AMENDMENT NO. 3 TO PURCHASE, WARRANTIES AND SERVICING AGREEMENT
AMENDMENT
NO. 3 TO PURCHASE, WARRANTIES
AND
SERVICING AGREEMENT
THIS
AMENDMENT NO. 3, effective as of August 8, 2005, amends the Purchase, Warranties
and Servicing Agreement among EMC Mortgage Corporation (the “Purchaser”), First
Tennessee Mortgage Services, Inc., as servicer (the “Servicer”) and First
Horizon Home Loan Corporation (the “Seller”, and together with the Servicer, the
“Company”), previously entered into as of September 1, 2003 (the “Agreement”),
as previously amended.
RECITALS
WHEREAS,
the Seller sells to the Purchaser, and the Purchaser purchases from the Seller,
from time to time, pursuant to the Agreement, certain conventional residential
Mortgage Loans on a servicing retained basis serviced by the Servicer, including
second lien loans; and
WHEREAS,
in connection with future sales of Mortgage Loans to the Purchaser, the Company
and the Purchaser wish to amend the Agreement as set forth below.
NOW,
THEREFORE, in consideration of the premises and the mutual covenants hereinafter
set forth and for good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the Purchaser and the Company agree to amend
the Agreement as follows:
| 1. |
Section
2.09 shall be deleted in its entirety and replaced with the
following:
|
Section
2.09 Near-term
Principal Prepayments in Full; Near Term Payment Defaults
In
the
event any Principal Prepayment in full is made by a Mortgagor on or prior to
three months after the related Closing Date, the Company shall remit to the
Purchaser an amount equal to the excess, if any, of the Purchase Price
Percentage over par multiplied by the amount of such Principal Prepayment in
full, provided however, that the Company shall not be required to remit any
payments to the Purchaser pursuant to this paragraph unless the Purchaser has
notified the Company within one hundred eighty (180) days following Closing
Date. Such remittance shall be made by the Company to Purchaser not later than
five (5) Business Days after notice to the Company.
In
the
event either of the first three (3) scheduled Monthly Payments which are due
under any Mortgage Loan after the related Cut-off Date are not made during
the
month in which such Monthly Payments are due, then not later than five (5)
Business Days after notice to the Company by Purchaser (and at Purchaser’s sole
option), the Company, shall repurchase such Mortgage Loan from the Purchaser
pursuant to the repurchase provisions contained in this Subsection 3.03,
provided however, that the Company shall not be required to repurchase any
Mortgage Loan pursuant to this paragraph unless the Purchaser has notified
the
Company within one hundred eighty (180) days following Closing
Date.
| 2. |
Capitalized
terms used but not defined herein shall have the meanings ascribed
to them
in the Agreement.
|
| 3. |
All
other terms and conditions of the Agreement remain unchanged and
in full
force and effect.
|
IN
WITNESS WHEREOF, the parties hereto have caused this Amendment No. 3 to be
executed and delivered by their proper and duly authorized officers as of the
day and year first above written.
EMC
MORTGAGE CORPORATION
Purchaser
By:________________________
Name:
Title:
FIRST
HORIZON HOME LOAN
CORPORATION
Seller
By:
_______________________
Name:
Title:
FIRST
TENNESSEE MORTGAGE
SERVICES,
INC.
Servicer
By:
_______________________
Name:
Title:
