Exhibit 10.2
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WACHOVIA AUTO [LOAN] OWNER TRUST 200_-_,
as Issuer,
WACHOVIA BANK, NATIONAL ASSOCIATION
as Administrator,
WDS RECEIVABLES LLC,
as Depositor,
and
------------------------,
as Indenture Trustee
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ADMINISTRATION AGREEMENT
Dated as of _____________ __, 200_
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TABLE OF CONTENTS
Page
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Section 1.01. Capitalized Terms; Interpretive Provisions..........................................................2
Section 1.02. Duties of the Administrator.........................................................................2
Section 1.03. Records.............................................................................................7
Section 1.04. Compensation........................................................................................8
Section 1.05. Additional Information to be Furnished to the Issuer................................................8
Section 1.06. Independence of the Administrator...................................................................8
Section 1.07. No Joint Venture....................................................................................8
Section 1.08. Other Activities of Administrator...................................................................8
Section 1.09. Term of Agreement; Resignation and Removal of Administrator.........................................8
Section 1.10. Action Upon Termination, Resignation or Removal.....................................................9
Section 1.11. Notices............................................................................................10
Section 1.12. Amendments.........................................................................................10
Section 1.13. Successors and Assigns.............................................................................10
Section 1.14. Governing Law......................................................................................11
Section 1.15. Headings...........................................................................................11
Section 1.16. Counterparts.......................................................................................11
Section 1.17. Severability.......................................................................................11
Section 1.18. Limitation of Liability of Owner Trustee and Indenture Trustee.....................................11
Section 1.19. Third-Party Beneficiary............................................................................12
Section 1.20. Successor Master Servicer and Administrator........................................................12
Section 1.21. Nonpetition Covenants..............................................................................12
EXHIBITS
Exhibit A - Form of Power of Attorney...........................................................................A-1
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ADMINISTRATION AGREEMENT
This Administration Agreement, dated as of __________ __, 200_ (the
"Agreement"), is among Wachovia Auto [Loan] Owner Trust 200_-_, as issuer (the
"Issuer"), Wachovia Bank, National Association ("Wachovia Bank"), as
administrator (the "Administrator"), WDS Receivables LLC ("WDS Receivables"),
as depositor (the "Depositor"), and _____________, not in its individual
capacity but solely as trustee (the "Indenture Trustee").
WHEREAS, the Issuer was created pursuant to the trust agreement,
dated as of _________ __, 200_, as amended and restated as of ___________ __,
200_ (the "Trust Agreement"), each between the Depositor and ________________,
as trustee (in such capacity and not in its individual capacity, the "Owner
Trustee");
WHEREAS, the Issuer is issuing ____% Class A-1 Asset Backed Notes,
____% Class A-2 Asset Backed Notes, ____% Class A-3 Asset Backed Notes, ____%
Class A-4 Asset Backed Notes, ____% Class B Asset Backed Notes, ____% Class C
Asset Backed Notes and ____% Class D Asset Backed Notes (collectively, the
"Notes") pursuant to an indenture, dated as of the date hereof (the
"Indenture"), between the Issuer and the Indenture Trustee;
WHEREAS, the Issuer has entered into certain agreements in connection
with the issuance of the Notes and of certain beneficial ownership interests
in the Issuer, including (i) the Indenture, (ii) a sale and servicing
agreement, dated as of the date hereof (the "Sale and Servicing Agreement"),
among the Issuer, the Depositor, WFS Financial Inc, as seller (the "Seller")
and Wachovia Bank, as master servicer (in such capacity, the "Master
Servicer"), (iii) a receivables purchase agreement, dated as of the date
hereof (the "Receivables Purchase Agreement"), between the Seller and the
Depositor and (iv) a control agreement, dated as of the date hereof (the
"Control Agreement" and, together with this Agreement, the Indenture, the Sale
and Servicing Agreement, the Trust Agreement and the Receivables Purchase
Agreement, the "Basic Documents"), among the Issuer, the Master Servicer,
Wachovia Bank, as the account bank, and the Indenture Trustee;
WHEREAS, pursuant to the Basic Documents, the Issuer and the Owner
Trustee are required to perform certain duties in connection with the (i)
Notes and the collateral therefor pledged pursuant to the Indenture (the
"Collateral") and (ii) beneficial ownership interests in the Issuer;
WHEREAS, the Issuer and the Owner Trustee desire to have the
Administrator perform certain of the duties of the Issuer and the Owner
Trustee referred to in the preceding clause and to provide such additional
services consistent with the terms of this Agreement and the other Basic
Documents as the Issuer and the Owner Trustee may from time to time request;
and
WHEREAS, the Administrator has the capacity to provide the services
required hereby and is willing to perform such services for the Issuer and the
Owner Trustee on the terms set forth herein.
NOW, THEREFORE, in consideration of the premises and mutual covenants
herein contained, and of other good and valuable consideration, the receipt
and adequacy of which are hereby acknowledged, the parties hereto agree as
follows:
Section 1.01. Capitalized Terms; Interpretive Provisions.
(a) Capitalized terms used herein that are not otherwise defined
shall have the meanings ascribed thereto or incorporated by reference in the
Trust Agreement, the Sale and Servicing Agreement or the Indenture, as the
case may be. Whenever used herein, unless the context otherwise requires, the
following words and phrases shall have the following meanings:
"Agreement" means this Administration Agreement.
"Basic Documents" has the meaning set forth in the recitals.
"Commission" means the U.S. Securities and Exchange Commission.
"Exchange Act" means the Securities Exchange Act of 1934.
"Securities Act" means the Securities Act of 1933.
(b) With respect to all terms in this Agreement, unless the context
otherwise requires: (i) a term has the meaning assigned to it; (ii) an
accounting term not otherwise defined has the meaning assigned to it in
accordance with generally accepted accounting principles as in effect from
time to time in the United States; (iii) "or" is not exclusive; (iv)
"including" means including without limitation; (v) words in the singular
include the plural and words in the plural include the singular; (vi) 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;
(vii) references to a Person are also to its successors and permitted assigns;
(viii) the words "hereof", "herein" and "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; (ix) Section,
subsection and Exhibit references in this Agreement are references to
Sections, subsections and Exhibits in or to this Agreement unless otherwise
specified; (x) references to "writing" include printing, typing, lithography
and other means of reproducing words in a visible form; and (xi) the term
"proceeds" has the meaning set forth in the applicable UCC.
Section 1.02. Duties of the Administrator.
(a) The Administrator agrees to perform all its duties as
Administrator and, except as specifically excluded herein, agrees to perform
all the duties of the Issuer and the Owner Trustee under the Basic Documents.
In addition, the Administrator shall consult with the Owner Trustee regarding
the duties of the Issuer or the Owner Trustee under the Basic Documents. The
Administrator shall monitor the performance of the Issuer and shall advise the
Owner Trustee when action is necessary to comply with the respective duties of
the Issuer and the Owner Trustee under the Basic Documents. The Administrator
shall prepare for execution by the Issuer, or shall cause the preparation by
other appropriate persons of, all such documents, reports, notices, filings,
instruments, certificates and opinions that it shall be the duty of the Issuer
or the Owner Trustee to prepare, file or deliver pursuant to the Basic
Documents. In furtherance of the foregoing, the Administrator shall take (or,
in the case of the immediately preceding sentence,
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cause to be taken) all appropriate action that the Issuer or the Owner Trustee
is required to take pursuant to the Indenture including, without limitation,
such of the foregoing as are required with respect to the following matters
under the Indenture (references are to Sections of the Indenture):
(i) the notification of Noteholders of the final principal payment
on the Notes (Section 2.08(e));
(ii) the preparation, obtaining or filing of the instruments,
opinions and certificates and other documents required for the release of
Collateral (Section 2.13);
(iii) the duty to cause newly appointed Paying Agents, if any, to
deliver to the Indenture Trustee the instrument specified in the
Indenture regarding funds held in trust (Section 3.03);
(iv) the direction to the Indenture Trustee to deposit monies with
Paying Agents, if any, other than the Indenture Trustee (Section 3.03);
(v) the obtaining and preservation of the Issuer's qualifications to
do business in each jurisdiction where such qualification is or shall be
necessary to protect the validity and enforceability of the Indenture,
the Notes, the Collateral and each other instrument or agreement included
in the Trust Estate, including all licenses required under the (A)
Maryland Vehicle Sales Finance Act and (B) Pennsylvania Motor Vehicle
Sales Finance Act (Section 3.04);
(vi) the preparation of all supplements and amendments to the
Indenture and all financing statements, continuation statements,
instruments of further assurance and other instruments and the taking of
such other action as are necessary or advisable to protect the Trust
Estate (Section 3.05);
(vii) the delivery of the Opinion of Counsel on the Closing Date and
the annual delivery of Opinions of Counsel as to the Trust Estate, and
the annual delivery of the Officer's Certificate and certain other
statements as to compliance with the Indenture (Sections 3.06 and 3.09);
(viii) the identification to the Indenture Trustee in an Officer's
Certificate of a Person with whom the Issuer has contracted to perform
its duties under the Indenture (Section 3.07(b));
(ix) the preparation and delivery of written notice to the Indenture
Trustee and the Rating Agencies of each Servicer Termination Event and,
if such Servicer Termination Event arises from the failure of the Master
Servicer to perform any of its duties or obligations under the Sale and
Servicing Agreement with respect to the Receivables, the taking of all
reasonable steps available to remedy such failure (Section 3.07(d));
(x) the preparation and obtaining of documents and instruments
required for the conveyance or transfer by the Issuer of its properties
or assets (Section 3.10(b));
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(xi) the duty to cause the Master Servicer to comply with the Sale
and Servicing Agreement (Section 3.14);
(xii) the delivery of written notice to the Indenture Trustee and
each Rating Agency of each Event of Default under the Indenture and each
default by the Master Servicer, the Seller or the Depositor under the
Sale and Servicing Agreement or by the Seller or the Depositor under the
Receivables Purchase Agreement (Section 3.19);
(xiii) the monitoring of the Issuer's obligations as to the
satisfaction and discharge of the Indenture and the preparation of an
Officer's Certificate and the obtaining of the Opinion of Counsel and the
Independent Certificate relating thereto (Section 4.01);
(xiv) the compliance with Section 5.04 of the Indenture with respect
to the sale of the Trust Estate if an Event of Default shall have
occurred and be continuing (Section 5.04);
(xv) the preparation and delivery of notice to Noteholders of the
removal of the Indenture Trustee and the appointment of a successor
Indenture Trustee (Section 6.08);
(xvi) the preparation of any written instruments required to confirm
more fully the authority of any co-trustee or separate trustee and any
written instruments necessary in connection with the resignation or
removal of the Indenture Trustee or any co-trustee or separate trustee
(Sections 6.08 and 6.10);
(xvii) the furnishing of the Indenture Trustee with the names and
addresses of Noteholders during any period when the Indenture Trustee is
not the Note Registrar (Section 7.01);
(xviii) the preparation and, after execution by the Issuer, the
filing with the Commission, any applicable state agencies and the
Indenture Trustee of documents required to be filed on a periodic basis
with, and summaries thereof as may be required by rules and regulations
prescribed by, the Commission and any applicable state agencies and the
transmission of such summaries, as necessary, to the Noteholders (Section
7.03);
(xix) the opening of one or more accounts in the Indenture Trustee's
name, established with Wachovia Bank and the taking of all other actions
necessary with respect to investment and reinvestment of funds in such
accounts (Sections 8.02 and 8.03);
(xx) the preparation of an Issuer Request and Officer's Certificate
and the obtaining of an Opinion of Counsel and Independent Certificates,
if necessary, for the release of the Trust Estate (Sections 8.04 and
8.05);
(xxi) the preparation of Issuer Requests, the obtaining of Opinions
of Counsel and the certification to the Indenture Trustee with respect to
the execution of supplemental indentures and the mailing to the
Noteholders and the Rating Agencies,
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as applicable, of notices with respect to such supplemental indentures
(Sections 9.01 and 9.02);
(xxii) the preparation and delivery of all Officer's Certificates,
Opinions of Counsel and Independent Certificates with respect to any
requests by the Issuer to the Indenture Trustee to take any action under
the Indenture (Section 11.01(a));
(xxiii) the preparation and delivery of Officer's Certificates and
the obtaining of Opinions of Counsel and Independent Certificates, if
necessary, for the release of property from the Lien of the Indenture
(Section 11.01(b));
(xxiv) the preparation and delivery of written notice to the Rating
Agencies, upon the failure of the Issuer, the Depositor or the Indenture
Trustee to give such notification, of the information required pursuant
to the Indenture (Section 11.04); and
(xxv) the recording of the Indenture, if applicable (Section 11.15).
(b) The Administrator shall:
(i) pay the Indenture Trustee from time to time such compensation
and fees for all services rendered by the Indenture Trustee under the
Indenture as have been agreed to in a separate fee schedule between the
Administrator and the Indenture Trustee (which compensation shall not be
limited by any provision of law in regard to the compensation of a
trustee of an express trust);
(ii) except as otherwise expressly provided in the Indenture,
reimburse the Indenture Trustee upon its request for all reasonable
expenses, disbursements and advances incurred or made by the Indenture
Trustee in accordance with any provision of the Basic Documents
(including the reasonable compensation, expenses and disbursements of its
agents and counsel), except any such expense, disbursement or advance as
may be attributable to its willful misconduct, negligence or bad faith;
(iii) except as otherwise expressly provided in the third sentence
of Section 7.01 of the Trust Agreement, reimburse the Owner Trustee upon
its request for all reasonable expenses, disbursements and advances
incurred or made by the Owner Trustee in accordance with any provision of
the Trust Agreement (including reasonable compensation, expenses and
disbursements of its agents and counsel), except any such expense,
disbursement or advance as may be attributable to its willful misconduct,
negligence or bad faith of the Owner Trustee;
(iv) indemnify the Owner Trustee and its agents, successors,
assigns, directors, officers and employees for, and hold them harmless
against, any loss, obligation, damage, tax, claim, suit, liability or
expense incurred without negligence, willful misconduct or bad faith on
their part, arising out of or in connection with the acceptance or
administration of the transactions contemplated by the Trust Agreement,
including the reasonable costs and expenses of defending themselves
against any claim or liability in connection with the exercise or
performance of any of their powers or duties under the Trust Agreement;
and
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(v) promptly appoint a successor Indenture Trustee pursuant to
Section 6.08 of the Indenture, upon the Indenture Trustee's resignation
or removal, or if the office of the Indenture Trustee becomes vacant for
any other reason.
(c) In addition to the duties set forth in Sections 1.02(a) and (b),
the Administrator shall perform such calculations and shall prepare or shall
cause the preparation by other appropriate Persons of, and shall execute on
behalf of the Issuer or the Owner Trustee, all such documents, notices,
reports, filings, instruments, certificates and opinions that the Issuer or
the Owner Trustee are required to prepare, file or deliver pursuant to the
Basic Documents, and at the request of the Owner Trustee shall take all
appropriate action that the Issuer or the Owner Trustee are required to take
pursuant to the Basic Documents. In furtherance thereof, the Owner Trustee
shall, on behalf of itself and of the Issuer, execute and deliver to the
Administrator and to each successor Administrator appointed pursuant to the
terms hereof, one or more powers of attorney substantially in the form of
Exhibit A, appointing the Administrator the attorney-in-fact of the Owner
Trustee and the Issuer for the purpose of executing on behalf of the Owner
Trustee and the Issuer all such documents, reports, filings, instruments,
certificates and opinions. Subject to Section 1.06, and in accordance with the
directions of the Owner Trustee, the Administrator shall administer, perform
or supervise the performance of such other activities in connection with the
Collateral (including the Basic Documents) as are not covered by any of the
foregoing provisions and as are expressly requested by the Owner Trustee and
are reasonably within the capability of the Administrator.
(d) Notwithstanding anything in this Agreement or the Basic Documents
to the contrary, the Administrator shall be responsible for promptly notifying
the Owner Trustee in the event that any withholding tax is imposed on the
Issuer's payments (or allocations of income) to a Certificateholder as
contemplated in Section 5.02(c) of the Trust Agreement. Any such notice shall
specify the amount of any withholding tax required to be withheld by the Owner
Trustee pursuant to such provision.
(e) Notwithstanding anything in this Agreement or the Basic Documents
to the contrary, the Administrator shall be responsible for performance of the
duties of the Owner Trustee set forth in Section 5.05 of the Trust Agreement
with respect to, among other things, accounting and reports to
Certificateholders.
(f) To the extent that any tax withholding is required, the
Administrator shall deliver to the Owner Trustee and the Indenture Trustee, on
or before __________ __, 200_, a certificate of an Authorized Officer in form
and substance satisfactory to the Owner Trustee as to such tax withholding and
the procedures to be followed with respect thereto to comply with the
requirements of the Code. The Administrator shall update such certificate if
any additional tax withholding is subsequently required or any previously
required tax withholding shall no longer be required.
(g) The Administrator shall perform the duties of the Administrator
specified in Section 10.02 of the Trust Agreement required to be performed in
connection with the resignation or removal of the Owner Trustee, and any other
duties expressly required to be performed by the Administrator under the Trust
Agreement or any other Basic Document.
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(h) In carrying out the foregoing duties or any of its other
obligations under this Agreement, the Administrator may enter into
transactions or otherwise deal with any of its Affiliates; provided, however,
that the terms of any such transactions or dealings shall be in accordance
with any directions received from the Issuer and shall be, in the
Administrator's opinion, no less favorable to the Issuer than would be
available from unaffiliated parties.
(i) With respect to matters that in the reasonable judgment of the
Administrator are non-ministerial, the Administrator shall not take any action
unless within a reasonable time before the taking of such action, the
Administrator shall have notified the Owner Trustee of the proposed action and
the Owner Trustee shall not have withheld consent, which consent shall not be
unreasonably withheld or delayed, or provided an alternative direction. For
the purpose of the preceding sentence, "non-ministerial matters" shall
include:
(i) the amendment of or any supplement to the Indenture;
(ii) the initiation of any claim or lawsuit by the Issuer and the
compromise of any action, claim or lawsuit brought by or against the
Issuer (other than in connection with the collection of the Receivables);
(iii) the amendment, change or modification of the Basic Documents;
(iv) the appointment of successor Note Registrars, successor Paying
Agents and successor Indenture Trustees pursuant to the Indenture or the
appointment of successor Administrators or Successor Master Servicers, or
the consent to the assignment by the Note Registrar, any Paying Agent or
Indenture Trustee of its obligations under the Indenture; and
(v) the removal of the Indenture Trustee.
(j) Notwithstanding anything to the contrary in this Agreement, the
Administrator shall not be obligated to, and shall not, (i) make any payments
to the Noteholders under the Basic Documents, (ii) take any other action that
the Issuer directs the Administrator not to take on its behalf or (iii) take
any other action which may be construed as having the effect of varying the
investment of the Securityholders.
(k) The Administrator may enter into subservicing agreements with one
or more subservicers for the performance of all or part of the Administrator's
duties hereunder. References herein to actions taken or to be taken by the
Administrator include actions taken or to be taken by a subservicer on behalf
of the Administrator. Each subservicing agreement will be upon such terms and
conditions as are not inconsistent with this Agreement and as the
Administrator and the subservicer have agreed.
(l) If requested by the Depositor for purposes of compliance with its
reporting obligations under the Exchange Act, the Administrator will provide
to the Depositor and the Master Servicer on or before March 31 of each year
beginning March 31, 200__, the servicing criteria assessment required to be
filed in respect of the Issuer under the Exchange Act under Item 1122 of
Regulation AB if periodic reports under Section 15(d) of the Exchange Act, or
any successor provision thereto, are required to be filed in respect of the
Issuer and shall cause a firm
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of independent certified public accountants, who may also render other
services to the Administrator, the Master Servicer, the Seller or the
Depositor, to deliver to the Depositor and the Master Servicer the attestation
report that would be required to be filed in respect of the Issuer under the
Exchange Act if periodic reports under Section 15(d) of the Exchange Act, or
any successor provision thereto, were required to be filed in respect of the
Issuer. Such attestation shall be in accordance with Rules 1-02(a)(3) and
2-02(g) of Regulation S-X under the Securities Act and the Exchange Act,
including, without limitation that in the event that an overall opinion cannot
be expressed, such registered public accounting firm shall state in such
report why it was unable to express such an opinion.
The Administrator and the Depositor acknowledge and agree that the
purpose of this Section 1.02(l) is to facilitate compliance by the Depositor
with the provisions of Regulation AB and the related rules and regulations of
the Commission. The Depositor shall not exercise its right to request delivery
of information or other performance under these provisions other than in good
faith, or for purposes other than compliance with the Securities Act, the
Exchange Act and the rules and regulations of the Commission under the
Securities Act and the Exchange Act. The Administrator acknowledges that
interpretations of the requirements of Regulation AB may change over time,
whether due to interpretive guidance provided by the Commission or its staff,
consensus among participants in the asset-backed securities markets, advice of
counsel, or otherwise, and the Administrator agrees to comply with all
reasonable requests made by the Depositor in good faith for delivery of
information and shall deliver to the Depositor all information and
certifications reasonably required by the Depositor to comply with its
Exchange Act reporting obligations, including with respect to any of its
predecessors or successors. The obligations of the Administrator to provide
such information shall survive the removal or termination of the Administrator
as Administrator hereunder..
Section 1.03. Records. The Administrator shall maintain appropriate
books of account and records relating to services performed hereunder, which
books of account and records shall be accessible for inspection by the Issuer
and the Depositor at any time during normal business hours, upon reasonable
prior notice.
Section 1.04. Compensation. As compensation for the performance of
the Administrator's obligations under this Agreement and as reimbursement for
its expenses related thereto, the Administrator shall be entitled to a monthly
payment of compensation which shall be solely an obligation of the Master
Servicer.
Section 1.05. Additional Information to be Furnished to the Issuer.
The Administrator shall furnish to the Issuer from time to time such
additional information regarding the Collateral as the Issuer may reasonably
request.
Section 1.06. Independence of the Administrator. For all purposes of
this Agreement, the Administrator shall be an independent contractor and shall
not be subject to the supervision of the Issuer or the Owner Trustee with
respect to the manner in which it accomplishes the performance of its
obligations hereunder. Unless expressly authorized by the Issuer, the
Administrator shall have no authority to act for or represent the Issuer or
the Owner Trustee in any way and shall not otherwise be deemed an agent of the
Issuer or the Owner Trustee.
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Section 1.07. No Joint Venture. Nothing contained in this Agreement
shall (i) constitute the Administrator and either the Issuer or the Owner
Trustee as members of any partnership, joint venture, association, syndicate,
unincorporated business or other separate entity, (ii) be construed to impose
any liability as such on any of them or (iii) be deemed to confer on any of
them any express, implied or apparent authority to incur any obligation or
liability on behalf of the others.
Section 1.08. Other Activities of Administrator. Nothing herein shall
prevent the Administrator or its Affiliates from engaging in other businesses
or, in its sole discretion, from acting in a similar capacity as an
administrator for any other Person, even though such Person may engage in
business activities similar to those of the Issuer, the Owner Trustee or the
Indenture Trustee.
Section 1.09. Term of Agreement; Resignation and Removal of
Administrator. This Agreement shall continue in force until the dissolution of
the Issuer, upon which event this Agreement shall automatically terminate.
(a) Subject to Sections 1.09(d) and 1.09(e), the Administrator may
resign its duties hereunder by providing the Issuer with at least 60 days'
prior written notice.
(b) Subject to Sections 1.09(d) and 1.09(e), the Issuer may remove
the Administrator without cause by providing the Administrator with at least
60 days' prior written notice.
(c) Subject to Sections 1.09(d) and 1.09(e), at the sole option of
the Issuer, the Administrator may be removed immediately upon written notice
of termination from the Issuer to the Administrator if any of the following
events shall occur:
(i) the Administrator shall default in the performance of any
of its duties under this Agreement and, after notice of such
default, shall not cure such default within ten days (or, if such
default cannot be cured in such time, shall not give within ten days
such assurance of cure as shall be reasonably satisfactory to the
Issuer);
(ii) the existence of any proceeding or action, or the entry of
a decree or order for relief by a court or regulatory authority
having jurisdiction over the Administrator in an involuntary case
under the federal bankruptcy laws, as now or hereafter in effect, or
appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator or other similar official of the Administrator or of
any substantial part of its property, or ordering the winding up or
liquidation of the affairs of the Administrator and the continuance
of any such action, proceeding, decree or order unstayed and, in the
case of any such order or decree, in effect for a period of 60
consecutive days; or
(iii) the commencement by the Administrator of a voluntary case
under the federal bankruptcy laws, as now or hereafter in effect, or
the consent by the Administrator to the appointment of or taking of
possession by a receiver, liquidator, assignee, trustee, custodian,
sequestrator or other similar official of the Administrator or of
any substantial part of its property or the making by the
Administrator of an assignment for the benefit of creditors or the
failure by the Administrator generally to pay its debts as
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such debts become due or the taking of corporate action by the
Administrator in furtherance of any of the foregoing.
The Administrator agrees that if any of the events specified in
clauses (ii) or (iii) above shall occur, it shall give written notice thereof
to the Issuer and the Indenture Trustee within seven days after the occurrence
of such event.
(d) No resignation or removal of the Administrator pursuant to this
Section shall be effective until (i) a successor Administrator shall have been
appointed by the Issuer and (ii) such successor Administrator shall have
agreed in writing to be bound by the terms of this Agreement in the same
manner as the Administrator is bound hereunder.
(e) The appointment of any successor Administrator shall be effective
after satisfaction of the Rating Agency Condition with respect to the proposed
appointment.
(f) Subject to Sections 1.09(d) and 1.09(e), the Administrator
acknowledges that upon the appointment of a Successor Master Servicer pursuant
to the Sale and Servicing Agreement, the Administrator shall immediately
resign and such Successor Master Servicer shall automatically become the
Administrator under this Agreement.
Section 1.10. Action Upon Termination, Resignation or Removal.
Promptly upon the effective date of termination of this Agreement pursuant to
the first sentence of Section 1.09 or the resignation or removal of the
Administrator pursuant to Section 1.09(a), (b) or (c), respectively, the
Administrator shall be entitled to be paid all fees and reimbursable expenses
accruing to it to the date of such termination, resignation or removal. The
Administrator shall forthwith upon such termination pursuant to the first
sentence of Section 1.09 deliver to the Issuer all property and documents of
or relating to the Collateral then in the custody of the Administrator. In the
event of the resignation or removal of the Administrator pursuant to Section
1.09(a), (b) or (c), respectively, the Administrator shall cooperate with the
Issuer and take all reasonable steps requested to assist the Issuer in making
an orderly transfer of the duties of the Administrator.
Section 1.11. Notices. All demands, notices and communications
hereunder shall be in writing and shall be delivered or mailed by registered
or certified first-class United States mail, postage prepaid, hand delivery,
prepaid courier service, or by telecopier (followed by hard copy by overnight
delivery), and addressed in each case as follows: (i) if to the Issuer or the
Owner Trustee, to Wachovia Auto [Loan] Owner Trust 200_-_, c/o
___________________________, Attention: ___________________; (ii) if to the
Administrator, to Wachovia Bank, National Association, 000 X. Xxxxxxx Xxxxxx,
0xx Xxxxx, XX0000, Charlotte, North Carolina, 28288-5578, Attention: Treasury
ABS Department; (iii) if to the Depositor, to WDS Receivables LLC, 000 Xxxx
Xxxx Xxxxxxx Xxxx, Xxxxx 000, Xxx Xxxxx, Xxxxxx 00000; (iv) if to the
Indenture Trustee, to _______________________, Attention:
____________________; or (v) to such other address as any party shall have
provided to the other parties in writing. Any notice required to be in writing
hereunder shall be deemed given if such notice is mailed by certified mail,
postage prepaid, or hand-delivered to the address of such party as provided
above.
Section 1.12. Amendments. This Agreement may be amended from time to
time by a written amendment duly executed and delivered by the parties hereto,
with the written consent
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of the Owner Trustee but without the consent of the Noteholders or the
Certificateholders, for the purpose of adding any provisions to or changing in
any manner or eliminating any of the provisions of this Agreement or of
modifying in any manner the rights of the Noteholders or the
Certificateholders; provided, that such amendment will not, in the Opinion of
Counsel satisfactory to the Indenture Trustee, materially and adversely affect
the interest of any of the Noteholders or the Certificateholders. This
Agreement may also be amended by the parties hereto with the written consent of
the Noteholders evidencing at least 51% of the Note Balance of the Controlling
Class or, if the Notes have been paid in full, the Certificateholders
evidencing at least 51% of the aggregate Certificate Percentage Interest for
the purpose of adding any provisions to or changing in any manner or
eliminating any of the provisions of this Agreement or of modifying in any
manner the rights of the Noteholders or the Certificateholders; provided,
however, that no such amendment may (i) increase or reduce in any manner the
amount of, or accelerate or delay the timing of, collections of payments on the
Receivables or distributions that are required to be made for the benefit of
the Noteholders or the Certificateholders or (ii) reduce the percentage of the
Note Balance or of the Certificate Percentage Interest, the consent of the
Noteholders or the Certificateholders, respectively, of which is required for
this amendment, in each case without the consent of the Holders of all
outstanding Notes and Certificates adversely affected by the amendment.
An amendment to this Agreement shall be deemed not to materially
adversely affect the interests of any Noteholder or Certificateholder if the
Person requesting such amendment obtains and delivers to the Owner Trustee and
the Indenture Trustee an Opinion of Counsel to that effect or the Rating
Agency Condition is satisfied. Notwithstanding the foregoing, the
Administrator may not amend this Agreement without the consent of the
Depositor, which consent shall not be unreasonably withheld.
Section 1.13. Successors and Assigns. This Agreement may not be
assigned by the Administrator unless such assignment is previously consented
to in writing by the Issuer and the Owner Trustee, and subject to the
satisfaction of the Rating Agency Condition in respect thereof. An assignment
with such consent and satisfaction, if accepted by the assignee, shall bind
the assignee hereunder in the same manner as the Administrator is bound
hereunder. Notwithstanding the foregoing, this Agreement may be assigned by
the Administrator without the consent of the Issuer or the Owner Trustee to a
corporation or other organization that is a successor (by merger,
consolidation or purchase of assets) to the Administrator; provided, that such
successor organization executes and delivers to the Issuer, the Owner Trustee
and the Indenture Trustee an agreement, in form and substance reasonably
satisfactory to the Owner Trustee and the Indenture Trustee, in which such
corporation or other organization agrees to be bound hereunder by the terms of
said assignment in the same manner as the Administrator is bound hereunder.
Subject to the foregoing, this Agreement shall bind any successors or assigns
of the parties hereto.
Section 1.14. GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS
CONFLICT OF LAW PROVISIONS (OTHER THAN SECTION 5-1401 OF THE GENERAL
OBLIGATIONS LAW), AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES
HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.
11
Section 1.15. Headings. The Section headings and the Table of
Contents herein are for purposes of reference only and shall not otherwise
affect the meaning or interpretation of any provision hereof.
Section 1.16. Counterparts. This Agreement may be executed by the
parties hereto in separate counterparts, each of which when so executed and
delivered shall be an original, but all such counterparts shall together
constitute but one and the same instrument.
Section 1.17. Severability. If any one or more of the covenants,
agreements, provisions or terms of this Agreement shall be for any reason
whatsoever held invalid, then such covenants, agreements, provisions or terms
shall be deemed severable from the remaining covenants, agreements, provisions
and terms of this Agreement and shall in no way affect the validity or
enforceability of the other covenants, agreements, provisions and terms of
this Agreement.
Section 1.18. Limitation of Liability of Owner Trustee and Indenture
Trustee.
(a) Notwithstanding anything contained herein to the contrary, this
Agreement has been executed by __________________ solely in its capacity as
Owner Trustee of, and on behalf of, the Issuer and in no event shall the Owner
Trustee in its individual capacity or any beneficial owner of the Issuer have
any liability for the representations, warranties, covenants, agreements or
other obligations of the Issuer hereunder, as to all of which recourse shall
be had solely to the assets of the Issuer. For all purposes of this Agreement,
in the performance of any duties or obligations of the Issuer hereunder, the
Owner Trustee shall be subject to, and entitled to the benefits of, the terms
and provisions of Articles Six, Seven and Eight of the Trust Agreement.
(b) Notwithstanding anything contained herein to the contrary, this
Agreement has been executed by ___________________ solely in its capacity as
Indenture Trustee under the Indenture and in no event shall the Indenture
Trustee in its individual capacity have any liability for the representations,
warranties, covenants, agreements or other obligations of the Issuer hereunder
or in any of the certificates, notices or agreements delivered pursuant
hereto, as to all of which recourse shall be had solely to the assets of the
Issuer.
Section 1.19. Third-Party Beneficiary. The Owner Trustee is a
third-party beneficiary to this Agreement and is entitled to the rights and
benefits hereunder and may enforce the provisions hereof as if it were a party
hereto.
Section 1.20. Successor Master Servicer and Administrator. The
Administrator shall undertake, as promptly as possible after the giving of
notice of termination to the Master Servicer of the Master Servicer's rights
and powers pursuant to Section 7.02 of the Sale and Servicing Agreement, to
enforce the provisions of such Section 7.02 with respect to the appointment of
a successor Master Servicer. Such successor Master Servicer shall, upon
compliance with the second to last sentence of Section 7.02 of the Sale and
Servicing Agreement, become the successor Administrator hereunder; provided,
however, that if the Indenture Trustee shall become such successor
Administrator, the Indenture Trustee shall not be required to perform any
obligations or duties or conduct any activities as successor Administrator
that would be prohibited by law and not within the banking and trust powers of
the Indenture Trustee. In such event, the Indenture Trustee may appoint a
sub-administrator to perform such obligations and
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duties. Any transfer of servicing pursuant to Section 7.02 of the Sale and
Servicing Agreement and related succession as Administrator hereunder shall
not constitute an assumption by the related successor Administrator of any
liability of the related outgoing Administrator arising out of any breach by
such outgoing Administrator of such outgoing Administrator's duties hereunder
prior to such transfer.
Section 1.21. Nonpetition Covenants.
(a) Notwithstanding any prior termination of this Agreement, the
Depositor, the Administrator, the Owner Trustee and the Indenture Trustee
shall not at any time acquiesce, petition or otherwise invoke or cause the
Issuer to invoke the process of any court or government authority for the
purpose of commencing or sustaining a case against the Issuer under any
federal or state bankruptcy, insolvency or similar law or appointing a
receiver, liquidator, assignee, trustee, custodian, sequestrator or other
similar official of the Issuer or any substantial part of its property, or
ordering the winding up or liquidation of the affairs of the Issuer.
(b) Notwithstanding any prior termination of this Agreement, the
Issuer, the Administrator, the Owner Trustee and the Indenture Trustee shall
not at any time acquiesce, petition or otherwise invoke or cause the Depositor
to invoke the process of any court or government authority for the purpose of
commencing or sustaining a case against the Depositor under any federal or
state bankruptcy, insolvency or similar law or appointing a receiver,
liquidator, assignee, trustee, custodian, sequestrator or other similar
official of the Depositor or any substantial part of its property, or ordering
the winding up or liquidation of the Depositor.
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
be duly executed by their respective officers, thereunto duly authorized, as
of the day and year first above written.
WACHOVIA AUTO [LOAN] OWNER
TRUST 200_-_, as Issuer
By: ________________________________________,
not in its individual capacity but solely
as Owner Trustee
By:
------------------------------------------
Name:
Title:
WDS RECEIVABLES LLC,
as Depositor
By:
-----------------------------------------
Name:
Title:
------------------------------------,
not in its individual capacity but
solely as Indenture Trustee
By:
------------------------------------------
Name:
Title:
WACHOVIA BANK, NATIONAL
ASSOCIATION, as Administrator
By:
-------------------------------------------
Name:
Title:
Administration Agreement
EXHIBIT A
POWER OF ATTORNEY PURSUANT TO
SECTION 1.02(c) OF ADMINISTRATION AGREEMENT
KNOW ALL MEN BY THESE PRESENTS, that ____________________, a
_____________________, not in its individual capacity but solely as Owner
Trustee of Wachovia Auto [Loan] Owner Trust 200_-_, a Delaware statutory trust
(the "Issuer"), as grantor (in such capacity, the "Grantor"), does hereby
appoint Wachovia Bank, National Association, a national banking association
("Wachovia Bank"), as grantee (the "Grantee"), as its attorney-in-fact with
full power of substitution and hereby authorizes and empowers the Grantee, in
the name of and on behalf of the Grantor or the Issuer, to take the following
actions from time to time with respect to the duties of Wachovia Bank, as
administrator (in such capacity, the "Administrator") under the administration
agreement, dated as of ___________ __, 200_ (the "Administration Agreement"),
among the Issuer, the Administrator, WDS Receivables LLC ("WDS Receivables")
and ___________________, for the purpose of executing on behalf of the Grantor
or the Issuer all such documents, reports, filings, instruments, certificates
and opinions required pursuant to the Basic Documents.
The Grantee is hereby empowered to do any and all lawful acts
necessary or desirable to effect the performance of its duties as
Administrator under the Administration Agreement and the Grantor hereby
ratifies and confirms any and all lawful acts the Grantee shall undertake
pursuant to and in conformity with this Power of Attorney.
This Power of Attorney is revocable in whole or in part as to the
powers herein granted upon notice by the Grantor. If not earlier revoked, this
Power of Attorney shall expire completely or, if so indicated, in part, upon
the earlier of the (i) termination of the amended and restated trust
agreement, dated as of ______________ __, 200_ (the "Trust Agreement"),
between WDS Receivables, as depositor, and __________________, as owner
trustee, or (ii) termination of the Administration Agreement. Capitalized
terms used herein that are not otherwise defined shall have the meanings
ascribed thereto in the Trust Agreement or, if not defined therein, in the
Administration Agreement, as the case may be.
This Power of Attorney shall be created under and governed and
construed under the internal laws of the State of New York.
The Grantor executes this Power of Attorney with the intent to be
legally bound hereby, and with the intent that such execution shall have the
full dignity afforded by the accompanying witnessing and notarization and all
lesser dignity resulting from the absence of such witnessing and notarization
or any combination thereof.
A-1
Dated this ____ day of _____________ 200_.
[Seal] ________________________________________,
not in its individual capacity but solely as Owner
Trustee of Wachovia Auto Loan Owner
Trust 200_-_
By:
--------------------------------------------
Name:
Title:
Signed and delivered in the presence of:
-----------------------------------------
Address:
-----------------------------------------
-----------------------------------------
[Unofficial Witness]
A-2
