this Agreement;
(ii) For each WG Trust 2003 Initial Mortgage Loans or, as applicable, any Subsequent Mortgage Loans
sold by WG Trust 2003, the related Mortgage File contains or will contain each of the documents and instruments specified to be
included therein in the definition of “Mortgage File” in Appendix A to the Indenture (it being understood that the Custodian
maintains the Mortgage Note related to each Mortgage File and the Servicer maintains the remainder of the items to be included in the
Mortgage File pursuant to the terms of this Agreement);
(iii) WG Trust 2003 has not transferred the WG Trust 2003 Initial Mortgage Loans to the Purchaser with
any intent to hinder, delay or defraud any of its creditors; and
(iv) No instrument of release or waiver has been executed by WG Trust 2003 in connection with the
WG Trust Initial Mortgage Loans, and no Mortgagor has been released by WG Trust 2003, in whole or in part, from its obligations in
connection therewith.
(e) Remedies. Upon discovery by any Seller or GMACM or upon notice from the Purchaser, the Enhancer, the Issuer, the
Owner Trustee, the Indenture Trustee or the Custodian, as applicable, of a breach of such Seller’s or GMACM’s respective
representations or warranties in paragraphs (a) or (d)(I) above that materially and adversely affects the interests of the
Securityholders or the Enhancer, as applicable, in any Mortgage Loan, GMACM or WG Trust 2003, as applicable, shall, within 90 days of
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its discovery or its receipt of notice of such breach, either (i) cure such breach in all material respects or (ii) to the extent
that such breach is with respect to a Mortgage Loan or a Related Document, either (A) repurchase such Mortgage Loan from the Issuer
at the Repurchase Price, or (B) substitute one or more Eligible Substitute Loans for such Mortgage Loan, in each case in the manner
and subject to the conditions and limitations set forth below.
Upon discovery by any Seller or GMACM or upon notice from the Purchaser, the Enhancer, the Issuer, GMACM, the Owner Trustee,
the Indenture Trustee or the Custodian, as applicable, of a breach of a Seller’s or GMACM’s representations or warranties in
paragraphs (b) or (d)(II) above, with respect to any Mortgage Loan, or upon the occurrence of a Repurchase Event, that materially and
adversely affects the interests of the Securityholders, the Enhancer or the Purchaser in such Mortgage Loan (notice of which shall be
given to the Purchaser by the respective Seller or GMACM, if it discovers the same), notwithstanding such Seller’s or GMACM’s lack of
knowledge with respect to the substance of such representation and warranty, such Seller or GMACM, as the case may be, shall, within
90 days after the earlier of its discovery or receipt of notice thereof, or, if such breach has the effect of making the Mortgage
Loan fail to be a “qualified mortgage” within the meaning of Section 860G of the Internal Revenue Code, within 90 days after the
discovery thereof by either such Seller, the Servicer, the Issuer, the Owner Trustee, the Indenture Trustee or the Purchaser either
cure such breach or Repurchase Event in all material respects or either (i) repurchase such Mortgage Loan from the Issuer at the
Repurchase Price, or (ii) substitute one or more Eligible Substitute Loans for such Mortgage Loan, in each case in the manner and
subject to the conditions set forth below, provided that a Seller shall have the option to substitute an Eligible Substitute Loan or
Loans for such Mortgage Loan only if such substitution occurs within two years following the Closing Date. The Repurchase Price for
any such Mortgage Loan repurchased by such Seller or GMACM shall be deposited or caused to be deposited by the Servicer into the
Custodial Account. Any purchase of a Mortgage Loan due to a Repurchase Event shall be the obligation of GMACM.
In furtherance of the foregoing, if GMACM or the Seller that repurchases or substitutes a Mortgage Loan is not a member of
MERS and the Mortgage is registered on the MERS® System, GMACM, at its own expense and without any right of reimbursement, shall
cause MERS to execute and deliver an assignment of the Mortgage in recordable form to transfer the Mortgage from MERS to GMACM or the
Seller and shall cause such Mortgage to be removed from registration on the MERS® System in accordance with MERS’ rules and
regulations.
In the event that any Seller elects to substitute an Eligible Substitute Loan or Loans for a Deleted Loan pursuant to this
Section 3.1, such Seller shall deliver to the Custodian on behalf of the Issuer, with respect to such Eligible Substitute Loan or
Loans, the original Mortgage Note, with the Mortgage Note endorsed as required under the definition of “Mortgage File” and shall
deliver the other documents required to be part of the Mortgage File to the Servicer. No substitution will be made in any calendar
month after the Determination Date for such month. Monthly Payments due with respect to Eligible Substitute Loans in the month of
substitution shall not be part of the Trust Estate and will be retained by the Servicer and remitted by the Servicer to such Seller
on the next succeeding Payment Date, provided that a payment at least equal to the applicable Monthly Payment for such month in
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respect of the Deleted Loan has been received by the Issuer. For the month of substitution, distributions to the Note Payment
Account pursuant to the Servicing Agreement will include the Monthly Payment due on a Deleted Loan for such month and thereafter such
Seller shall be entitled to retain all amounts received in respect of such Deleted Loan. The Servicer shall amend or cause to be
amended the Mortgage Loan Schedule to reflect the removal of such Deleted Loan and the substitution of the Eligible Substitute Loan
or Loans and the Servicer shall deliver the amended Mortgage Loan Schedule to the Owner Trustee, the Indenture Trustee and the
Enhancer. Upon such substitution, the Eligible Substitute Loan or Loans shall be subject to the terms of this Agreement and the
Servicing Agreement in all respects, GMACM shall be deemed to have made the representations and warranties with respect to the
Eligible Substitute Loan contained herein set forth in Section 3.1(b) (other than clauses (viii) (xiii), (xxiv), (xxv)(B), (xxvi) and
(xxvii) thereof and other than clauses (iii) and (ix) thereof in the case of Eligible Substitute Loans substituted by WG Trust 2003);
if the Seller is WG Trust 2003, WG Trust 2003 shall be deemed to have made the representations and warranties set forth in Section
3.1(d)(II); in each case, as of the date of substitution, and the related Seller shall be deemed to have made a representation and
warranty that each Mortgage Loan so substituted is an Eligible Substitute Loan as of the date of substitution. In addition, GMACM
shall be obligated to repurchase or substitute for any Eligible Substitute Loan as to which a Repurchase Event has occurred as
provided herein. In connection with the substitution of one or more Eligible Substitute Loans for one or more Deleted Loans, the
Servicer shall determine the amount (such amount, a “Substitution Adjustment Amount”), if any, by which the aggregate principal
balance of all such Eligible Substitute Loans as of the date of substitution is less than the aggregate principal balance of all such
Deleted Loans (after application of the principal portion of the Monthly Payments due in the month of substitution that are to be
distributed to the Note Payment Account in the month of substitution). Such Seller shall deposit the amount of such shortfall into
the Custodial Account on the date of substitution, without any reimbursement therefor.
Notwithstanding the foregoing, with respect to any Mortgage Loan for which a breach of Section 3.1(b)(xv) has occurred, no
substitutions will be allowed unless GMACM or WG Trust pays to the Servicer, an amount sufficient to indemnify the Trust Fund,
Purchaser, Issuer, Enhancer and Indenture Trustee against any losses, damages, penalties, fines, forfeitures, reasonable and
necessary legal fees and related costs, judgments, and other costs and expenses resulting from any claim, demand, defense or
assertion based on or grounded upon, or resulting from, a breach of such representation.
Upon receipt by the Indenture Trustee on behalf of the Issuer and the Custodian of written notification, signed by a
Servicing Officer, of the deposit of such Repurchase Price or of such substitution of an Eligible Substitute Loan (together with the
complete related Mortgage File) and deposit of any applicable Substitution Adjustment Amount as provided above, the Custodian, on
behalf of the Indenture Trustee, shall (i) release to such Seller or GMACM, as the case may be, the related Mortgage Note for the
Mortgage Loan being repurchased or substituted for, (ii) cause the Servicer to release to such Seller any remaining documents in the
related Mortgage File which are held by the Servicer, and (iii) the Indenture Trustee on behalf of the Issuer shall execute and
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deliver such instruments of transfer or assignment prepared by the Servicer, in each case without recourse, as shall be necessary to
vest in such Seller or GMACM, as the case may be, or its respective designee such Mortgage Loan released pursuant hereto and
thereafter such Mortgage Loan shall not be an asset of the Issuer.
It is understood and agreed that the obligation of each Seller and GMACM to cure any breach, or to repurchase or substitute
for any Mortgage Loan as to which such a breach has occurred and is continuing, shall constitute the sole remedy respecting such
breach available to the Purchaser, the Issuer, the Certificateholders (or the Owner Trustee on behalf of the Certificateholders) and
the Noteholders (or the Indenture Trustee on behalf of the Noteholders) against such Seller and GMACM.
It is understood and agreed that the representations and warranties set forth in this Section 3.1 shall survive delivery of
the respective Mortgage Notes to the Issuer or the Custodian.
ARTICLE IV
SELLERS’ COVENANTS
Section 4.1 Covenants of the Sellers. Each Seller hereby covenants that, except for the transfer hereunder and as of
any Subsequent Transfer Date, it will not sell, pledge, assign or transfer to any other Person, or grant, create, incur or assume any
Lien on any Mortgage Loan, or any interest therein. Each Seller shall notify the Issuer (in the case of the Initial Mortgage Loans,
as assignee of the Purchaser), of the existence of any Lien (other than as provided above) on any Mortgage Loan immediately upon
discovery thereof; and each Seller shall defend the right, title and interest of the Issuer (in the case of the Initial Mortgage
Loans, as assignee of the Purchaser) in, to and under the Mortgage Loans against all claims of third parties claiming through or
under such Seller; provided, however, that nothing in this Section 4.1 shall be deemed to apply to any Liens for municipal or other
local taxes and other governmental charges if such taxes or governmental charges shall not at the time be due and payable or if any
Seller shall currently be contesting the validity thereof in good faith by appropriate Proceedings.
ARTICLE V
SERVICING
Section 5.1 Servicing. GMACM shall service the Mortgage Loans pursuant to the terms and conditions of the Servicing
Agreement and the Program Guide and shall service the Mortgage Loans directly or through one or more sub-servicers in accordance
therewith.
ARTICLE VI
LIMITATION ON LIABILITY OF THE SELLERS
Section 6.1 Limitation on Liability of the Sellers. None of the directors, officers, employees or agents of GMACM or
WG Trust 2003 shall be under any liability to the Purchaser or the Issuer, it being expressly understood that all such liability is
expressly waived and released as a condition of, and as consideration for, the execution of this Agreement and any Subsequent
Transfer Agreement. Except as and to the extent expressly provided in the Servicing Agreement, GMACM and WG Trust 2003 shall not be
under any liability to the Issuer, the Owner Trustee, the Indenture Trustee or the Securityholders. GMACM or WG Trust 2003 and any
director, officer, employee or agent of GMACM or WG Trust 2003 may rely in good faith on any document of any kind prima facie
properly executed and submitted by any Person respecting any matters arising hereunder.
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ARTICLE VII
TERMINATION
Section 7.1 Termination. The obligations and responsibilities of the parties hereto shall terminate upon the
termination of the Trust Agreement.
ARTICLE VIII
MISCELLANEOUS PROVISIONS
Section 8.1 Amendment. This Agreement may be amended from time to time by the parties hereto by written agreement with
the prior written consent of the Enhancer (which consent shall not be unreasonably withheld), provided that the Servicer, the
Enhancer and the Indenture Trustee shall have received an Opinion of Counsel to the effect that such amendment will not result in an
Adverse REMIC Event).
Section 8.2 Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE
OF NEW YORK, WITHOUT REGARD TO THE CONFLICT OF LAW PRINCIPLES THEREOF, OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL
OBLIGATIONS LAW, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.
Section 8.3 Notices. Where this Agreement provides for notice, certificates, opinions, reports or similar delivery to
be given to any transaction party or to a Rating Agency, a copy of such document shall be contemporaneously sent to the Enhancer.
All demands, notices and communications hereunder shall be in writing and shall be deemed to have been duly given if personally
delivered at or mailed by registered mail, postage prepaid, addressed as follows:
(a) if to the GMACM:
GMAC Mortgage, LLC
000 Xxxxxx Xxxx
Xxxxxxx, Xxxxxxxxxxxx 00000
Attention: Xxxxx Xxxx, Executive Vice President
Re: GMACM Home Equity Loan Trust 2007-HE1;
22
(b) if to WG Trust 2003:
Walnut Grove Mortgage Loan Trust 2003-A
c/o Wilmington Trust Company
0000 Xxxxx Xxxxxx Xxxxxx
Xxxxxxxxxx, Xxxxxxxx 00000
Attention: Walnut Grove Mortgage Loan Trust 2003-A
Re: GMACM Home Equity Loan Trust 2007-HE1;
(c) if to the Purchaser:
Residential Asset Mortgage Products, Inc.
0000 Xxxxxxxxxx Xxxx Xxxxxxxxx
Xxxxxxxxxxx, Xxxxxxxxx 00000
Attention: President
Re: GMACM Home Equity Loan Trust 2007-HE1;
(d) if to the Indenture Trustee:
The Bank of New York Trust Company, N.A.
0 Xxxxx XxXxxxx Xxxxxx, Xxxxx 0000
Xxxxxxx, Xxxxxxxx 00000
Attention: Structured Finance Services - GMACM Home Equity Loan Trust Series 2007-HE1;
(e) if to the Issuer:
c/o Wilmington Trust Company, as Owner Trustee
Xxxxxx Square North
0000 Xxxxx Xxxxxx Xxxxxx
Xxxxxxxxxx, Xxxxxxxx 00000-0000
Telecopier: 000-000-0000
Re: Corporate Trust Services - GMACM Home Equity Loan Trust 2007-HE1; or
(f) if to the Enhancer:
MBIA Insurance Corporation
000 Xxxx Xxxxxx
Xxxxxx, Xxx Xxxx 00000
Attention: Insured Portfolio Management - Structured Finance
Re: GMACM Home Equity Loan Trust 2007-HE1;
Telecopier: (000) 000-0000;
or, with respect to any of the foregoing Persons, at such other address as may hereafter be furnished to the other foregoing Persons in
writing.
23
Section 8.4 Severability of Provisions. If any one or more of the covenants, agreements, provisions or terms of this
Agreement shall be held invalid for any reason whatsoever, then such covenants, agreements, provisions or terms shall be deemed
severable from the remaining covenants, agreements, provisions or terms of this Agreement and shall in no way affect the validity of
enforceability of the other provisions of this Agreement.
Section 8.5 Relationship of Parties. Nothing herein contained shall be deemed or construed to create a partnership or
joint venture among the parties hereto, and the services of GMACM shall be rendered as an independent contractor and not as agent for
the Purchaser.
Section 8.6 Counterparts. This Agreement may be executed in any number of counterparts, each of which, when so
executed, shall be deemed to be an original and such counterparts, together, shall constitute one and the same agreement.
Section 8.7 Further Agreements. The parties hereto each agree to execute and deliver to the other such additional
documents, instruments or agreements as may be necessary or appropriate to effectuate the purposes of this Agreement.
Section 8.8 Intention of the Parties. It is the intention of the parties hereto that the Purchaser will be purchasing
on the Closing Date, and the Sellers will be selling on the Closing Date, the Initial Mortgage Loans, rather than the Purchaser
providing a loan to the Sellers secured by the Initial Mortgage Loans on the Closing Date; and that the Issuer will be purchasing on
each Subsequent Transfer Date, and the Sellers will be selling on each Subsequent Transfer Date, the related Subsequent Mortgage
Loans, rather than the Issuer providing a loan to the Sellers secured by the related Subsequent Mortgage Loans on each Subsequent
Transfer Date. Accordingly, the parties hereto each intend to treat this transaction for federal income tax purposes as (i) a sale
by the Sellers, and a purchase by the Purchaser, of the Initial Mortgage Loans on the Closing Date and (ii) a sale by the Sellers,
and a purchase by the Issuer, of the related Subsequent Mortgage Loans on each Subsequent Transfer Date. The Purchaser and the
Issuer shall each have the right to review the Mortgage Loans and the Related Documents to determine the characteristics of the
Mortgage Loans which will affect the federal income tax consequences of owning the Mortgage Loans, and each Seller shall cooperate
with all reasonable requests made by the Purchaser or the Issuer in the course of such review.
Section 8.9 Successors and Assigns; Assignment of this Agreement.
(a) This Agreement shall bind and inure to the benefit of and be enforceable by the parties hereto and their
respective permitted successors and assigns. The obligations of each Seller under this Agreement cannot be assigned or delegated to
a third party without the consent of the Enhancer and the Purchaser (and the Issuer with respect to the transfer of any Subsequent
Mortgage Loans), which consent shall be at the Enhancer and the Purchaser’s sole discretion (and the Issuer’s sole discretion with
respect to the transfer of any Subsequent Mortgage Loans); provided, that each Seller may assign its obligations hereunder to any
Affiliate of such Seller, to any Person succeeding to the business of such Seller, to any Person into which such Seller is merged and
to any Person resulting from any merger, conversion or consolidation to which such Seller is a party. The parties hereto acknowledge
that (i) the Purchaser is acquiring the Initial Mortgage Loans for the purpose of contributing them to the GMACM Home Equity Loan
Trust 2007-HE1 and (ii) the Issuer is acquiring the Subsequent Mortgage Loans for the purpose of pledging the Subsequent Mortgage
Loans to the Indenture Trustee for the benefit of the Noteholders and the Enhancer.
24
(b) As an inducement to the Purchaser and the Issuer to purchase the Initial Mortgage Loans and to the Issuer to
purchase any Subsequent Mortgage Loans, each Seller acknowledges and consents to (i) the assignment by the Purchaser to the Issuer of
all of the Purchaser’s rights against any Seller pursuant to this Agreement insofar as such rights relate to the Initial Mortgage
Loans transferred to the Issuer and to the enforcement or exercise of any right or remedy against any of the Sellers pursuant to this
Agreement by the Issuer, (ii) the enforcement or exercise of any right or remedy against any of the Sellers pursuant to this
Agreement by or on behalf of the Issuer and (iii) the Issuer’s pledge of its interest in this Agreement to the Indenture Trustee and
the enforcement by the Indenture Trustee of any such right or remedy against any Seller following an Event of Default under the
Indenture. Such enforcement of a right or remedy by the Issuer, the Owner Trustee, the Enhancer or the Indenture Trustee, as
applicable, shall have the same force and effect as if the right or remedy had been enforced or exercised by the Purchaser or the
Issuer directly.
Section 8.10 Survival. The representations and warranties made herein by each Seller and the provisions of Article VI
hereof shall survive the purchase of the Initial Mortgage Loans hereunder and any transfer of Subsequent Mortgage Loans pursuant to
this Agreement and the related Subsequent Transfer Agreement.
Section 8.11 Third Party Beneficiary. The Enhancer shall be a third party beneficiary hereof and shall be entitled to
enforce the provisions of this Agreement as if a party hereto.
25
IN WITNESS WHEREOF, the parties hereto have caused their names to be signed to this Mortgage Loan Purchase Agreement by
their respective officers thereunto duly authorized as of the day and year first above written.
RESIDENTIAL ASSET MORTGAGE
PRODUCTS, INC., as Purchaser
GMAC MORTGAGE, LLC,
as Seller and Servicer
By:_________________________________________________
Name:
Title:
WALNUT GROVE MORTGAGE LOAN
TRUST 2003-A, as Seller
By: WILMINGTON TRUST COMPANY,
not in its individual capacity but solely as
Owner Trustee
By:_________________________________________________
Name:
Title:
[Signatures Continue On Following Page]
GMACM HOME EQUITY LOAN TRUST
2007-HE1, as Issuer
By: WILMINGTON TRUST COMPANY,
not in its individual capacity but solely as
Owner Trustee
By:_________________________________________________
Name:
Title:
THE BANK OF NEW YORK TRUST COMPANY, N.A., NOT IN ITS INDIVIDUAL CAPACITY BUT
SOLELY AS INDENTURE TRUSTEE
By:_________________________________________________
Name:
Title:
EXHIBIT 1
MORTGAGE LOAN SCHEDULE
[On file with the Servicer]
Exhibit 1-B-1
EXHIBIT 2
FORM OF SUBSEQUENT TRANSFER AGREEMENT
Pursuant to this Subsequent Transfer Agreement No. _______(the “Agreement”), dated as of ____________________, ________,
between [_________], as seller (the “Seller”), and GMACM Home Equity Loan Trust 2007-HE1, as issuer (the “Issuer”), and pursuant to
the mortgage loan purchase agreement dated as of March 29, 2007 (the “Mortgage Loan Purchase Agreement”), among GMAC Mortgage, LLC,
as a seller and servicer, Walnut Grove Mortgage Loan Trust 2003-A, as a Seller, Residential Asset Mortgage Products, Inc., as
purchaser (the “Purchaser”), the Issuer and The Bank of New York Trust Company, N.A., as indenture trustee (the “Indenture Trustee”),
the Seller and the Issuer agree to the sale by the Seller and the purchase by the Issuer of the mortgage loans listed on the attached
Schedule of Subsequent Mortgage Loans (the “Subsequent Mortgage Loans”).
Capitalized terms used and not defined herein have their respective meanings as set forth in Appendix A to the indenture
dated as of March 29, 2007, between the Issuer and the Indenture Trustee, which meanings are incorporated by reference herein. All
other capitalized terms used herein shall have the meanings specified herein.
Section 1. Sale of Subsequent Mortgage Loans.
(a) The Seller does hereby sell, transfer, assign, set over and convey to the Issuer, without recourse, all of its
right, title and interest in and to the Subsequent Mortgage Loans, all principal received and interest thereon on and after the
Subsequent Cut-Off Date, all monies due or to become due thereon and all items with respect to the Subsequent Mortgage Loans to be
delivered pursuant to Section 2.2 of the Mortgage Loan Purchase Agreement; provided, however, that the Seller reserves and retains
all right, title and interest in and to principal received and interest accruing on the Subsequent Mortgage Loans prior to the
Subsequent Cut-Off Date. The Seller, contemporaneously with the delivery of this Agreement, has delivered or caused to be delivered
to the Indenture Trustee each item set forth in Section 2.2 of the Mortgage Loan Purchase Agreement.
The transfer to the Issuer by the Seller of the Subsequent Mortgage Loans identified on the Mortgage Loan Schedule shall be
absolute and is intended by the parties hereto to constitute a sale by the Seller to the Issuer on the Subsequent Transfer Date of
all the Seller’s right, title and interest in and to the Subsequent Mortgage Loans, and other property as and to the extent described
above, and the Issuer hereby acknowledges such transfer. In the event the transactions set forth herein shall be deemed not to be a
sale, the Seller hereby grants to the Issuer as of the Subsequent Transfer Date a security interest in all of the Seller’s right,
title and interest in, to and under all accounts, chattel papers, general intangibles, contract rights, certificates of deposit,
deposit accounts, instruments, documents, letters of credit, money, payment intangibles, advices of credit, investment property,
goods and other property consisting of, arising under or related to the Subsequent Mortgage Loans, and such other property, to secure
all of the Issuer’s obligations hereunder, and this Agreement shall constitute a security agreement under applicable law. The Seller
agrees to take or cause to be taken such actions and to execute such documents, including without limitation the filing of all
necessary UCC-1 financing statements filed in the State of Delaware and the Commonwealth of Pennsylvania (which shall be submitted
for filing as of the Subsequent Transfer Date), any continuation statements with respect thereto and any amendments thereto required
to reflect a change in the name or corporate structure of the Seller or the filing of any additional UCC-1 financing statements due
to the change in the principal office or jurisdiction of incorporation of the Seller, as are necessary to perfect and protect the
Issuer’s interests in each Subsequent Mortgage Loan and the proceeds thereof.
Exhibit 2-1
(b) The expenses and costs relating to the delivery of the Subsequent Mortgage Loans, this Agreement and the Mortgage
Loan Purchase Agreement shall be borne by the Seller.
(c) Additional terms of the sale are set forth on Attachment A hereto.
Section 2. Representations and Warranties; Conditions Precedent.
(a) The Seller hereby affirms the representations and warranties made by it and set forth in Section 3.1 of the Mortgage
Loan Purchase Agreement that relate to the Seller or the Subsequent Mortgage Loans as of the date hereof. The Seller hereby confirms
that each of the conditions set forth in Section 2.2(b) of the Mortgage Loan Purchase Agreement are satisfied as of the date hereof
and further represents and warrants that each Subsequent Mortgage Loan complies with the requirements of this Agreement and Section
2.2(c) of the Mortgage Loan Purchase Agreement. GMACM, as Servicer of the Subsequent Mortgage Loans hereby affirms the
representations and warranties made by it regarding the Subsequent Mortgage Loans as set forth in Section 3.1 of the Mortgage Loan
Purchase Agreement.
(b) The Seller is solvent, is able to pay its debts as they become due and has capital sufficient to carry on its
business and its obligations hereunder; it will not be rendered insolvent by the execution and delivery of this Agreement or by the
performance of its obligations hereunder nor is it aware of any pending insolvency; no petition of bankruptcy (or similar insolvency
proceeding) has been filed by or against the Seller prior to the date hereof.
(c) All terms and conditions of the Mortgage Loan Purchase Agreement relating to the Subsequent Mortgage Loans are
hereby ratified and confirmed; provided, however, that in the event of any conflict the provisions of this Agreement shall control
over the conflicting provisions of the Mortgage Loan Purchase Agreement.
Section 3. Recordation of Instrument. To the extent permitted by applicable law or a memorandum thereof if permitted
under applicable law, this Agreement is subject to recordation in all appropriate public offices for real property records in all of
the counties or other comparable jurisdictions in which any or all of the properties subject to the related Mortgages are situated,
and in any other appropriate public recording office or elsewhere, such recordation to be effected by the Servicer at the
Noteholders’ expense on direction of the Noteholders of Notes representing not less than a majority of the aggregate Note Balance of
the Notes or the Enhancer, but only when accompanied by an Opinion of Counsel to the effect that such recordation materially and
beneficially affects the interests of the Noteholders or the Enhancer or is necessary for the administration or servicing of the
Subsequent Mortgage Loans.
Section 4. GOVERNING LAW. 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 5. Counterparts. This Agreement may be executed in counterparts, each of which, when so executed, shall be
deemed to be an original and together shall constitute one and the same instrument.
Section 6. Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon the Seller and
the Issuer and their respective successors and assigns.
[__________________________________],
as Seller
By:_________________________________________________
Name:
Title:
GMACM HOME EQUITY LOAN TRUST
2007-HE1, as Issuer
By: WILMINGTON TRUST COMPANY,
not in its individual capacity but solely as
Owner Trustee
By:_________________________________________________
Name:
Title:
GMAC MORTGAGE, LLC,
as Servicer
By:_________________________________________________
Name:
Title:
Attachments
A. Additional terms of sale.
B. Schedule of Subsequent Mortgage Loans.
C. Seller’s Officer’s Certificate.
D. Seller’s Officer’s Certificate (confirmation of Enhancer approval).
GMACM HOME EQUITY LOAN TRUST 2007-HE1
ATTACHMENT A TO FORM OF SUBSEQUENT TRANSFER AGREEMENT
____________, ____
A.
1. Subsequent Cut-Off Date:
2. Pricing Date:
3. Subsequent Transfer Date:
4. Aggregate Principal Balance of the Subsequent Mortgage Loans as of the
Subsequent Cut-Off Date:
5. Purchase Price: 100.00%
B.
As to all Subsequent Mortgage Loans:
1. Longest stated term to maturity: ______months
2. Minimum Loan Rate: ______%
3. Maximum Loan Rate: ______%
4. WAC of all Subsequent Mortgage Loans: ______%
5. WAM of all Subsequent Mortgage Loans: ______%
6. Largest Principal Balance: $______
7. Non-owner occupied Mortgaged Properties: ______%
8. California zip code concentrations: ______% and ______%
9. Condominiums: ______%
10. Single-family: ______%
11. Weighted average term since origination: ______%
12. Principal balance of Subsequent Mortgage Loans with respect to which the $______
Mortgagor is an employee of GMACM or an affiliate of GMACM:
13. Number of Subsequent Mortgage Loans with respect to which the Mortgagor is an ______
employee of GMACM or an affiliate of GMACM:
EXHIBIT 3
FORM OF ADDITION NOTICE
DATE:
The Bank of New York Trust Company, X.X. Xxxxx’x Investors Service, Inc.
0 Xxxxx XxXxxxx Xxxxxx, Xxxxx 0000 00 Xxxxxx Xxxxxx
Xxxxxxx, Xxxxxxxx 00000 Xxx Xxxx, Xxx Xxxx 00000
MBIA Insurance Corporation Standard & Poor’s, a division of The XxXxxx-Xxxx
000 Xxxx Xxxxxx Companies, Inc.
Xxxxxx, Xxx Xxxx 00000 00 Xxxxx Xxxxxx
Attn: Insured Portfolio Management - Xxx Xxxx, Xxx Xxxx 00000-0000
Structured Finance
Re: GMACM Home Equity Loan Trust 2007-HE1
Wilmington Trust Company
0000 Xxxxx Xxxxxx Xxxxxx
Xxxxxxxxxx, Xxxxxxxx 00000
Re: GMACM Home Equity Loan Trust 2007-HE1
Ladies and Gentlemen:
Pursuant to Section 2.2 of the mortgage loan purchase agreement dated as of March 29, 2007 (the “Purchase Agreement”), among
GMAC Mortgage, LLC, as a Seller and Servicer, Walnut Grove Mortgage Loan Trust 2003-A, as a Seller, Residential Asset Mortgage
Products, Inc., as Purchaser, GMACM Home Equity Loan Trust 2007-HE1, as Issuer and The Bank of New York Trust Company, N.A., as
Indenture Trustee, the Seller has designated the Subsequent Mortgage Loans identified on the Mortgage Loan Schedule attached hereto
to be sold to the Issuer on _________________, ________, with an aggregate Principal Balance of $ ___________. Capitalized terms not
otherwise defined herein have the meaning set forth in the Appendix A to the indenture dated as of March 29, 2007, between the Issuer
and the Indenture Trustee.
Please acknowledge your receipt of this notice by countersigning the enclosed copy in the space indicated below and
returning it to the attention of the undersigned.
Very truly yours,
[____________________________],
as Seller
By:_________________________________________________
Name:
Title:
ACKNOWLEDGED AND AGREED:
JPMORGAN CHASE BANK NATIONAL ASSOCIATION,
as Indenture Trustee
By:_________________________________________________
Name:
Title:
