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ASSIGNMENT AND ASSUMPTION AGREEMENT
ASSIGNMENT AND ASSUMPTION AGREEMENT, dated November 20, 2007,
between
Residential Funding Company, LLC, a Delaware corporation ("RFC")
and Residential
Funding Mortgage Securities I, Inc., a Delaware corporation (the
"Company").
Recitals
I. RFC has entered into contracts ("Seller Contracts") with
various
seller/servicers, pursuant to which such seller/servicers sell
to RFC mortgage
loans.
II. The Company wishes to purchase from RFC certain Mortgage
Loans (as
hereinafter defined) sold to RFC pursuant to the Seller
Contracts.
III. The Company, RFC, as master servicer and U.S. Bank
National
Association, as trustee (the "Trustee"), are entering into a
Series Supplement,
dated as of November 1, 2007 (the "Series Supplement"), to the
Standard Terms of
Pooling and Servicing Agreement, dated as of November 1, 2007
(together with the
Series Supplement, the "Pooling and Servicing Agreement"),
pursuant to which the
Company proposes to issue Mortgage Pass-Through Certificates,
Series 2007-S9
(the "Certificates") consisting of classes designated as the
Class I-A-1, Class
I-A-2, Class II-A-1, Class II-A-2, Class II-A-3, Class I-A-V,
Class II-A-V,
Class I-A-P, Class II-A-P, Class P, Class R-I and Class R-II
Certificates
(collectively, the "Senior Certificates"), Class M-1, Class M-2
and Class M-3
Certificates (collectively, the "Class M Certificates") and
Class B-1, Class B-2
and Class B-3 Certificates (collectively, the "Class B
Certificates"),
representing beneficial ownership interests in a trust fund
consisting primarily
of a pool of mortgage loans, which will be divided into two
groups, identified
in Exhibit One-I and Exhibit One-II to the Series Supplement
(the "Mortgage
Loans").
IV. In connection with the purchase of the Mortgage Loans, the
Company
will assign to RFC the Class I-A-P Certificates, Class II-A-P
Certificates,
Class I-A-V Certificates, Class II-A-V Certificates, Class P
Certificates, Class
M Certificates, Class B Certificates and a de minimis portion of
each of the
Class R-I and Class R-II Certificates (collectively, the
"Retained
Certificates").
V. In connection with the purchase of the Mortgage Loans and the
issuance
of the Certificates, RFC wishes to make certain representations
and warranties
to the Company and to assign certain of its rights under the
Seller Contracts to
the Company, and the Company wishes to assume certain of RFC's
obligations under
the Seller Contracts.
VI. The Company and RFC intend that the conveyance by RFC to the
Company
of all its right, title and interest in and to the Mortgage
Loans pursuant to
this Agreement shall constitute a purchase and sale and not a
loan.
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NOW THEREFORE, in consideration of the recitals and the mutual
promises
herein and other good and valuable consideration, the parties
agree as follows:
Section 1. All capitalized terms used but not defined herein
shall have the
meanings assigned thereto in the Pooling and Servicing
Agreement.
Section 2. Concurrently with the execution and delivery hereof,
RFC hereby
assigns to the Company without recourse all of its right, title
and interest in
and to the Mortgage Loans, including all interest and principal,
and with
respect to any Sharia Mortgage Loans, all amounts in respect of
profit payments
and acquisition payments, received on or with respect to the
Mortgage Loans
after November 1, 2007 (other than payments of principal and
interest, and with
respect to any Sharia Mortgage Loans, all amounts in respect of
profit payments
and acquisition payments, due on the Mortgage Loans in November
2007). In
consideration of such assignment, RFC or its designee will
receive from the
Company in immediately available funds an amount equal to
$164,514,002.57 plus
the Retained Certificates. In connection with such assignment
and at the
Company's direction, RFC has in respect of each Mortgage Loan
endorsed the
related Mortgage Note (other than any Destroyed Mortgage Note)
to the order of
the Trustee and delivered an assignment of mortgage or security
instrument, as
applicable, in recordable form to the Trustee or its agent. A
"Destroyed
Mortgage Note" means a Mortgage Note the original of which was
permanently lost
or destroyed.
Section 3. RFC and the Company agree that the sale of each
Pledged Asset Loan
pursuant to this Agreement will also constitute the assignment,
sale,
setting-over, transfer and conveyance to the Company, without
recourse (but
subject to RFC's covenants, representations and warranties
specifically provided
herein), of all of RFC's obligations and all of RFC's right,
title and interest
in, to and under, whether now existing or hereafter acquired as
owner of such
Pledged Asset Loan with respect to any and all money,
securities, security
entitlements, accounts, general intangibles, payment
intangibles, instruments,
documents, deposit accounts, certificates of deposit,
commodities contracts, and
other investment property and other property of whatever kind or
description
consisting of, arising from or related to, (i) the Credit
Support Pledge
Agreement, the Funding and Pledge Agreement among the Mortgagor
or other Person
pledging the related Pledged Assets (the "Customer"), Combined
Collateral LLC
and National Financial Services Corporation, and the Additional
Collateral
Agreement between GMAC Mortgage, LLC and the Customer
(collectively, the
"Assigned Contracts"), (ii) all rights, powers and remedies of
RFC as owner of
such Pledged Asset Loan under or in connection with the Assigned
Contracts,
whether arising under the terms of such Assigned Contracts, by
statute, at law
or in equity, or otherwise arising out of any default by the
Mortgagor under or
in connection with the Assigned Contracts, including all rights
to exercise any
election or option or to make any decision or determination or
to give or
receive any notice, consent, approval or waiver thereunder,
(iii) the Pledged
Amounts and all money, securities, security entitlements,
accounts, general
intangibles, payment intangibles, instruments, documents,
deposit accounts,
certificates of deposit, commodities contracts, and other
investment property
and other property of whatever kind or description and, all cash
and non-cash
proceeds of the sale, exchange, or redemption of, and all stock
or conversion
rights, rights to subscribe, liquidation dividends or
preferences, stock
dividends, rights to interest, dividends, earnings, income,
rents, issues,
profits, interest payments or other distributions of cash or
other property that
secures a Pledged Asset Loan, (iv) all documents, books and
records concerning
the foregoing (including all computer programs, tapes, disks and
related items
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containing any such information) and (v) all insurance proceeds
(including
proceeds from the Federal Deposit Insurance Corporation or the
Securities
Investor Protection Corporation or any other insurance company)
of any of the
foregoing or replacements thereof or substitutions therefor,
proceeds of
proceeds and the conversion, voluntary or involuntary, of any
thereof. The
foregoing transfer, sale, assignment and conveyance does not
constitute and is
not intended to result in the creation, or an assumption by the
Company, of any
obligation of RFC, or any other Person in connection with the
Pledged Assets or
under any agreement or instrument relating thereto, including
any obligation to
the Mortgagor, other than as owner of the Pledged Asset
Loan.
The Company and RFC intend that the conveyance by RFC to the
Company of
all its right, title and interest in and to the Mortgage Loans
pursuant to this
Section 2 shall be, and be construed as, a sale of the Mortgage
Loans by RFC to
the Company. It is, further, not intended that such conveyance
be deemed to be a
pledge of the Mortgage Loans by RFC to the Company to secure a
debt or other
obligation of RFC. However, in the event that the Mortgage Loans
are held to be
property of RFC, or if for any reason this Agreement is held or
deemed to create
a security interest in the Mortgage Loans, then it is intended
that (a) this
Agreement shall be a security agreement within the meaning of
Articles 8 and 9
of the Minnesota Uniform Commercial Code and the Uniform
Commercial Code of any
other applicable jurisdiction; (b) the conveyance provided for
in this Section
shall be deemed to be, and hereby is, a grant by RFC to the
Company of a
security interest in all of RFC's right, title and interest,
whether now owned
or hereafter acquired, in and to any and all general
intangibles, payment
intangibles, accounts, chattel paper, instruments, documents,
money, deposit
accounts, certificates of deposit, goods, letters of credit,
advices of credit
and investment property consisting of, arising from or relating
to any of the
following: (A) the Mortgage Loans, including (i) with respect to
any Cooperative
Loan, the related Mortgage Note, Security Agreement, Assignment
of Proprietary
Lease, Cooperative Stock Certificate, Cooperative Lease, any
insurance policies
and all other documents in the related Mortgage File (ii) with
respect to any
Sharia Mortgage Loan, the related Sharia Mortgage Loan Security
Instrument,
Sharia Mortgage Loan Co-Ownership Agreement, Obligation to Pay,
Assignment
Agreement and Amendment of Security Instrument, any insurance
policies and all
other documents in the related Mortgage File and (iii) with
respect to each
Mortgage Loan other than a Cooperative Loan or Sharia Mortgage
Loan, the related
Mortgage Note, the Mortgage, any insurance policies and all
other documents in
the related Mortgage File, (B) all monies due or to become due
pursuant to the
Mortgage Loans in accordance with the terms thereof and (C) all
proceeds of the
conversion, voluntary or involuntary, of the foregoing into
cash, instruments,
securities or other property, including without limitation all
amounts from time
to time held or invested in the Certificate Account or the
Custodial Account,
whether in the form of cash, instruments, securities or other
property; (c) the
possession by the Trustee, the Custodian or any other agent of
the Trustee of
Mortgage Notes or such other items of property as constitute
instruments, money,
payment intangibles, negotiable documents, goods, deposit
accounts, letters of
credit, advices of credit investment property or chattel paper
shall be deemed
to be possession by the secured party, or possession by a
purchaser or a person
designated by such secured party, for purposes of perfecting the
security
interest pursuant to the Minnesota Uniform Commercial Code and
the Uniform
Commercial Code of any other applicable jurisdiction (including,
without
limitation, Sections 8-106, 9-313 and 9-106 thereof); and (d)
notifications to
persons holding such property, and acknowledgments, receipts or
confirmations
from persons holding such property, shall be deemed
notifications to, or
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acknowledgments receipts or confirmations from, securities
intermediaries,
bailees or agents of, or persons holding for (as applicable) the
Trustee for the
purpose of perfecting such security interest under applicable
law. RFC shall, to
the extent consistent with this Agreement, take such reasonable
actions as may
be necessary to ensure that, if this Agreement were determined
to create a
security interest in the Mortgage Loans and the other property
described above,
such security interest would be determined to be a perfected
security interest
of first priority under applicable law and will be maintained as
such throughout
the term of this Agreement. Without limiting the generality of
the foregoing,
RFC shall prepare and deliver to the Company not less than 15
days prior to any
filing date, and the Company shall file, or shall cause to be
filed, at the
expense of RFC, all filings necessary to maintain the
effectiveness of any
original filings necessary under the Uniform Commercial Code as
in effect in any
jurisdiction to perfect the Company's security interest in or
lien on the
Mortgage Loans, including without limitation (x) continuation
statements, and
(y) such other statements as may be occasioned by (1) any change
of name of RFC
or the Company, (2) any change of location of the place of
business or the chief
executive office of RFC or, (3) any transfer of any interest of
RFC in any
Mortgage Loan.
Notwithstanding the foregoing, (i) the Master Servicer shall
retain all
servicing rights (including, without limitation, primary
servicing and master
servicing) relating to or arising out of the Mortgage Loans, and
all rights to
receive servicing fees, servicing income and other payments made
as compensation
for such servicing granted to it under the Pooling and Servicing
Agreement
pursuant to the terms and conditions set forth therein
(collectively, the
"Servicing Rights") and (ii) the Servicing Rights are not
included in the
collateral in which RFC grants a security interest pursuant to
the immediately
preceding paragraph.
Section 4. Concurrently with the execution and delivery hereof,
the Company
hereby assigns to RFC without recourse all of its right, title
and interest in
and to the Retained Certificates as part of the consideration
payable to RFC by
the Company pursuant to this Agreement.
Section 5. RFC represents and warrants to the Company that on
the date of
execution hereof (or, if otherwise specified below, as of the
date so
specified):
(i) The information set forth in Exhibit One-I and Exhibit
One-II to the
Series Supplement with respect to each Mortgage Loan or the
Mortgage Loans, as
the case may be, is true and correct, in all material respects,
at the date or
dates respecting which such information is furnished;
(ii) To the best of the Company's knowledge, each Group I Loan
with a
Loan-to-Value Ratio at origination in excess of 80%, will be
insured by a
primary mortgage insurance policy (a "Primary Insurance Policy")
covering at
least 30% of the principal balance of the Group I Loan at
origination if the
Loan-to-Value Ratio is between 95.00% and 90.01%, at least 25%
of the balance of
the mortgage loan at origination if the Loan-to-Value Ratio is
between 90.00%
and 85.01%, and at least 12% of the balance of the mortgage loan
at origination
if the Loan-to-Value Ratio is between 85.00% and 80.01%. To the
best of the
Company's knowledge, each Group II Loan with a Loan-to-Value
Ratio at
origination in excess of 80% will be insured a primary mortgage
insurance policy
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(a "Primary Insurance Policy"), covering at least 25% of the
balance of the
mortgage loan at origination if the Loan-to-Value Ratio is
between 95.00% and
90.01%, at least 12% of the balance of the mortgage loan at
origination if the
Loan-to-Value Ratio is between 90.00% and 85.01% and at least 6%
of the balance
of the mortgage loan at origination if the Loan-to-Value Ratio
is between 85.00%
and 80.01%. To the best of the Company's knowledge, each such
Primary Insurance
Policy is in full force and effect and the Trustee is entitled
to the benefits
thereunder;
(iii) Each Primary Insurance Policy insures the named insured
and its
successors and assigns, and the issuer of the Primary Insurance
Policy is an
insurance company whose claims-paying ability is currently
acceptable to the
Rating Agencies;
(iv) Immediately prior to the assignment of the Mortgage Loans
to the
Company, RFC had good title to, and was the sole owner of, each
Mortgage Loan
free and clear of any pledge, lien, encumbrance or security
interest (other than
rights to servicing and related compensation and, with respect
to certain
Mortgage Loans, the monthly payment due on the first Due Date
following the
Cut-off Date), and no action has been taken or failed to be
taken by RFC that
would materially adversely affect the enforceability of any
Mortgage Loan or the
interests therein of any holder of the Certificates;
(v) No Group I Loan is 30 or more days delinquent in the payment
of
principal and interest as of the Cut-off Date and no Group I
Loan has been so
Delinquent more than once in the 12 month period prior to the
Cut-off Date. No
Group II Loan is currently 30 or more days delinquent in payment
of principal
and interest as of the Cut-off Date and no Group II has been so
Delinquent more
than once in the 12 month period prior to the Cut-off Date;
(vi) Subject to clause (v) above as respects delinquencies,
there is no
default, breach, violation or event of acceleration existing
under any Mortgage
Note or Mortgage and no event which, with notice and expiration
of any grace or
cure period, would constitute a default, breach, violation or
event of
acceleration, and no such default, breach, violation or event of
acceleration
has been waived by the Seller or by any other entity involved in
originating or
servicing a Mortgage Loan;
(vii) There is no delinquent tax or assessment lien against any
Mortgaged
Property;
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