Exhibit 99.5
EXECUTION COPY
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GSAA HOME EQUITY TRUST 2007-6
ASSET-BACKED CERTIFICATES
SERIES 2007-6
ASSIGNMENT, ASSUMPTION AND RECOGNITION AGREEMENT
among
XXXXXXX XXXXX MORTGAGE COMPANY,
as Assignor
GS MORTGAGE SECURITIES CORP.,
as Assignee
and
AVELO MORTGAGE, L.L.C.
as the Company
Dated as of
May 30, 2007
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ASSIGNMENT, ASSUMPTION AND RECOGNITION AGREEMENT
ASSIGNMENT, ASSUMPTION AND RECOGNITION AGREEMENT, dated May 30,
2007 (this "Agreement"), among Xxxxxxx Sachs Mortgage Company ("Assignor"), GS
Mortgage Securities Corp. ("Assignee") and Avelo Mortgage, L.L.C. (the
"Company") (the "Step 1 Assignment Agreement").
For and in consideration of the mutual promises contained herein
and other good and valuable consideration the receipt and sufficiency of which
are hereby acknowledged, and of the mutual covenants herein contained, the
parties hereto hereby agree as follows:'
1. Assignment, Assumption and Conveyance.
The Assignor hereby conveys, sells, grants, transfers and assigns
to the Assignee all of the right, title and interest (other than those rights
specifically retained by the Assignor pursuant to this Agreement) of the
Assignor, as purchaser, in, to and under (a) certain mortgage loans acquired
through the Xxxxxxx Xxxxx Residential Mortgage Conduit Program (the "Mortgage
Loans") listed on the schedule (the "Mortgage Loan Schedule") attached hereto
as Exhibit A, and (b) solely insofar as it relates to the Mortgage Loans, that
certain Flow Servicing Agreement, dated as of January 1, 2006 (the "Servicing
Agreement"), by and between the Assignor, as owner (the "Owner") and the
Company. The Assignor hereby agrees that it will (i) deliver possession of
notes evidencing the Mortgage Loans to, or at the direction of, the Assignee
or its designee and (ii) take in a timely manner all necessary steps under all
applicable laws to convey and to perfect the conveyance of the Mortgage Loans
as required under the Trust Agreement (as defined below).
The Assignor specifically reserves and does not assign to the
Assignee hereunder (i) any and all right, title and interest in, to and under
and any obligations of the Assignor with respect to any mortgage loans subject
to the Servicing Agreement that are not the Mortgage Loans set forth on the
Mortgage Loan Schedule and are not the subject of this Agreement, (ii) any
rights and obligations of the Assignor pursuant to the Servicing Agreement
arising prior to the date hereof or (iii) the rights and obligations of the
Owner under the following sections of the Servicing Agreement: Section 6.02
(relating to the Owner's right to terminate the Company), Section 5.01
(relating to the Owner's right to receive information from the Company),
Section 11.13 (relating to the Owner's right to consent to certain
solicitation activities) and Section 11.16 (relating the Owner's obligation to
execute certain confidentiality agreements).
The Assignee hereby assumes all of the Assignor's obligations
under the Mortgage Loans and the Servicing Agreement solely insofar as such
obligations relate to the Mortgage Loans, other than the obligations set forth
in clauses (ii) and (iii) of the preceding paragraph.
The parties hereto agree that with respect to the Mortgage Loans
being serviced under the Servicing Agreement the Servicing Fee Rate for the
Mortgage Loans shall be as specified on the Mortgage Loan Schedule.
2. Recognition of the Company.
From and after the date hereof (the "Securitization Closing
Date"), the Company shall and does hereby recognize that the Assignee will
transfer the Mortgage Loans and assign its rights under the Servicing
Agreement (solely to the extent set forth herein) and this Agreement to
Deutsche Bank National Trust Company ("Deutsche Bank"), as trustee (including
its successors in interest and any successor trustees under the Trust
Agreement, the "Trustee"), of the GSAA Home Equity Trust 2007-6 (the "Trust")
created pursuant to a Master Servicing and Trust Agreement, dated as of May 1,
2007 (the "Trust Agreement"), among the Assignee, the Trustee, U.S. Bank
National Association, as a custodian, Deutsche Bank, as a custodian, The Bank
of New York Trust Company, National Association, as a custodian and Xxxxx
Fargo Bank, National Association, as master servicer (including its successors
in interest and any successor servicer under the Trust Agreement, in such
capacity, the "Master Servicer"), securities administrator and as a custodian.
The Company hereby acknowledges and agrees that from and after the
date hereof (i) the Trust will be the owner of the Mortgage Loans and the
Company will be the servicer of the Mortgage Loans on or after the applicable
Transfer Date pursuant to the terms set forth in the Servicing Agreement as
modified hereby, (ii) the Company shall look solely to the Trust (including
the Trustee and the Master Servicer acting on the Trust's behalf) for
performance of any obligations of the Assignor under the Mortgage Loans and
the Servicing Agreement (solely insofar as it relates to the Mortgage Loans)
(except for such obligations of the Assignor retained by the Assignor
hereunder), (iii) the Trust (including the Trustee and the Master Servicer
acting on the Trust's behalf) shall have all the rights and remedies available
to the Assignor, insofar as they relate to (A) the Mortgage Loans, under the
applicable purchase agreement pursuant to which the Owner purchased the
related Mortgage Loans from the related Seller, including, without limitation,
the enforcement of the document delivery requirements set forth in Section
5(b) of the related purchase agreement and (B) the Servicing Agreement and
shall be entitled to enforce all of the obligations of the Company thereunder
insofar as they relate to the Mortgage Loans, including without limitation,
the remedies for breaches of representations and warranties set forth in
Article IX of the Servicing Agreement (except for the rights and remedies
retained by the Assignor hereunder), (iv) all references to the Owner under
the Servicing Agreement insofar as they relate to the Mortgage Loans shall be
deemed to refer to the Trust (except to the extent of the rights and
obligations retained by the Assignor hereunder) (including the Trustee and the
Company acting on the Trust's behalf) and (v) the Mortgage Loans will be part
of a REMIC, and the Company shall service the Mortgage Loans and any real
property acquired upon default thereof (including, without limitation, making
or permitting any modification, waiver or amendment of any term of any
Mortgage Loan) after the applicable Transfer Date in accordance with the
Servicing Agreement but in no event in a manner that would (A) cause the REMIC
to fail to qualify as a REMIC or (B) result in the imposition of a tax upon
the REMIC (including but not limited to the tax on prohibited transactions as
defined in Section 860F(a)(2) of the Code, the tax on contributions to a REMIC
set forth in Section 860G(d) of the Code, and the tax on "net income from
foreclosure property" as set forth in Section 860G(c) of the Code). Neither
the Company nor the Assignor shall amend or agree to amend, modify, waive, or
otherwise alter any of the terms or provisions of the Servicing Agreement
which amendment, modification, waiver or other alteration would in any way
affect the Mortgage Loans or the Company's performance
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under the Servicing Agreement with respect to the Mortgage Loans without the
prior written consent of the Master Servicer.
3. Modification of the Servicing Agreement. Only in so far as it
relates to the Mortgage Loans, the Company and the Assignor hereby amend the
Servicing Agreement as follows:
(a) The definition of "Servicing Fee Rate" set forth in Article I
shall be deleted in its entirety and replaced with the following:
"Servicing Fee Rate: As set forth on the Mortgage Loan Schedule
attached as Exhibit A to the Assignment, Assumption and Recognition Agreement,
dated as of May 30, 2007, among Xxxxxxx Xxxxx Mortgage Company, as Assignor,
GS Mortgage Securities Corp., as Assignee and Avelo Mortgage, L.L.C., as the
Company. "
(b) a new definition of "Privacy Laws" will be added in the
appropriate alphabetical order which shall read as follows:
"Privacy Laws: Title V of the Xxxxx-Xxxxx-Xxxxxx Act of 1999, as
amended, and all applicable regulations promulgated thereunder."
(c) the second paragraph of Section 2.01 shall be deleted and
replaced as follows:
"Subject only to the Accepted Servicing Practices and the terms of
this Agreement and of the respective Mortgage Loans, the Servicer shall have
full power and authority to do or cause to be done any and all things in
connection with such servicing and administration which it may deem necessary
or desirable. Without limiting the generality of the foregoing, the Servicer
in its own name or in the name of the Owner, is hereby authorized and
empowered by the Owner when the Servicer believes it appropriate in its best
judgment in accordance with Accepted Servicing Practices, to execute and
deliver any and all instruments of satisfaction or cancellation, or of partial
or full release or discharge, and all other comparable instruments, with
respect to the Mortgage Loans and the Mortgaged Properties and to institute
foreclosure proceedings or obtain a deed in lieu of foreclosure so as to
convert the ownership of such properties, and to hold or cause to be held
title to such properties, in the name of the Servicer on behalf of the Owner
and without reference to the Owner except as otherwise required by law. The
Owner shall execute, at the written request of the Servicer, and furnish to
the Servicer such documents as are necessary or appropriate to enable the
Servicer to carry out its servicing and administrative duties hereunder, and
the Owner hereby grants to the Servicer, and this Agreement shall constitute,
a power of attorney to carry out such duties including a power of attorney to
take title to Mortgaged Properties after foreclosure on, in the name of the
Servicer on behalf of the Owner and without reference to the Owner except as
otherwise required by law. Except as otherwise provided herein, the Owner
shall not be liable for the actions of the Servicer under such powers of
attorney.
Notwithstanding anything in this Agreement to the contrary, the
Servicer shall not (i) permit any modification with respect to any Mortgage
Loan that would change the Mortgage
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Interest Rate, reduce or increase the principal balance (except for reductions
resulting from actual payments of principal) or change the final maturity date
on such Mortgage Loan (except for (A) a reduction of interest or principal
payments resulting from the application of the Servicemembers Civil Relief Act
or any similar state statutes or (B) as provided in Section 2.03, if the
Mortgagor is in default with respect to the Mortgage Loan or such default is,
in the judgment of the Servicer, reasonably foreseeable) or (ii) except as
provided in Section 2.03, waive any prepayment penalty or premium."
(d) Section 2.03 shall be deleted and replaced as follows:
"The Servicer shall make reasonable efforts to collect all
payments called for under the terms and provisions of the Mortgage Loans and
shall, to the extent such procedures shall be consistent with this Agreement
and the terms and provisions of any applicable insurance policies insuring the
Mortgage Loan or the related Mortgaged Property, follow such collection
procedures as it would follow with respect to mortgage loans comparable to the
Mortgage Loans and held for its own account. Consistent with the foregoing and
Accepted Servicing Practices, the Servicer may (i) waive any late payment
charge or, if applicable, any penalty interest, or (ii) extend the Due Dates
for the Monthly Payments due on a Mortgage Note for a period of not greater
than 180 days; provided, that any extension pursuant to clause (ii) above
shall not affect the amortization schedule of any Mortgage Loan for purposes
of any computation hereunder, except as provided below. In the event of any
such arrangement pursuant to clause (ii) above, the Servicer shall make
Monthly Advances on such Mortgage Loan during such extension pursuant to
Section 3.04 and in accordance with the amortization schedule of such Mortgage
Loan without modification thereof by reason of such arrangements; provided
that the Servicer shall not be obligated to make Monthly Advances which the
Servicer determines to be Nonrecoverable Advances. Notwithstanding the
foregoing, in the event that any Mortgage Loan is in default or, in the
judgment of the Servicer, such default is reasonably foreseeable, the
Servicer, consistent with the Accepted Servicing Practices, may also waive,
modify or vary any term of such Mortgage Loan (including modifications that
would change the Mortgage Interest Rate, forgive the payment of principal or
interest, extend the final maturity date of such Mortgage Loan or waive, in
whole or in part, a prepayment penalty or premium), accept payment from the
related Mortgagor of an amount less than the outstanding principal balance in
final satisfaction of such Mortgage Loan, or consent to the postponement of
strict compliance with any such term or otherwise grant indulgence to any
Mortgagor (any and all such waivers, modifications, variances, forgiveness of
principal or interest, postponements, or indulgences collectively referred to
herein as "Forbearance"). The Servicer's analysis supporting any Forbearance
and the conclusion that any Forbearance meets the Accepted Servicing Practices
shall be reflected in writing in the Servicing File. Notwithstanding the
foregoing, a Servicer may waive, in whole or in part, a prepayment penalty or
premium only under the following circumstances: (i) such waiver relates to a
default or a reasonably foreseeable default and would, in the reasonable
judgment of the Servicer, maximize recovery of total proceeds taking into
account the value of such prepayment penalty or premium and the related
Mortgage Loan, (ii) such prepayment penalty or premium is not permitted to be
collected by applicable federal, state or local law or regulation, (iii) the
collection of such prepayment penalty or premium would be considered
"predatory" pursuant to written guidance published or issued by any applicable
federal, state or local regulatory authority acting in its official capacity
and having jurisdiction over such matters, (iv) the enforceability thereof is
limited (1) by bankruptcy, insolvency,
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moratorium, receivership or other similar laws relating to creditor's rights
generally or (2) due to acceleration in connection with a foreclosure or other
involuntary payment or (v) if the Servicer has not been provided with
information sufficient to enable it to collect the prepayment penalty or
premium. If a prepayment penalty or premium is waived other than as permitted
in this Section 2.03, then the Servicer is required to pay the amount of such
waived prepayment penalty or premium, by depositing such amount into the
Collection Account as soon as possible after the date of payoff, but in no
event later than five (5) Business Days from such date."
(e) Section 2.05 shall be amended as follows:
(i) "and" shall be deleted from the end of subsection
(vii);
(ii) subsection (viii) shall be amended by deleting the "."
at the end of subsection (viii) and replacing it with
"; and "
(iii) a new subsection (ix) shall be added to Section 2.05
immediately following subsection (viii) which shall
read as follows:
"(ix) to reimburse itself for Monthly Advances of the Servicer's
funds made pursuant to Section 3.04, the Servicer's right to reimburse itself
pursuant to this subclause (ix) being limited to related Liquidation Proceeds,
Condemnation Proceeds, Insurance Proceeds and such other amounts as may be
collected by the Servicer from the Mortgagor or otherwise relating to the
Mortgage Loan, including amounts received on the related Mortgage Loan which
represent late payments of principal and/or interest respecting which any such
advance was made, it being understood that, in the case of any such
reimbursement, the Servicer's right thereto shall be prior to the rights of
Owner."
(f) Section 2.17 shall be deleted and replaced as follows:
"The Servicer, in its capacity as servicer for each Mortgage Loan,
agrees to fully furnish, in accordance with the Fair Credit Reporting Act and
its implementing regulations, accurate and complete information (e.g.,
favorable and unfavorable) on its borrower credit files to Equifax, Experian
and Trans Union Credit Information Company (three of the credit repositories),
on a monthly basis. The Servicer will transmit full-file credit reporting data
for each Mortgage Loan pursuant to Xxxxxx Xxx Guide Announcement 95-19 and for
each Mortgage Loan, Servicer agrees it shall report one of the following
statuses each month as follows: new origination, current, delinquent (30-,
60-, 90-days, etc.), foreclosed, or charged-off."
(g) the third paragraph of Section 2.18 shall be deleted and
replaced as follows:
"The Servicer shall use its best efforts to dispose of the REO
Property as soon as possible and shall sell such REO Property in any event
within one year after title has been taken to such REO Property, unless (i) a
REMIC election has not been made with respect to the arrangement under which
the Mortgage Loans and the REO Property are held, and (ii) the Servicer
determines, and gives an appropriate notice to the Owner to such effect, that
a longer period is necessary for the orderly liquidation of such REO Property;
provided however, that the Servicer agrees not to sell or dispose of any such
REO Property to a person who acquires such
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REO Property using a purchase money mortgage. If a period longer than one year
is permitted under the foregoing sentence and is necessary to sell any REO
Property, the Servicer shall report monthly to the Owner as to the progress
being made in selling such REO Property, and provided further, that if the
Servicer is unable to sell such REO Property within three years of
acquisition, the Servicer shall obtain an extension from the Internal Revenue
Service."
(h) a new section, Section 2.25, will be added immediately
following Section 2.24 which shall read as follows:
"Section 2.25. Privacy Laws. The Servicer shall comply with all
provisions of the Privacy Laws relating to the Mortgage Loans, the related
borrowers and any "nonpublic personal information" (as defined in the Privacy
Laws) received by the Servicer incidental to the performance of its
obligations under this Agreement, including, maintaining adequate information
security procedures to protect such nonpublic personal information and
providing all privacy notices required by the Privacy Laws."
(i) a new section, Section 2.26, will be added immediately
following Section 2.25 which shall read as follows:
"Section 2.26. Prepayment Premiums. With respect to any Group III
Mortgage Loan that contains a provision permitting imposition of a Prepayment
Premium prior to maturity, the Servicer shall waive such Prepayment Premium if
such Mortgage Loan is accelerated or paid-off in connection with the workout
of a delinquent Mortgage Loan or due to the related Mortgagor's default,
notwithstanding that the terms of such Mortgage Loan or federal or state law
might permit the imposition of such Prepayment Premium."
(j) the third paragraph of Section 3.01 shall be deleted and
replaced as follows:
"With respect to any remittance received by the Owner after the
Business Day on which such payment was due, the Servicer shall pay to the
Owner interest on any such late payment at an annual rate equal to the Prime
Rate, adjusted as of the date of each change, plus three percentage points,
but in no event greater than the maximum amount permitted by applicable law.
Such interest shall be deposited in the Custodial Account by the Servicer on
the date such late payment is made and shall cover the period commencing with
the day the payment was due and ending with the Business Day on which such
payment is made, both inclusive. Such interest shall be remitted along with
the distribution payable on the next succeeding Remittance Date. The payment
by the Servicer of any such interest shall not be deemed an extension of time
for payment or a waiver of any Event of Default by the Servicer."
(k) Section 3.04 will be amended by adding a new paragraph as
follows:
"In the event that the Servicer determines that any such advances
are Non-Recoverable Advances, the Servicer shall provide the Owner with a
certificate signed by an officer of the Servicer evidencing such
determination. Notwithstanding the foregoing, the Servicer shall not be
permitted to make any advances from amounts held for future distribution, and
instead shall be required to make all advances from its own funds, unless the
Servicer, its
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parent, or their respective successors hereunder shall have a long term credit
rating of at least "A" by Fitch, Inc., or the equivalent rating of another
Rating Agency."
(l) a new section, Section 11.17, will be added immediately
following Section 11.16 which shall read as follows:
"Section 11.17 Third-Party Beneficiary. Xxxxx Fargo Bank, National
Association, as master servicer under the Master Servicing and Trust
Agreement, dated as of May 1, 2007, among GS Mortgage Securities Corp., as
depositor, U.S. Bank National Association, as a custodian, Deutsche Bank
National Trust Company, as trustee and as a custodian, The Bank of New York
Trust Company, National Association, as a custodian and Xxxxx Fargo Bank,
National Association, as master servicer, securities administrator and as a
custodian shall be considered a third-party beneficiary to this Agreement
entitled to all of the rights and benefits accruing to it as if it were a
direct party to this Agreement."
4. Representations and Warranties of the Company.
The Company warrants and represents to and covenants with, the
Assignor, the Assignee and the Trust as of the date hereof that:
(a) The Company is duly organized, validly existing and in good
standing under the laws of the jurisdiction of its formation;
(b) The Company has full power and authority to execute, deliver
and perform its obligations under this Agreement and has full power and
authority to perform its obligations under the Servicing Agreement. The
execution by the Company of this Agreement is in the ordinary course of
the Company's business and will not conflict with, or result in a breach
of, any of the terms, conditions or provisions of the Company's charter
or bylaws or any legal restriction, or any material agreement or
instrument to which the Company is now a party or by which it is bound,
or result in the violation of any law, rule, regulation, order, judgment
or decree to which the Company or its property is subject. The
execution, delivery and performance by the Company of this Agreement
have been duly authorized by all necessary corporate action on part of
the Company. This Agreement has been duly executed and delivered by the
Company, and, upon the due authorization, execution and delivery by the
Assignor and the Assignee, will constitute the valid and legally binding
obligation of the Company, enforceable against the Company in accordance
with its terms except as enforceability may be limited by bankruptcy,
reorganization, insolvency, moratorium or other similar laws now or
hereafter in effect relating to creditors' rights generally, and by
general principles of equity regardless of whether enforceability is
considered in a proceeding in equity or at law;
(c) No consent, approval, order or authorization of, or
declaration, filing or registration with, any governmental entity is
required to be obtained or made by the Company in connection with the
execution, delivery or performance by the Company of this Agreement or
the consummation by it of the transaction contemplated hereby;
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(d) The Company shall establish a Custodial Account and an Escrow
Account under the Servicing Agreement in favor of the Trust with respect
to the Mortgage Loans separate from the Custodial Account and Escrow
Account previously established under the Servicing Agreement in favor of
the Assignor;
(e) There is no action, suit, proceeding or investigation pending
or threatened against the Company, before any court, administrative
agency or other tribunal, which would draw into question the validity of
this Agreement or the Servicing Agreement, or which, either in any one
instance or in the aggregate, is likely to result in any material
adverse change in the ability of the Company to perform its obligations
under this Agreement or the Servicing Agreement, and the Company is
solvent;
(f) To the extent the Mortgage Loans have been transferred to the
Company as of the date hereof, the Company has serviced the Mortgage
Loans in accordance with the Servicing Agreement and has provided
accurate "paid through" data (assuming the correctness of all "paid
through" data provided by the Assignor to the Company at the time the
Company began servicing the Mortgage Loans) with respect to the Mortgage
Loans to the Assignor;
(g) To the extent the Mortgage Loans have been transferred to the
Company as of the date hereof, except as reflected in the "paid through"
data delivered to the Assignor (assuming the correctness of all "paid
through" data provided by the Assignor to the Company at the time the
Company began servicing the Mortgage Loans), there is no payment default
existing under any Mortgage or any Mortgage Note as of the
Securitization Closing Date; and
(h) To the extent the Mortgage Loans have been transferred to the
Company as of the date hereof, to the Company's knowledge, there is no
non-payment default existing under any Mortgage or Mortgage Note, or any
event which, with the passage of time or with notice and the termination
of any grace or cure period, would constitute a non-payment default,
breach, violation or event which would permit acceleration as of the
Securitization Closing Date.
Pursuant to Section 9.01 of the Servicing Agreement, the Company
hereby represents and warrants, for the benefit of the Assignor, the Assignee
and the Trust, that the representations and warranties set forth in Article IX
of the Servicing Agreement are true and correct as of the date hereof as if
such representations and warranties were made on the date hereof.
5. Representations and Warranties of the Assignor.
The Assignor warrants and represents to the Assignee and the Trust
as of date hereof that:
(a) Prior Assignments; Pledges. Except for the sale to the
Assignee, the Assignor has not assigned or pledged any Mortgage Note or
the related Mortgage or any interest or participation therein;
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(b) Releases. The Assignor has not satisfied, canceled or
subordinated in whole or in part, or rescinded any Mortgage, and the
Assignor has not released the related Mortgaged Property from the lien
of any Mortgage, in whole or in part, nor has the Assignor executed an
instrument that would effect any such release, cancellation,
subordination, or rescission. The Assignor has not released any
Mortgagor, in whole or in part, except in connection with an assumption
agreement or other agreement approved by the related federal insurer, to
the extent such approval was required;
(c) No Waiver. The Assignor has not waived the performance by any
Mortgagor of any action, if such Mortgagor's failure to perform such
action would cause the Mortgage Loan to be in default, nor has the
Company waived any default resulting from any action or inaction by such
Mortgagor;
(d) Compliance with Applicable Laws. With respect to each Mortgage
Loan, any and all requirements of any federal, state or local law
including, without limitation, usury, truth-in-lending, real estate
settlement procedures, consumer credit protection, equal credit
opportunity, predatory and abusive lending or disclosure laws applicable
to such Mortgage Loan, including without limitation, any provisions
relating to prepayment charges, have been complied with;
(e) High Cost. With respect to the Mortgage Loans, no Mortgage
Loan is categorized as "High Cost" pursuant to the then-current Standard
& Poor's Glossary for File Format for LEVELS(R) Version 5.7, Appendix E,
as revised from time to time and in effect as of the Original Purchase
Date. Furthermore, none of the Mortgage Loans sold by the Seller are
classified as (a) a "high cost mortgage" loan under the Home Ownership
and Equity Protection Act of 1994 or (b) a "high cost home," "covered,"
"high-cost," "high-risk home," or "predatory" loan under any other
applicable state, federal or local law;
(f) Georgia Fair Lending Act. No Mortgage Loan is secured by a
property in the state of Georgia and originated between October 1, 2002
and March 7, 2003;
(g) Qualified Mortgage Loan. Each Mortgage Loan is a "qualified
mortgage" under Section 860G(a)(3) of the Internal Revenue Code of 1986,
as amended; and
(h) Credit Reporting. The Assignor will cause to be fully
furnished, in accordance with the Fair Credit Reporting Act and its
implementing regulations, accurate and complete information (i.e.,
favorable and unfavorable) on Mortgagor credit files to Equifax, Experian
and Trans Union Credit Information Company (three of the credit
repositories), on a monthly basis; and
(i) Prepayment Premiums. To the Assignor's knowledge, with respect
to any Mortgage Loan that contains a provision permitting imposition of a
Prepayment Premium prior to maturity: (a) prior to the Mortgage Loan's
origination, the borrower agreed to such premium in exchange for a
monetary benefit, including but not limited to a rate or fee reduction;
(b) prior to the Mortgage Loan's origination, the borrower was offered
the option of obtaining a Mortgage Loan that did not require payment of
such a premium; (c) the prepayment premium is adequately
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disclosed to the borrower pursuant to applicable state and federal law; (d) no
Mortgage Loan originated on or after October 1, 2002 will impose a prepayment
premium for a term in excess of three (3) years and any Mortgage Loans
originated prior to such date will not impose Prepayment Premiums in excess of
five (5) years; in each case unless the Mortgage Loan was modified to reduce
the prepayment period to no more than three (3) years from the date of the
note and the borrower was notified in writing of such reduction in prepayment
period; and (e) notwithstanding any state or federal law to the contrary, the
Company shall not impose such Prepayment Premium in any instance when the
Mortgage Loan is accelerated or paid off in connection with the workout of a
delinquent mortgage or due to the borrower's default.
6. Remedies for Breach of Representations and Warranties of the
Assignor.
With respect to the Mortgage Loans, the Assignor hereby
acknowledges and agrees that in the event of any breach of the representations
and warranties made by the Assignor set forth in Section 5 hereof or in
Section 2 of the Representations and Warranties Agreement, dated as of May 30,
2007, between the Assignor and Assignee (the "Representations and Warranties
Agreement") that materially and adversely affects the value of the Mortgage
Loans or the interest of the Assignee or the Trust therein, within sixty (60)
days of the earlier of either discovery by or notice to the Assignor of such
breach of a representation or warranty, it shall cure, purchase, cause the
purchase of, or substitute for the applicable Mortgage Loan in the same manner
and subject to the conditions set forth in Section 3 of the Representations
and Warranties Agreement.
7. Miscellaneous.
(a) This Agreement shall be construed in accordance with the laws
of the State of New York, without regard to conflicts of law principles,
and the obligations, rights and remedies of the parties hereunder shall
be determined in accordance with such laws.
(b) No term or provision of this Agreement may be waived or
modified unless such waiver or modification is in writing and signed by
the party against whom such waiver or modification is sought to be
enforced, with the prior written consent of the Trustee.
(c) This Agreement shall inure to the benefit of (i) the successors
and assigns of the parties hereto and (ii) the Trust (including the
Trustee and the Master Servicer acting on the Trust's behalf). Any entity
into which the Assignor, Assignee or the Company may be merged or
consolidated shall, without the requirement for any further writing, be
deemed Assignor, Assignee or the Company, respectively, hereunder.
(d) Each of this Agreement and the Servicing Agreement shall
survive the conveyance of the Mortgage Loans to the Trust and the
assignment of the purchase agreements and the Servicing Agreement (to the
extent assigned hereunder) by the Assignor to the Assignee and by
Assignee to the Trust and nothing contained herein shall supersede or
amend the terms of the purchase agreements and the Servicing Agreement.
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(e) This Agreement may be executed simultaneously in any number of
counterparts. Each counterpart shall be deemed to be an original and all
such counterparts shall constitute one and the same instrument.
(f) In the event that any provision of this Agreement conflicts
with any provision of the purchase agreements or the Servicing Agreement
with respect to the Mortgage Loans, the terms of this Agreement shall
control.
(g) Capitalized terms used in this Agreement (including the
exhibits hereto) but not defined in this Agreement shall have the
meanings given to such terms in the purchase agreements or the Servicing
Agreement, as applicable.
8. Third Party Beneficiary.
The parties agree that the Trustee and Master Servicer are
intended to be, and shall have the rights of, a third party beneficiary of
this Assignment Agreement.
[SIGNATURE PAGE FOLLOWS]
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IN WITNESS WHEREOF, the parties have caused this Agreement to be
executed by their duly authorized officers as of the date first above written.
GS MORTGAGE SECURITIES CORP.
By: /s/ Xxxxxxxx Xxxx
--------------------------------------
Name: Xxxxxxxx Xxxx
Title: Vice President
XXXXXXX SACHS MORTGAGE COMPANY
By: XXXXXXX XXXXX REAL ESTATE FUNDING
CORP., its General Partner
By: /s/ Xxxxxxx Xxxxx
---------------------------------------
Name: Xxxxxxx Xxxxx
Title: Vice President
AVELO MORTGAGE, L.L.C., as Servicer
By: /s/ J. Xxxxxx Xxxxxxx
---------------------------------------
Name: J. Xxxxxx Xxxxxxx
Title: President
Avelo Step 1 AAR
EXHIBIT A
---------
Mortgage Loan Schedule
----------------------
[On File with the Securities Administrator as provided by the Depositor]
A-1
