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Exhibit 10.2
KeyBank Mortgage Loan Purchase Agreement
See attached
<PAGE>
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CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
(Depositor)
and
KEYBANK NATIONAL ASSOCIATION
(Seller)
-----------------------
MORTGAGE LOAN PURCHASE AGREEMENT
Dated as of November 1, 2007
------------------------
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<PAGE>
TABLE OF CONTENTS
Section 1. Transactions on or Prior to the Closing
Date.....................
Section 2. Closing Date
Actions.............................................
Section 3. Conveyance of Mortgage
Loans.....................................
Section 4. Depositor's Conditions to
Closing................................
Section 5. Seller's Conditions to
Closing...................................
Section 6. Representations and Warranties of
Seller.........................
Section 7. Obligations of
Seller............................................
Section 8. Crossed Mortgage
Loans...........................................
Section 9. Rating Agency Fees; Costs and Expenses Associated
with a
Defeasance.......................................................
Section 10. Representations and Warranties of
Depositor......................
Section 11. Survival of Certain Representations, Warranties and
Covenants....
Section 12. Transaction
Expenses.............................................
Section 13. Recording
Costs..................................................
Section 14.
Notices..........................................................
Section 15. Notice of Exchange Act Reportable
Events.........................
Section 16. Examination of Mortgage
Files....................................
Section 17.
Successors.......................................................
Section 18. Governing
Law....................................................
Section 19.
Severability.....................................................
Section 20. Further
Assurances...............................................
Section 21.
Counterparts.....................................................
Section 22. Treatment as Security
Agreement..................................
Section 23. Recordation of
Agreement.........................................
Schedule I Schedule of Transaction Terms
Schedule II Mortgage Loan Schedule for KeyBank Trust Mortgage
Loans
Schedule III Mortgage Loans Constituting Mortgage Groups
Schedule IV Mortgage Loans with Lost Notes
Schedule V Exceptions with Respect to Seller's Representations
and Warranties
Exhibit A Representations and Warranties of Seller Regarding the
Mortgage
Loans
Exhibit B Form of Lost Note Affidavit
<PAGE>
MORTGAGE LOAN PURCHASE AGREEMENT
This Mortgage Loan Purchase Agreement (this "Agreement"), dated
as
of November 1, 2007, is made by and between KEYBANK NATIONAL
ASSOCIATION, a
national banking association ("Seller"), and CREDIT SUISSE FIRST
BOSTON MORTGAGE
SECURITIES CORP., a Delaware corporation ("Depositor").
RECITALS
I. Capitalized terms used herein without definition have the
meanings ascribed to them in the Schedule of Transaction Terms
attached hereto
as Schedule I, which is incorporated herein by this reference,
or, if not
defined therein or elsewhere in this Agreement, in the Pooling
and Servicing
Agreement.
II. On the Closing Date, and on the terms set forth herein,
Seller
has agreed to sell to Depositor and Depositor has agreed to
purchase from Seller
the mortgage loans identified on the schedule (the "Mortgage
Loan Schedule")
annexed hereto as Schedule II (each such mortgage loan, a
"Mortgage Loan" and,
collectively, the "Mortgage Loans"). Depositor intends to
deposit the Mortgage
Loans and other assets into a trust fund (the "Trust Fund")
created pursuant to
the Pooling and Servicing Agreement and to cause the issuance of
the
Certificates.
AGREEMENT
NOW, THEREFORE, on the terms and conditions set forth below and
for
good and valuable consideration, the receipt and adequacy of
which is hereby
acknowledged, Depositor and Seller agree as follows:
Section 1. Transactions on or Prior to the Closing Date. On or
prior
to the Closing Date, Seller shall have delivered the Mortgage
Files with respect
to each Mortgage Loan to Wells Fargo Bank, N.A., as trustee (the
"Trustee"),
against receipt by Seller of a trust receipt, pursuant to an
arrangement between
Seller and the Trustee; provided, however, that item (p) in the
definition of
Mortgage File (defined below) shall be delivered to the
applicable Master
Servicer for inclusion in the Servicer File (defined below) with
a copy
delivered to the Trustee for inclusion in the Mortgage File.
Section 2. Closing Date Actions. The sale of the Mortgage
Loans
shall take place on the Closing Date, subject to and
simultaneously with the
deposit of the Mortgage Loans into the Trust Fund, the issuance
of the
Certificates and the sale of (a) the Publicly Offered
Certificates by Depositor
to the Underwriters pursuant to the Underwriting Agreement and
(b) the Private
Certificates by Depositor to the Initial Purchaser pursuant to
the Certificate
Purchase Agreement. The closing (the "Closing") shall take place
at the offices
of Cadwalader, Wickersham & Taft LLP, One World Financial
Center, New York, New
York 10281, or such other location as agreed upon between the
parties hereto. On
the Closing Date, the following actions shall take place in
sequential order on
the terms set forth herein:
(i) Seller shall sell to Depositor, and Depositor shall
purchase
from Seller, the Mortgage Loans pursuant to this Agreement for
the
Mortgage Loan Purchase Price (as defined herein). The Mortgage
Loan
Purchase Price shall be paid by Depositor to Seller by wire
transfer in
immediately available funds to an account designated by Seller
on or prior
to the Closing Date (or, by such other method as shall be
mutually
acceptable to Depositor and Seller). The "Mortgage Loan Purchase
Price"
paid by Depositor shall be equal to the amount that the
Depositor and the
Seller have mutually agreed upon as the Seller's share of the
net
securitization proceeds from the sale of the Publicly Offered
Certificates
and the Private Certificates as set forth in the Closing
Statement (which
amount includes, without limitation, accrued interest).
(ii) Pursuant to the terms of the Pooling and Servicing
Agreement,
Depositor shall sell all of its right, title and interest in and
to the
Mortgage Loans to the Trustee for the benefit of the Holders of
the
Certificates.
(iii) Depositor shall sell to the Underwriters, and the
Underwriters
shall purchase from Depositor, the Publicly Offered Certificates
pursuant
to the Underwriting Agreement, and Depositor shall sell to the
Initial
Purchaser, and the Initial Purchaser shall purchase from
Depositor, the
Private Certificates pursuant to the Certificate Purchase
Agreement.
(iv) The Underwriters will offer the Publicly Offered
Certificates
for sale to the public pursuant to the Prospectus and the
Prospectus
Supplement and the Initial Purchaser will privately place
certain classes
of the Private Certificates pursuant to the Offering
Circular.
Section 3. Conveyance of Mortgage Loans. On the Closing Date,
Seller
shall sell, convey, assign and transfer, without recourse except
as provided
herein, to Depositor, free and clear of any liens, claims or
other encumbrances,
all of Seller's right, title and interest in, to and under: (i)
each of the
Mortgage Loans identified on the Mortgage Loan Schedule; and
(ii) all property
of Seller described in Section 22(b) of this Agreement,
including, without
limitation, (A) all scheduled payments of interest and principal
due on or with
respect to the Mortgage Loans after the Cut-off Date and (B) all
other payments
of interest, principal or yield maintenance charges received on
or with respect
to the Mortgage Loans after the Cut-off Date, other than any
such payments of
interest or principal or yield maintenance charges that were due
on or prior to
the Cut-off Date. The parties acknowledge that such assignment,
conveyance and
transfer of the Mortgage Loans shall not be construed to limit
any obligation of
Seller, any servicing rights of KeyCorp Real Estate Capital
Markets, Inc. under
that certain Servicing Rights Purchase Agreement, dated as of
November 1, 2007,
between Seller and KeyCorp Real Estate Capital Markets, Inc., or
any related
servicing rights of any Primary Servicer contemplated by the
Pooling and
Servicing Agreement. The Mortgage File for each Mortgage Loan
shall consist of
the following documents:
(a) each original Note (or with respect to those Mortgage
Loans
listed in Schedule IV hereto, a "lost note affidavit"
substantially in the form
of Exhibit B hereto and a true and complete copy of the Note),
bearing, or
accompanied by, all prior and intervening endorsements,
assignments or allonges
showing a complete chain of endorsement or assignment from the
Mortgage Loan
Originator either in blank or to the Seller, and further
endorsed (at the
direction of the Depositor given pursuant to this Agreement) by
the Seller, on
its face or by allonge attached thereto, without recourse,
either in blank or to
the order of the Trustee in the following form: "Pay to the
order of Wells Fargo
Bank, N.A., as trustee for the registered Holders of Credit
Suisse First Boston
Mortgage Securities Corp., Commercial Mortgage Pass-Through
Certificates, Series
2007-C5, without recourse, representation or warranty, express
or implied";
(b) a duplicate original Mortgage or a counterpart thereof or,
if
such Mortgage has been returned by the related recording office,
(A) an
original, (B) a certified copy or (C) a copy thereof from the
applicable
recording office, and originals or counterparts (or originals or
copies of
certified copies from the applicable recording office) of any
intervening
assignments thereof from the Mortgage Loan Originator to the
Seller, in each
case in the form submitted for recording or, if recorded, with
evidence of
recording indicated thereon;
(c) an original assignment of Mortgage, in recordable form
(except
for any missing recording information and, if applicable,
completion of the name
of the assignee), from the Seller (or the Mortgage Loan
Originator), either in
blank or to "Wells Fargo Bank, N.A., as trustee for the
registered Holders of
Credit Suisse First Boston Mortgage Securities Corp., Commercial
Mortgage
Pass-Through Certificates, Series 2007-C5";
(d) an original, counterpart or copy of any related Assignment
of
Leases (if such item is a document separate from the Mortgage),
and the
originals, counterparts or copies of any intervening assignments
thereof from
the Mortgage Loan Originator of the Loan to the Seller, in each
case in the form
submitted for recording or, if recorded, with evidence of
recording thereon;
(e) an original assignment of any related Assignment of Leases
(if
such item is a document separate from the Mortgage and to the
extent not already
assigned pursuant to clause (c) above), in recordable form
(except for any
missing recording information and, if applicable, completion of
the name of the
assignee), from the Seller (or the Mortgage Loan Originator),
either in blank or
to "Wells Fargo Bank, N.A., as trustee for the registered
Holders of Credit
Suisse First Boston Mortgage Securities Corp., Commercial
Mortgage Pass-Through
Certificates, Series 2007-C5";
(f) an original or true and complete copy of any related
Security
Agreement (if such item is a document separate from the
Mortgage), and the
originals or copies of any intervening assignments thereof from
the Mortgage
Loan Originator to the Seller;
(g) an original assignment of any related Security Agreement
(if
such item is a document separate from the Mortgage and to the
extent not already
assigned pursuant to clause (c) above), from the Seller (or the
Mortgage Loan
Originator), either in blank or to "Wells Fargo Bank, N.A., as
trustee for the
registered Holders of Credit Suisse First Boston Mortgage
Securities Corp.,
Commercial Mortgage Pass-Through Certificates, Series 2007-C5,"
which assignment
may be included as part of an omnibus assignment covering other
documents
relating to the Mortgage Loan (provided that such omnibus
assignment is
effective under applicable law);
(h) originals or copies of all (A) assumption agreements,
(B)
modifications, (C) written assurance agreements and (D)
substitution agreements,
together with any evidence, when appropriate, of recording
thereon or in the
form submitted for recording, in those instances where the terms
or provisions
of the Mortgage, Note or any related security document have been
modified or the
Mortgage Loan has been assumed;
(i) the original lender's title insurance policy or a copy
thereof
(together with all endorsements or riders that were issued with
or subsequent to
the issuance of such policy), or if the policy has not yet been
issued, the
original or a copy of a binding written commitment (which may be
a pro forma or
specimen title insurance policy which has been accepted or
approved in writing
by the related title insurance company or escrow instructions
binding on the
title insurer irrevocably obligating the title insurer to issue
such title
insurance policy) or interim binder that is marked as binding
and countersigned
by the title company, insuring the priority of the Mortgage as a
first lien on
the related Mortgaged Property, relating to such Mortgage
Loan;
(j) the original or a counterpart of any guaranty of the
obligations
of the Borrower under the Mortgage Loan;
(k) certified or other copies of all UCC Financing Statements
and
continuation statements which show the filing or recording
thereof or copies
thereof in the form submitted for filing or recording sufficient
to perfect (and
maintain the perfection of) the security interest held by the
Mortgage Loan
Originator (and each assignee of record prior to the Trustee) in
and to the
personalty of the Borrower at the Mortgaged Property that is
described in the
related Mortgage or a separate security agreement, and original
UCC Financing
Statement assignments in a form suitable for filing or
recording, sufficient to
assign such UCC Financing Statements to the Trustee;
(l) the original or copy of the power of attorney (with evidence
of
recording thereon) granted by the Borrower if the Mortgage, Note
or other
document or instrument referred to above was not signed by the
Borrower;
(m) with respect to any debt of a Borrower or mezzanine
borrower
permitted under the related Mortgage Loan, an original or copy
of a
subordination agreement, standstill agreement or other
intercreditor, co-lender
or similar agreement relating to such other debt, if any
(including, as
applicable, any Intercreditor Agreements, mezzanine loan
documents or preferred
equity documents), together with, if such Mortgage Loan is an A
Loan, a copy of
the related Note for each related B Loan;
(n) with respect to any Cash Collateral Accounts and
Lock-Box
Accounts, an original or copy of any related cash collateral
control agreement
or lock-box control agreement, as applicable, and a copy of the
UCC Financing
Statements, if any, submitted for filing with respect to the
Seller's security
interest in the Cash Collateral Accounts and Lock-Box Accounts
and all funds
contained therein (together with UCC Financing Statement
assignments in a form
suitable for filing or recording, sufficient to transfer such
UCC Financing
Statements to the Trustee on behalf of the
Certificateholders);
(o) an original or copy of any related Loan Agreement (if
separate
from the related Mortgage);
(p) the originals of letters of credit, if any, relating to
the
Mortgage Loan, provided that in connection with deliveries of
the Mortgage File
to the Trust, such originals shall be delivered to the
applicable Master
Servicer and copies thereof shall be delivered to the
Trustee;
(q) any related environmental insurance policies and any
environmental guaranty or indemnity agreements or copies
thereof;
(r) the original or a copy of any ground lease, ground lease
estoppels, and any amendments thereto;
(s) copies of franchise agreements, franchisor comfort letters
and
all notices received from the related franchisor, if any, for
hospitality
properties;
(t) the original or a copy of any property management
agreement;
(u) a checklist of the related Mortgage Loan Documents included
in
the Mortgage File for the subject Mortgage Loan; and
(v) if applicable (and not for purposes of the Seller's
delivery
obligations), the original or a counterpart of any post-closing
agreement
relating to any modification, waiver or amendment of any term of
any Mortgage
Loan (including fees charged the Borrower) required to be added
to the Mortgage
File pursuant to Section 3.20(j) of the Pooling and Servicing
Agreement.
Notwithstanding the foregoing, in the event that, in connection
with
any Mortgage Loan, the Seller cannot deliver, or cause to be
delivered, an
original, counterpart or certified copy, as applicable, of any
of the documents
and/or instruments required to be delivered pursuant to clauses
(b), (d), (h),
(k) (other than assignments of UCC Financing Statements to be
recorded or filed
in accordance with the transfer contemplated by this Agreement),
(l) and (n)
(other than assignments of UCC Financing Statements to be
recorded or filed in
accordance with the transfer contemplated by this Agreement)
above with evidence
of recording or filing thereon on the Closing Date, solely
because of a delay
caused by the public recording or filing office where such
document or
instrument has been delivered for recordation or filing, then
the Seller: (i)
shall deliver, or cause to be delivered, to the Trustee a
duplicate original or
true copy of such document or instrument certified by the
applicable public
recording or filing office, the applicable title insurance
company or the Seller
to be a true and complete duplicate original or copy of the
original thereof
submitted for recording or filing; and (ii) shall deliver, or
cause to be
delivered, to the Trustee either the original of such
non-delivered document or
instrument, or a photocopy thereof (certified by the appropriate
public
recording or filing office to be a true and complete copy of the
original
thereof submitted for recording or filing), with evidence of
recording or filing
thereon (with a copy to the applicable Master Servicer), within
120 days of the
Closing Date, which period may be extended up to two times, in
each case for an
additional period of 45 days (provided that the Seller, as
certified in writing
to the Trustee prior to each such 45-day extension, is in good
faith attempting
to obtain from the appropriate county recorder's office such
original or
photocopy). Compliance with this paragraph will satisfy the
Seller's delivery
requirements under this Section 3 with respect to the subject
document(s) and
instrument(s).
Notwithstanding the foregoing, in the event that, in connection
with
any Mortgage Loan, the Seller cannot deliver, or cause to be
delivered, an
original, counterpart or certified copy, as applicable, of any
of the documents
and/or instruments required to be delivered pursuant to clauses
(b), (d), (h),
(k) (other than assignments of UCC Financing Statements to be
recorded or filed
in accordance with the transfer contemplated by this Agreement),
(l) and (n)
(other than assignments of UCC Financing Statements to be
recorded or filed in
accordance with the transfer contemplated by this Agreement)
above with evidence
of recording or filing thereon, for any other reason, including
without
limitation, that such non-delivered document or instrument has
been lost, the
delivery requirements of this Agreement shall be deemed to have
been satisfied
and such non-delivered document or instrument shall be deemed to
have been
included in the related Mortgage File if a photocopy of such
non-delivered
document or instrument (with evidence of recording or filing
thereon and
certified by the appropriate recording or filing office to be a
true and
complete copy of the original thereof as filed or recorded) is
delivered to the
Trustee (with a copy to the applicable Master Servicer) on or
before the Closing
Date.
Notwithstanding the foregoing, in the event that the Seller
cannot
deliver any UCC Financing Statement assignment with the filing
or recording
information of the related UCC Financing Statement with respect
to any Mortgage
Loan, solely because such UCC Financing Statement has not been
returned by the
public filing or recording office where such UCC Financing
Statement has been
delivered for filing or recording, the Seller shall so notify
the Trustee and
shall not be in breach of its obligations with respect to such
delivery,
provided that the Seller promptly forwards such UCC Financing
Statement to the
Trustee (with a copy to the applicable Master Servicer) upon its
return,
together with the related original UCC Financing Statement
assignment in a form
appropriate for filing or recording.
The Seller may, at its sole cost and expense, but is not
obligated
to, engage a third party contractor to prepare or complete in
proper form for
filing or recording any and all assignments of Mortgage,
assignments of
Assignments of Leases and assignments of UCC Financing
Statements to the Trustee
to be delivered pursuant to clauses (c), (e), (k) and (n) above
(collectively,
the "Assignments"), to submit the Assignments for filing and
recording, as the
case may be, in the applicable public filing and recording
offices and to
deliver those Assignments to the Trustee (with a copy to the
applicable Master
Servicer) or its designee as those Assignments (or certified
copies thereof) are
received from the applicable filing and recording offices with
evidence of such
filing or recording indicated thereon. In the event the Seller
engages a third
party contractor as contemplated in the immediately preceding
sentence, the
rights, duties and obligations of the Seller pursuant to this
Agreement remain
binding on the Seller; and, if the Seller does not engage a
third party as
contemplated by the immediately preceding sentence, then the
Seller will still
be liable for recording and filing fees and expenses of the
Assignments as and
to the extent contemplated by Section 13 hereof.
Within ten (10) Business Days after the Closing Date, the
Seller
shall deliver the Servicer Files with respect to each of the
Mortgage Loans to
the applicable Master Servicer (or, if applicable, to a
Sub-Servicer at the
direction of the applicable Master Servicer, with a copy to the
applicable
Master Servicer) under the Pooling and Servicing Agreement on
behalf of the
Trustee in trust for the benefit of the Certificateholders. Each
such Servicer
File shall contain all documents and records in the Seller's
possession relating
to such applicable Mortgage Loans (including reserve and escrow
agreements, cash
collateral control agreements, lock-box control agreements, rent
rolls, leases,
environmental and engineering reports, third-party underwriting
reports,
appraisals, surveys, legal opinions, estoppels, financial
statements, operating
statements and any other information provided by the respective
Borrower from
time to time, but excluding any draft documents, attorney/client
communications,
which are privileged or constitute legal or other due diligence
analyses, and
documents prepared by the Seller or any of its Affiliates solely
for internal
communication, credit underwriting or due diligence analyses
(other than the
underwriting information contained in the related underwriting
memorandum or
asset summary report prepared by the Seller in connection with
the preparation
of Exhibit A-1 to the Prospectus Supplement)) that are not
required to be a part
of a Mortgage File in accordance with the definition thereof,
together with
copies of all instruments and documents which are required to be
a part of the
related Mortgage File in accordance with the definition
thereof.
In addition, with respect to each Mortgage Loan as to which
any
Additional Collateral is in the form of a letter of credit as of
the Closing
Date, the Seller (within 30 days after the Closing Date) shall
cause to be
prepared, executed and delivered to the issuer of each such
letter of credit
such notices, assignments and acknowledgements as are required
under such letter
of credit to assign, without recourse, to, and vest in, the
Trustee (in care of
the applicable Master Servicer) (whether by actual assignment or
by amendment of
the letter of credit) the Seller's rights as the beneficiary
thereof and drawing
party thereunder. The designated beneficiary under each letter
of credit
referred to in the preceding sentence shall be the Trustee (in
care of the
applicable Master Servicer).
To the extent the Seller receives a notice on or after the
Closing
Date with respect to a Mortgage Loan secured by a hospitality
property for which
a franchisor comfort letter exists, the Seller shall promptly
forward such
notice to the Trustee and advise the related franchisor of the
Trustee's address
to which the franchisor shall deliver all future notices.
For purposes of this Section 3, and notwithstanding any
contrary
provision hereof or of the definition of "Mortgage File," if
there exists with
respect to any group of Crossed Mortgage Loans only one original
or certified
copy of any document or instrument described in the definition
of "Mortgage
File" which pertains to all of the Crossed Mortgage Loans in
such group of
Crossed Mortgage Loans, the inclusion of the original or
certified copy of such
document or instrument in the Mortgage File for any of such
Crossed Mortgage
Loans and the inclusion of a copy of such original or certified
copy in each of
the Mortgage Files for the other Crossed Mortgage Loans in such
group of Crossed
Mortgage Loans, shall be deemed the inclusion of such original
or certified
copy, as the case may be, in the Mortgage File for each such
Crossed Mortgage
Loan.
The Seller shall, promptly after the Closing Date, but in all
events
within three (3) Business Days after the Closing Date, cause all
funds on
deposit in escrow accounts maintained with respect to the
Mortgage Loans in the
name of the Seller or any other name, to be transferred to or at
the direction
of the applicable Master Servicer (or, if applicable, a
Sub-Servicer at the
direction of the applicable Master Servicer) for deposit into
Servicing
Accounts.
The Trustee, as assignee or transferee of Depositor, shall
be
entitled to all scheduled principal payments due after the
Cut-off Date, all
other payments of principal due and collected after the Cut-off
Date, and all
payments of interest on the Mortgage Loans due after the Cut-off
Date, minus
that portion of any such payment which is allocable to the
period on or prior to
the Cut-off Date. All scheduled payments of principal due on or
before the
Cut-off Date and collected after the Cut-off Date, together with
the
accompanying interest payments, shall belong to Seller.
Upon the sale of the Mortgage Loans from Seller to Depositor
pursuant hereto, the ownership of each Note, the related
Mortgage and the
contents of the related Mortgage File shall be vested in
Depositor and the
ownership of all records and documents with respect to the
related Mortgage Loan
prepared by or which come into the possession of Seller as
seller of the
Mortgage Loans hereunder, exclusive in each case of records and
documents that
are not required to be delivered hereunder by Seller, shall
immediately vest in
Depositor. All Monthly Payments, Principal Prepayments and other
amounts
received by Seller and not otherwise belonging to Seller
pursuant to this
Agreement shall be sent by Seller within three (3) Business Days
after Seller's
receipt thereof to the applicable Master Servicer via wire
transfer for deposit
by the applicable Master Servicer into the Collection
Account.
Upon sale of Certificates representing at least 10% of the
fair
value of all the Certificates to unaffiliated third parties,
Seller shall, under
generally accepted accounting principles ("GAAP"), report its
transfer of the
Mortgage Loans to the Depositor, as provided herein, as a sale
of the Mortgage
Loans to the Depositor in exchange for the consideration
specified in Section 2
hereof. In connection with the foregoing, upon sale of
Certificates representing
at least 10% of the fair value of all the Certificates to
unaffiliated third
parties, Seller shall cause all of its financial and accounting
records to
reflect such transfer as a sale (as opposed to a secured loan).
With respect to
its treatment of the transfer of the Mortgage Loans to the
Depositor under GAAP,
Seller shall at all times following the Closing Date cause all
of its records
and financial statements and any relevant consolidated financial
statements of
any direct or indirect parent to clearly reflect that the
Mortgage Loans have
been transferred to the Depositor and are no longer available to
satisfy claims
of Seller's creditors.
After Seller's transfer of the Mortgage Loans to Depositor,
as
provided herein, Seller shall not take any action inconsistent
with Depositor's
ownership (or the ownership by any of the Depositor's assignees)
of the Mortgage
Loans. Except for actions that are the express responsibility of
another party
hereunder or under the Pooling and Servicing Agreement, and
further except for
actions that Seller is expressly permitted to complete
subsequent to the Closing
Date, Seller shall, on or before the Closing Date, take all
actions required
under applicable law to effectuate the transfer of the Mortgage
Loans by Seller
to Depositor.
Section 4. Depositor's Conditions to Closing. The obligations
of
Depositor to purchase the Mortgage Loans and pay the Mortgage
Loan Purchase
Price at the Closing Date under the terms of this Agreement are
subject to the
satisfaction of each of the following conditions at or before
the Closing:
(a) Each of the obligations of the Seller required to be
performed
by it on or prior to the Closing Date pursuant to the terms of
this Agreement
shall have been duly performed and complied with in all material
respects; all
of the representations and warranties of Seller under this
Agreement (subject to
the exceptions set forth in the Exception Report) shall be true
and correct in
all material respects as of the Closing Date; no event shall
have occurred with
respect to the Seller or any of the Mortgage Loans and related
Mortgage Files
which, with notice or the passage of time, would constitute a
material default
under this Agreement; and Depositor shall have received
certificates to the
foregoing effect signed by authorized officers of Seller.
(b) Depositor, or if directed by Depositor, the Trustee or
the
Depositor's attorneys or other designee, shall have received in
escrow, all of
the following closing documents, in such forms as are agreed
upon and reasonably
acceptable to the Depositor and the Seller, duly executed by all
signatories
other than Depositor, as required pursuant to the respective
terms thereof:
(i) the Mortgage Files, subject to the proviso to the first
sentence
of Section 1 of this Agreement, which shall have been delivered
to and
held by the Trustee on behalf of Seller;
(ii) the Mortgage Loan Schedule;
(iii) the certificate of the Seller confirming its
representations
and warranties set forth in Section 6 (subject to the exceptions
set forth
in the Exception Report) as of the Closing Date;
(iv) an opinion or opinions of Seller's counsel, dated the
Closing
Date, covering various corporate matters and such other matters
as shall
be reasonably required by the Depositor;
(v) such other certificates of Seller's officers or others and
such
other documents to evidence fulfillment of the conditions set
forth in
this Agreement as Depositor or its counsel may reasonably
request; and
(vi) all other information, documents, certificates, or letters
with
respect to the Mortgage Loans or Seller and its Affiliates as
are
reasonably requested by the Depositor in order for the Depositor
to
perform any of it obligations or satisfy any of the conditions
on its part
to be performed or satisfied pursuant to any sale of Mortgage
Loans by the
Depositor as contemplated herein.
(c) The Seller shall have performed or complied with all other
terms
and conditions of this Agreement which it is required to perform
or comply with
at or before the Closing and shall have the ability to perform
or comply with
all duties, obligations, provisions and terms which it is
required to perform or
comply with after the Closing.
(d) If requested, the Seller shall have delivered to the
Trustee, on
or before the Closing Date, five limited powers of attorney in
favor of the
Trustee and the Special Servicer empowering the Trustee and, in
the event of the
failure or incapacity of the Trustee, the Special Servicer, to
record, at the
expense of the Seller, any Mortgage Loan Documents required to
be recorded and
any intervening assignments with evidence of recording thereon
that are required
to be included in the Mortgage Files. If requested by the
Trustee or the Special
Servicer after the Closing Date, the Seller shall deliver to the
Trustee or the
Special Servicer, as applicable, the powers of attorney
described in the prior
sentence in form and substance reasonably acceptable to the
requesting party.
(e) The Seller shall have paid or caused to be paid upfront all
the
annual fees of each Rating Agency allocable to the Mortgage
Loans.
Section 5. Seller's Conditions to Closing. The obligations of
Seller
under this Agreement shall be subject to the satisfaction, on
the Closing Date,
of the following conditions:
(a) Each of the obligations of Depositor required to be
performed by
it on or prior to the Closing Date pursuant to the terms of this
Agreement
(including, without limitation, payment of the Mortgage Loan
Purchase Price)
shall have been duly performed and complied with in all material
respects; and
all of the representations and warranties of Depositor under
this Agreement
shall be true and correct in all material respects as of the
Closing Date; and
no event shall have occurred with respect to Depositor which,
with notice or the
passage of time, would constitute a material default under this
Agreement, and
Seller shall have received certificates to that effect signed by
authorized
officers of Depositor.
(b) Seller shall have received all of the following closing
documents, in such forms as are agreed upon and reasonably
acceptable to Seller
and Depositor, duly executed by all signatories other than
Seller, as required
pursuant to the respective terms thereof:
(A) an officer's certificate of Depositor, dated as of the
Closing Date, with the resolutions of Depositor authorizing
the
transactions set forth therein, together with copies of the
charter,
by-laws and certificate of good standing dated as of a recent
date
of Depositor; and
(B) such other certificates of its officers or others, such
opinions of Depositor's counsel and such other documents
required to
evidence fulfillment of the conditions set forth in this
Agreement
as Seller or its counsel may reasonably request.
(c) The Depositor shall have performed or complied with all
other
terms and conditions of this Agreement which it is required to
perform or comply
with at or before the Closing and shall have the ability to
perform or comply
with all duties, obligations, provisions and terms which it is
required to
perform or comply with after Closing.
Section 6. Representations and Warranties of Seller. (a)
Seller
represents and warrants to Depositor as of the date hereof, as
follows:
(i) Seller is duly organized and is validly existing as a
national
banking association in good standing under the laws of the
United States
of America. Seller has conducted and is conducting its business
so as to
comply in all material respects with all applicable statutes
and
regulations of regulatory bodies or agencies having jurisdiction
over it,
except where the failure so to comply would not have a
materially adverse
effect on the performance by Seller of this Agreement, and there
is no
charge, investigation, action, suit or proceeding before or by
any court,
regulatory authority or governmental agency or body pending or,
to the
knowledge of Seller, threatened, which is reasonably likely to
materially
and adversely affect the performance by Seller of this Agreement
or the
consummation of transactions contemplated by this Agreement.
(ii) Seller has the full power, authority and legal right to
hold,
transfer and convey the Mortgage Loans owned by it and to
execute and
deliver this Agreement (and all agreements and documents
executed and
delivered by Seller in connection herewith) and to perform
all
transactions of Seller contemplated by this Agreement (and all
agreements
and documents executed and delivered by Seller in connection
herewith).
Seller has duly authorized the execution, delivery and
performance of this
Agreement (and all agreements and documents executed and
delivered by
Seller in connection herewith), and has duly executed and
delivered this
Agreement (and all agreements and documents executed and
delivered by
Seller in connection herewith). This Agreement (and each
agreement and
document executed and delivered by Seller in connection
herewith),
assuming due authorization, execution and delivery thereof by
each other
party thereto, constitutes the legal, valid and binding
obligation of
Seller enforceable in accordance with its terms, except as
such
enforcement may be limited by bankruptcy, fraudulent transfer,
insolvency,
reorganization, receivership, moratorium or other laws relating
to or
affecting the rights of creditors generally, by general
principles of
equity (regardless of whether such enforcement is considered in
a
proceeding in equity or at law) and by considerations of public
policy.
(iii) Neither the execution, delivery and performance of
this
Agreement, nor the fulfillment of or compliance with the terms
and
conditions of this Agreement by Seller, will (A) conflict with
or result
in a breach of any of the terms, conditions or provisions of
Seller's
organizational documents; (B) conflict with, result in a breach
of, or
constitute a default or result in an acceleration under, any
agreement or
instrument to which Seller is now a party or by which it (or any
of its
properties) is bound if compliance therewith is necessary (1) to
ensure
the enforceability of this Agreement or (2) for Seller to
perform its
duties and obligations under this Agreement (or any agreement or
document
executed and delivered by Seller in connection herewith); (C)
conflict
with or result in a breach of any legal restriction if
compliance
therewith is necessary (1) to ensure the enforceability of this
Agreement
or (2) for Seller to perform its duties and obligations under
this
Agreement (or any agreement or document executed and delivered
by Seller
in connection herewith); (D) result in the violation of any law,
rule,
regulation, order, judgment or decree to which Seller or its
property is
subject if compliance therewith is necessary (1) to ensure
the
enforceability of this Agreement or (2) for Seller to perform
its duties
and obligations under this Agreement (or any agreement or
document
executed and delivered by Seller in connection herewith); or (E)
result in
the creation or imposition of any lien, charge or encumbrance
that would
have a material adverse effect upon Seller's ability to perform
its duties
and obligations under this Agreement (or any agreement or
document
executed and delivered by Seller in connection herewith), or
materially
impair the ability of the Depositor to realize on the Mortgage
Loans owned
by Seller.
(iv) Seller is solvent and the sale of the Mortgage Loans (1)
will
not cause Seller to become insolvent and (2) is not intended by
Seller to
hinder, delay or defraud any of its present or future creditors.
After
giving effect to its transfer of the Mortgage Loans, as provided
herein,
the value of Seller's assets, either taken at their present fair
saleable
value or at fair valuation, will exceed the amount of Seller's
debts and
obligations, including contingent and unliquidated debts and
obligations
of Seller, and Seller will not be left with unreasonably small
assets or
capital with which to engage in and conduct its business. Seller
does not
intend to, and does not believe that it will, incur debts or
obligations
beyond its ability to pay such debts and obligations as they
mature. No
proceedings looking toward liquidation, dissolution or
bankruptcy of the
Seller are pending or contemplated.
(v) No consent, approval, authorization or order of, or
registration
or filing with, or notice to, any court or governmental agency
or body
having jurisdiction or regulatory authority over Seller is
required for
(A) Seller's execution, delivery and performance of this
Agreement (or any
agreement or document executed and delivered by Seller in
connection
herewith), (B) Seller's transfer and assignment of the Mortgage
Loans, or
(C) the consummation by Seller of the transactions contemplated
by this
Agreement (or any agreement or document executed and delivered
by Seller
in connection herewith) or, to the extent so required, such
consent,
approval, authorization, order, registration, filing or notice
has been
obtained, made or given (as applicable), except for the filing
or
recording of assignments and other Mortgage Loan Documents
contemplated by
the terms of this Agreement and except that Seller may not be
duly
qualified to transact business as a foreign corporation or
licensed in one
or more states if such qualification or licensing is not
necessary to
ensure the enforceability of this Agreement (or any agreement or
document
executed and delivered by Seller in connection herewith).
(vi) In connection with its sale of the Mortgage Loans, Seller
is
receiving new value. The consideration received by Seller upon
the sale of
the Mortgage Loans owned by it constitutes at least fair
consideration and
reasonably equivalent value for the Mortgage Loans.
(vii) Seller does not believe, nor does it have any reason or
cause
to believe, that it cannot perform each and every covenant of
Seller
contained in this Agreement (or any agreement or document
executed and
delivered by Seller in connection herewith).
(viii) There are no actions, suits or proceedings pending or,
to
Seller's knowledge, threatened in writing against Seller which
are
reasonably likely to draw into question the validity of this
Agreement (or
any agreement or document executed and delivered by Seller in
connection
herewith) or which, either in any one instance or in the
aggregate, are
reasonably likely to materially impair the ability of Seller to
perform
its duties and obligations under this Agreement (or any
agreement or
document executed and delivered by Seller in connection
herewith).
(ix) Seller's performance of its duties and obligations under
this
Agreement (and each agreement or document executed and delivered
by Seller
in connection herewith) is in the ordinary course of business of
Seller
and Seller's transfer, assignment and conveyance of the Mortgage
Loans
pursuant to this Agreement are not subject to the bulk transfer
or similar
statutory provisions in effect in any applicable jurisdiction.
The
Mortgage Loans do not constitute all or substantially all of
Seller's
assets.
(x) Seller has not dealt with any Person that may be entitled,
by
reason of any act or omission of Seller, to any commission or
compensation
in connection with the sale of the Mortgage Loans to the
Depositor
hereunder except for (A) the reimbursement of expenses as
described herein
or otherwise in connection with the transactions described in
Section 2
hereof and (B) the commissions or compensation owed to the
Underwriters or
the Initial Purchaser.
(xi) Seller is not in default or breach of any agreement or
instrument to which Seller is now a party or by which it (or any
of its
properties) is bound which breach or default would materially
and
adversely affect the ability of Seller to perform its
obligations under
this Agreement.
(xii) The representations and warranties contained in Exhibit
A
hereto, subject to the exceptions set forth in the Exception
Report, are
true and correct in all material respects as of the date hereof
(or, in
each case, as of such other date specifically set forth in the
subject
representation and warranty) with respect to the Mortgage Loans
identified
on Schedule II.
(xiii) The information set forth in any Disclosure Information
(as
defined in the KeyBank Indemnification Agreement), as last
forwarded to
each prospective investor at or prior to the date on which a
contract for
sale was entered into with such prospective investor, (i) does
not contain
any untrue statement of a material fact or omit to state any
material fact
necessary to make the statements therein, in light of the
circumstances
under which they were made, not misleading and (ii) complies
with the
requirements of and contains all of the applicable information
required by
Regulation AB (as defined in the KeyBank Indemnification
Agreement); but
only to the extent that (i) such information regards the
Mortgage Loans
and is contained in the Loan Detail (as defined in the
KeyBank
Indemnification Agreement) or, to the extent consistent
therewith, the
Diskette (as defined in the KeyBank Indemnification Agreement)
or (ii)
such information regarding the Seller or the Mortgage Loans was
contained
in the Confidential Offering Circular or the Prospectus
Supplement under
the headings "Summary of Prospectus Supplement--Relevant
Parties/Entities--Sponsors and Mortgage Loan Sellers," "Summary
of
Prospectus Supplement--Relevant Parties/Entities--Originators,"
"Summary
of Prospectus Supplement--The Underlying Mortgage Loans--Source
of the
Underlying Mortgage Loans," "Risk Factors," "Description of the
Sponsors
and Mortgage Loan Sellers" and "Description of the Underlying
Mortgage
Loans--Significant Mortgage Loans" and such information does not
represent
an incorrect restatement or an incorrect aggregation of
correct
information regarding the Mortgage Loans contained in the Loan
Detail.
(b) The Seller hereby agrees that it shall be deemed to make, as
of
the date of substitution, to and for the benefit of the Trustee
as the holder of
the Mortgage Loan to be replaced, with respect to any
replacement mortgage loan
(a "Replacement Mortgage Loan") that is substituted for a
Mortgage Loan affected
by a Material Document Defect or a Material Breach, pursuant to
Section 7 of
this Agreement, each of the representations and warranties set
forth in Exhibit
A hereto (subject to exceptions disclosed at such time)
(references therein to
"Closing Date" being deemed to be references to the "date of
substitution" and
references therein to "Cut-off Date" being deemed to be
references to the "most
recent due date for the subject Replacement Mortgage Loan on or
before the date
of substitution"). From and after the date of substitution, each
Replacement
Mortgage Loan, if any, shall be deemed to constitute a "Mortgage
Loan" hereunder
for all purposes.
Section 7. Obligations of Seller. Each of the representations
and
warranties contained in or required to be made by Seller
pursuant to Section 6
of this Agreement shall survive the sale of the Mortgage Loans
and shall
continue in full force and effect, notwithstanding any
restrictive or qualified
endorsement on the Notes and notwithstanding subsequent
termination of this
Agreement or the Pooling and Servicing Agreement. The
representations and
warranties contained in or required to be made by Seller
pursuant to Section 6
of this Agreement shall not be impaired by any review or
examination of the
Mortgage Files or other documents evidencing or relating to the
Mortgage Loans
or any failure on the part of Depositor to review or examine
such documents and
shall inure to the benefit of the initial transferee of the
Mortgage Loans from
Depositor including, without limitation, the Trustee for the
benefit of the
Holders of the Certificates, notwithstanding (1) any restrictive
or qualified
endorsement on any Note, assignment of Mortgage or reassignment
of Assignment of
Leases or (2) any termination of this Agreement prior to the
Closing, but shall
not inure to the benefit of any subsequent transferee
thereafter.
If the Seller receives notice of a breach of any of the
representations or warranties contained in Exhibit A hereto and
made by the
Seller with respect to any Mortgage Loan listed on Schedule II
hereto, as of the
date hereof in Section 6(a)(xii) or as of the Closing Date
pursuant to Section
4(b)(iii) (in either case, subject to the exceptions to such
representations and
warranties set forth in the Exception Report), or with respect
to any
Replacement Mortgage Loan, as of the date of substitution
pursuant to Section
6(b) (in any such case, a "Breach"), or receives notice that (A)
any document
required to be included in the Mortgage File related to any
Mortgage Loan is not
in the Trustee's possession within the time period required
herein or (B) such
document has not been properly executed or is otherwise
defective on its face
(the circumstances in the foregoing clauses (A) and (B), in each
case, a
"Defect" (including the "Defects" described below) in the
related Mortgage
File), and if such Breach or Defect, as the case may be,
materially and
adversely affects the value of the related Mortgage Loan or the
interests of the
Certificateholders therein (any Breach or Defect that materially
and adversely
affects the value of the related Mortgage Loan or the interests
of the
Certificateholders therein, a "Material Breach" or a "Material
Document Defect,"
respectively), then the Seller shall, upon request of the
Depositor, the
Trustee, the applicable Master Servicer or the Special Servicer,
not later than
90 days from the receipt by the Seller of such request (subject
to the second
succeeding paragraph, the "Initial Resolution Period"): (i) cure
such Material
Breach or Material Document Defect, as the case may be, in all
material
respects; (ii) repurchase the affected Mortgage Loan at the
applicable Purchase
Price (as defined in the Pooling and Servicing Agreement); or
(iii) substitute,
in accordance with the Pooling and Servicing Agreement, one or
more Qualified
Substitute Trust Mortgage Loans (as defined in the Pooling and
Servicing
Agreement) for such affected Mortgage Loan (provided that in no
event shall any
substitution occur later than the second anniversary of the
Closing Date) and
pay the applicable Master Servicer for deposit into the
Collection Account any
Substitution Shortfall Amount (as defined in the Pooling and
Servicing
Agreement) in connection therewith; provided, however, that if
(i) such Material
Breach or Material Document Defect is capable of being cured but
not within the
Initial Resolution Period, (ii) such Material Breach or Material
Document Defect
does not cause the related Mortgage Loan not to be a "qualified
mortgage"
(within the meaning of Section 860G(a)(3) of the Code), (iii)
the Seller has
commenced and is diligently proceeding with the cure of such
Material Breach or
Material Document Defect within the Initial Resolution Period
and (iv) the
Seller has delivered to the Rating Agencies, the applicable
Master Servicer, the
Special Servicer and the Trustee an Officer's Certificate that
describes the
reasons that the cure was not effected within the Initial
Resolution Period and
the actions that it proposes to take to effect the cure and that
states that it
anticipates the cure will be effected within the additional
90-day period, then
the Seller shall have an additional 90 days to cure such
Material Document
Defect or Material Breach. If there exists a Breach of any
representation or
warranty that the related Mortgage Loan Documents or any
particular Mortgage
Loan Document requires the related Borrower to bear the costs
and expenses
associated with any particular action or matter under such
Mortgage Loan
Document(s), then the Seller shall cure such Breach within the
Initial
Resolution Period by reimbursing the Trust Fund (by wire
transfer of immediately
available funds to the Collection Account) the reasonable amount
of any such
costs and expenses incurred by the applicable Master Servicer,
the Special
Servicer, the Trustee or the Trust Fund that are the basis of
such Breach and
have not been reimbursed by the related Borrower; provided,
however, that in the
event that any such costs and expenses exceed $10,000, the
Seller shall have the
option to either repurchase the related Mortgage Loan at the
applicable Purchase
Price, replace such Mortgage Loan and pay any applicable
Substitution Shortfall
Amount or pay such costs and expenses. Except as provided in the
proviso to the
immediately preceding sentence, Seller shall remit the amount of
such costs and
expenses and upon its making such remittance, Seller shall be
deemed to have
cured such Breach in all respects. Provided such payment is
made, the second
preceding sentence describes the sole remedy available to the
Certificateholders
and the Trustee on their behalf regarding any such Breach, and
Seller shall not
be obligated to repurchase, substitute or otherwise cure such
Breach under any
circumstances. With respect to any repurchase of a Mortgage Loan
hereunder or
with respect to any substitution of one or more Qualified
Substitute Trust
Mortgage Loans for a Mortgage Loan hereunder, (A) no such
substitution may be
made in any calendar month after the Determination Date for such
month; (B)
scheduled payments of principal and interest due with respect to
the Qualified
Substitute Trust Mortgage Loan(s) after the Due Date in the
month of
substitution, and scheduled payments of principal and interest
due with respect
to each Mortgage Loan being repurchased or replaced after the
related Cut-off
Date and received by the applicable Master Servicer or the
Special Servicer on
behalf of the Trust on or prior to the related date of
repurchase or
substitution shall be part of the Trust Fund; and (C) scheduled
payments of
principal and interest due with respect to each such Qualified
Substitute Trust
Mortgage Loan on or prior to the Due Date in the month of
substitution, and
scheduled payments of principal and interest due with respect to
each Mortgage
Loan being repurchased or replaced and received by the
applicable Master
Servicer or the Special Servicer on behalf of the Trust after
the related date
of repurchase or substitution shall not be part of the Trust
Fund, and the
Seller (or, if applicable, any person effecting the related
repurchase or
substitution in the place of the Seller) shall be entitled to
receive such
payments promptly following receipt by the applicable Master
Servicer or Special
Servicer, as applicable, under the Pooling and Servicing
Agreement.
Any of the following will cause a document in the Mortgage File
to
be deemed to have a "Defect" and to be conclusively presumed to
materially and
adversely affect the interests of Certificateholders in and the
value of a
Mortgage Loan: (a) the absence from the Mortgage File of the
original signed
Note, unless the Mortgage File contains a signed lost note
affidavit and
indemnity; (b) the absence from the Mortgage File of the
original signed
Mortgage, unless there is included in the Mortgage File a
certified copy of the
Mortgage as recorded or as sent for recordation, together with a
certificate
stating that the original signed Mortgage was sent for
recordation, or a copy of
the Mortgage and the related recording information; (c) the
absence from the
Mortgage File of the item called for by clause (i) of the
definition of Mortgage
File in Section 3; (d) the absence from the Mortgage File of any
intervening
assignments required to create an effective assignment to the
Trustee on behalf
of the Trust, unless there is included in the Mortgage File a
certified copy of
the intervening assignment and a certificate stating that the
original
intervening assignments were sent for recordation; (e) the
absence from the
Mortgage File of any required original letter of credit (unless
such original
has been delivered to the applicable Master Servicer and copy
thereof is part of
the Mortgage File), provided that such Defect may be cured by
any substitute
letter of credit or cash reserve on behalf of the related
Borrower; or (f) the
absence from the Mortgage File of the original or a copy of any
required ground
lease. Notwithstanding anything herein to the contrary, the
failure to include a
document checklist in a Mortgage File shall in no event
constitute a Material
Document Defect.
Any Defect or Breach which causes any Mortgage Loan not to be
a
"qualified mortgage" (within the meaning of Section 860G(a)(3)
of the Code)
shall be deemed to materially and adversely affect the interest
of
Certificateholders therein and the Initial Resolution Period for
the affected
Mortgage Loan shall be 90 days following the earlier of (a)
Seller's receipt of
notice to Seller of the discovery of such Defect or Breach by
any party to the
Pooling and Servicing Agreement and (b) Seller's discovery of
such Defect or
Breach (which period shall not be subject to extension).
If the Seller does not, as required by this Section 7, correct
or
cure a Material Breach or a Material Document Defect in all
material respects
within the applicable Initial Resolution Period (as extended
pursuant to this
Section 7), or if such Material Breach or Material Document
Defect is not
capable of being so corrected or cured within such period, then
the Seller shall
repurchase or substitute for the affected Mortgage Loan as
provided in this
Section 7. If (i) any Mortgage Loan is required to be
repurchased or substituted
for as provided above, (ii) such Mortgage Loan is a Crossed
Mortgage Loan that
is a part of a Mortgage Group (as defined below) and (iii) the
applicable Breach
or Defect does not constitute a Breach or Defect, as the case
may be, as to any
other Crossed Mortgage Loan in such Mortgage Group (without
regard to this
paragraph), then the applicable Breach or Defect, as the case
may be, will be
deemed to constitute a Breach or Defect, as the case may be, as
to any other
Crossed Mortgage Loan in the Mortgage Group for purposes of the
above
provisions, and the Seller will be required to repurchase or
substitute for such
other Crossed Mortgage Loan(s) in the related Mortgage Group in
accordance with
the provisions of this Section 7 unless the Crossed Mortgage
Loan Repurchase
Criteria would be satisfied if Seller were to repurchase or
substitute for only
the affected Crossed Mortgage Loans as to which a Material
Breach or Material
Document Defect had occurred without regard to this paragraph,
and in the case
of either such repurchase or substitution, all of the other
requirements set
forth in the Pooling and Servicing Agreement applicable to a
repurchase or
substitution, as the case may be, would be so satisfied. In the
event that the
Crossed Mortgage Loan Repurchase Criteria would be so satisfied,
the Mortgage
Loan Seller may elect either to repurchase or substitute for
only the affected
Crossed Mortgage Loan as to which the Material Document Defect
or Material
Breach exists or to repurchase or substitute for all of the
Crossed Mortgage
Loans in the related Mortgage Group. The determination of the
Special Servicer
as to whether the Crossed Mortgage Loan Repurchase Criteria have
been satisfied
shall be conclusive and binding in the absence of manifest
error. The Seller
shall be responsible for the cost of (and, if so directed by the
Special
Servicer, obtaining) any Appraisal required for the Special
Servicer to
determine if the Crossed Mortgage Loan Repurchase Criteria have
been satisfied,
so long as the scope and cost of such Appraisal has been
approved by the Seller
(such approval not to be unreasonably withheld). For purposes of
this paragraph,
a "Mortgage Group" is any group of Mortgage Loans identified as
a Mortgage Group
on Schedule III to this Agreement.
Notwithstanding the foregoing, if there is a Material Breach
or
Material Document Defect with respect to one or more Mortgaged
Properties (but
not all of the Mortgaged Properties) with respect to a Mortgage
Loan, the Seller
will not be obligated to repurchase or substitute for the entire
Mortgage Loan
if the affected Mortgaged Property may, pursuant to the partial
release
provisions of the related Mortgage Loan Documents, be released
and the Mortgaged
Property remaining after such release satisfies the
requirements, if any, set
forth in the Mortgage Loan Documents and (i) the Seller provides
an opinion of
counsel to the effect that such partial release would not cause
an Adverse REMIC
Event (as defined in the Pooling and Servicing Agreement) to
occur, (ii) the
Seller pays (or causes to be paid) the applicable release price
required under
the Mortgage Loan Documents and, to the extent not reimbursable
out of the
release price pursuant to the related Mortgage Loan Documents,
any additional
amounts necessary to cover all reasonable out-of-pocket expenses
reasonably
incurred by the applicable Master Servicer, the Special
Servicer, the Trustee or
the Trust Fund in connection therewith, including any
unreimbursed advances and
interest thereon made with respect to the Mortgaged Property
that is being
released, and (iii) such cure by release of such Mortgaged
Property is effected
within the time periods specified for cure of a Material Breach
or Material
Document Defect in this Section 7.
The Purchase Price or Substitution Shortfall Amount for any
repurchased or substituted Mortgage Loan shall be payable to the
Depositor or,
subsequent to the assignment of the Mortgage Loans to the
Trustee, the Trustee
as its assignee, by wire transfer of immediately available funds
to the account
designated by the Depositor or the Trustee, as the case may be,
and the
Depositor or the Trustee, as the case may be, upon receipt of
such funds (and,
in the case of a substitution, the Mortgage File(s) for the
related Qualified
Substitute Trust Mortgage Loans), shall promptly release the
related Mortgage
File and Servicer File (and all other documents pertaining to
such Mortgage Loan
possessed by the Depositor or the Trustee, as applicable, or on
its behalf, but
excluding any draft documents, attorney/client privileged
communications and
documents prepared by the Depositor or the Trustee (or by the
applicable Master
Servicer or the Special Servicer on behalf of the Trust), as
applicable, or any
of its Affiliates solely for internal communication) or cause
them to be
released, to Seller and shall execute and deliver such
instruments of transfer,
endorsement or assignment as shall be necessary to vest in the
Seller the legal
and beneficial ownership of such Mortgage Loan (including any
property acquired
in respect thereof or proceeds of any insurance policy with
respect thereto) and
the related Mortgage Loan Documents and shall deliver to Seller
any escrow
payments and reserve funds held by it, or on its behalf, with
respect to such
repurchased or replaced Mortgage Loan.
It is understood and agreed that the obligations of the Seller
set
forth in this Section 7 to cure, substitute for or repurchase a
Mortgage Loan
listed on Schedule II hereto constitute the sole remedies
available to the
Depositor and its successors and assigns against Seller
respecting any Breach or
Defect affecting such Mortgage Loan.
Section 8. Crossed Mortgage Loans. With respect to any
Crossed
Mortgage Loan conveyed hereunder, to the extent that the Seller
repurchases or
substitutes for an affected Crossed Mortgage Loan in the manner
prescribed above
while the Trustee continues to hold any related Crossed Mortgage
Loans, the
Seller and the Depositor (on behalf of its successors and
assigns) agree to
modify upon such repurchase or substitution, the related
Mortgage Loan Documents
in a manner such that such affected Crossed Mortgage Loan
repurchased or
substituted for by the Seller, on the one hand, and any related
Crossed Mortgage
Loans still held by the Trustee, on the other, would no longer
be
cross-defaulted or cross-collateralized with one another;
provided, t
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