|
EXHIBIT 10.4
------------
--------------------------------------------------------------------------------
GS MORTGAGE SECURITIES CORPORATION II,
PURCHASER,
LEHMAN BROTHERS HOLDINGS INC.,
SELLER
MORTGAGE LOAN PURCHASE AGREEMENT
Dated as of July 1, 2007
Series 2007-GG10
--------------------------------------------------------------------------------
<PAGE>
This Mortgage Loan Purchase Agreement (this "Agreement"), dated
as
of July 1, 2007, is between GS Mortgage Securities Corporation
II, a Delaware
corporation, as purchaser (the "Purchaser"), and Lehman Brothers
Holdings Inc.,
a Delaware corporation, as seller (the "Seller").
Capitalized terms used in this Agreement not defined herein
shall
have the meanings ascribed to them in the Pooling and Servicing
Agreement, dated
as of July 1, 2007 (the "Pooling and Servicing Agreement"),
among the Purchaser,
as depositor, Wachovia Bank, National Association, as master
servicer (the
"Master Servicer"), CWCapital Asset Management LLC, as special
servicer (the
"Special Servicer"), and Wells Fargo Bank, N.A., as trustee (the
"Trustee"),
pursuant to which the Purchaser will transfer the mortgage loans
identified on
Exhibit A (the "Mortgage Loan Schedule") as 1615 L Street and
Wells Fargo Tower
(the "Joint Loans") and certain other commercial mortgage loans
to a trust fund
(the "Trust Fund") and the Trust Fund will issue certificates
representing
ownership interests in such mortgage loans. The Purchaser will
sell the Class
A-1, Class A-2, Class A-3, Class A-AB, Class A-4, Class A-1A,
Class A-M, Class
A-J, Class B, Class C, Class D, Class E and Class F Certificates
(the "Offered
Certificates") to the underwriters (the "Underwriters")
specified in the
Underwriting Agreement, dated as of June 21, 2007 (the
"Underwriting
Agreement"), between the Purchaser and the Underwriters, and the
Purchaser will
sell the Class X, Class G, Class H, Class J, Class K, Class L,
Class M, Class N,
Class O, Class P, Class Q, Class S, Class R and Class LR
Certificates (the
"Private Certificates") to the initial purchasers (the "Initial
Purchasers")
specified in the Certificate Purchase Agreement, dated as of
June 21, 2007 (the
"Certificate Purchase Agreement"), between the Purchaser and
Initial Purchasers.
The Seller desires to sell a 49% pari passu interest in the 1615
L
Street Mortgage Loan and a 51% pari passu interest in the Wells
Fargo Tower
Mortgage Loan to the Purchaser under this Agreement. The
Seller's 51% interest
in the Wells Fargo Tower Mortgage Loan is evidenced by a
separate promissory
note (the "Seller Note") in the outstanding principal balance as
of the Cut-Off
Date of $280,500,000. Greenwich Capital Financial Products, Inc.
(the "Other
Seller") will sell a 51% pari passu interest in the 1615 L
Street Mortgage Loan
and a 49% pari passu interest in the Wells Fargo Tower Mortgage
Loan to the
Purchaser pursuant to a Mortgage Loan Purchase Agreement, dated
as of the date
hereof (the "Other Mortgage Loan Purchase Agreement"). The
Seller's 49% interest
in the 1615 L Street Mortgage Loan (which represents the
outstanding principal
balance as of the Cut-Off Date of $67,920,536.11) and the Other
Seller's 51%
interest in the 1615 L Street Mortgage Loan (which represents
the outstanding
principal balance as of the Cut-Off Date of $70,692,802.89) are
evidenced by a
single promissory note. For purposes of this Agreement, the
Seller's pari passu
interests in the Joint Loans that are being sold to the
Purchaser under this
Agreement are referred to herein as the "Mortgage Loans". The
Other Seller's
pari passu interests in the Joint Loan that are being sold to
the Purchaser
under the Other Mortgage Loan Purchase Agreement are referred to
herein as the
"Other Seller Interests."
The Purchaser and the Seller wish to prescribe the manner of
sale of
the Mortgage Loans from the Seller to the Purchaser and in
consideration of the
premises and the mutual agreements hereinafter set forth, agree
as follows:
SECTION 1 Sale and Conveyance of Mortgages; Possession of
Mortgage
File. The Seller does hereby sell, transfer, assign, set over
and convey to the
Purchaser the Mortgage Loans including all interest and
principal received on or
with respect to the Mortgage Loans after the Cut-off Date (other
than payments
of principal and interest first due on the Mortgage Loans on or
before the
Cut-off Date). Upon the sale of the Mortgage Loans, the
ownership of each
related Note, subject to the rights of the other holders of
interest in a
Companion Loan, the Seller's interest in the related Mortgage
and the other
contents of the related Mortgage File, will be vested in the
Purchaser and
immediately thereafter the Trustee, and the ownership of records
and documents
with respect to the related Mortgage Loan (other than a
Non-Serviced Companion
Loan) prepared by or which come into the possession of the
Seller shall
immediately vest in the Purchaser and immediately thereafter the
Trustee.
The sale and conveyance of the Mortgage Loans is being conducted
on
an arms-length basis and upon commercially reasonable terms. As
the purchase
price for the Mortgage Loans, the Purchaser shall pay to the
Seller or at the
Seller's direction $334,498,008.13 (excluding accrued interest
and certain
post-settlement adjustment for expenses incurred by the
Underwriters on behalf
of the Depositor). The purchase and sale of the Mortgage Loans
shall take place
on the Closing Date.
SECTION 2 Books and Records; Certain Funds Received After
the
Cut-off Date. From and after the sale of the Mortgage Loans to
the Purchaser,
record title to each Mortgage and the related Note shall be
transferred to the
Trustee in accordance with this Agreement. Any funds due after
the Cut-off Date
in connection with a Mortgage Loan received by the Seller shall
be held in trust
for the benefit of the Trustee as the owner of such Mortgage
Loan and shall be
transferred promptly to the Trustee. All scheduled payments of
principal and
interest due on or before the Cut-off Date but collected after
the Cut-off Date,
and recoveries of principal and interest collected on or before
the Cut-off Date
(only in respect of principal and interest on the Mortgage Loans
due on or
before the Cut-off Date and principal prepayments thereon),
shall belong to, and
shall be promptly remitted to, the Seller.
The transfer of each Mortgage Loan shall be reflected on the
Seller's balance sheets and other financial statements as a sale
of the Mortgage
Loans by the Seller to the Purchaser. The Seller intends to
treat the transfer
of each Mortgage Loan to the Purchaser as a sale for tax
purposes.
The transfer of each Mortgage Loan shall be reflected on the
Purchaser's balance sheets and other financial statements as the
purchase of the
Mortgage Loans by the Purchaser from the Seller. The Purchaser
intends to treat
the transfer of each Mortgage Loan from the Seller as a purchase
for tax
purposes. The Purchaser shall be responsible for maintaining,
and shall
maintain, a set of records for each Mortgage Loan which shall be
clearly marked
to reflect the transfer of ownership of each Mortgage Loan by
the Seller to the
Purchaser pursuant to this Agreement.
SECTION 3 Delivery of Mortgage Loan Documents; Additional Costs
and
Expenses. (a) The Purchaser hereby directs the Seller, and the
Seller hereby
agrees, upon the transfer of the Mortgage Loans contemplated
herein, to deliver
or cause to be delivered to the Trustee or a Custodian appointed
thereby on the
dates set forth in Section 2.01 of the Pooling and Servicing
Agreement, all
documents, instruments and agreements required to be delivered
by the Purchaser
to the Trustee with respect to the Mortgage Loans under Section
2.01 of the
Pooling and Servicing Agreement, and meeting all the
requirements of such
Section 2.01, provided that the Seller shall not be required to
deliver any
draft documents, privileged communications, credit underwriting,
due diligence
analyses or data or internal worksheets, memoranda,
communications or
evaluations.
(b) The Seller shall deliver to the Master Servicer within
10
business days after the Closing Date, documents and records that
(i) relate to
the servicing and administration of the Mortgage Loans, (ii) are
reasonably
necessary for the ongoing administration and/or servicing of the
Mortgage Loans
(including any asset summaries related to the Mortgage Loans
that were delivered
to the Rating Agencies in connection with the rating of the
Certificates) and
(iii) are in possession or control of the Seller, together with
(x) all
unapplied Escrow Payments in the possession or under control of
the Seller that
relate to the Mortgage Loans and (y) a statement indicating
which Escrow
Payments are allocable to such Mortgage Loans); provided that
the Seller shall
not be required to deliver any draft documents, privileged or
other
communications, credit underwriting, due diligence analyses or
data or internal
worksheets, memoranda, communications or evaluations.
(c) Notwithstanding anything to the contrary in this Agreement,
with
respect to each Joint Loan, the delivery of the required
documents by the Seller
or the related Other Seller shall satisfy the delivery
requirements of the
Seller hereunder except with respect to the Seller Note.
SECTION 4 Treatment as a Security Agreement. Pursuant to Section
1
hereof, the Seller has conveyed to the Purchaser all of its
right, title and
interest in and to the Mortgage Loans. The parties intend that
such conveyance
of the Seller's right, title and interest in and to the Mortgage
Loans pursuant
to this Agreement shall constitute a purchase and sale and not a
loan. If such
conveyance is deemed to be a pledge and not a sale, then the
parties also intend
and agree that the Seller shall be deemed to have granted, and
in such event
does hereby grant, to the Purchaser, a first priority security
interest in all
of its right, title and interest in, to and under the Mortgage
Loans, all
payments of principal or interest on such Mortgage Loans due
after the Cut-off
Date, all other payments made in respect of such Mortgage Loans
after the
Cut-off Date (other than scheduled payments of principal and
interest due on or
before the Cut-off Date) and all proceeds thereof, and that this
Agreement shall
constitute a security agreement under applicable law. If such
conveyance is
deemed to be a pledge and not a sale, the Seller consents to the
Purchaser
hypothecating and transferring such security interest in favor
of the Trustee
and transferring the obligation secured thereby to the
Trustee.
SECTION 5 Covenants of the Seller. The Seller covenants with
the
Purchaser as follows:
(a) Except with respect to a Non-Serviced Mortgage Loan, it
shall
record or cause a third party to record in the appropriate
public recording
office for real property the assignments of the Mortgage Loans,
assignments of
assignment of leases, rents and profits and the assignments of
Mortgage and each
related UCC-2 and UCC-3 financing statement referred to in the
definition of
Mortgage File from the Seller to the Trustee in connection with
the Pooling and
Servicing Agreement. The Seller shall pay all out of pocket
costs and expenses
relating to the recordation or filing of such assignments,
assignments of
Mortgage and financing statements with respect to the Mortgage
Loans (which
shall be its pro rata share of all out of pocket costs and
expenses relating to
the recordation or filing of such assignments, assignments of
Mortgage and
financing statements with respect to each Joint Loan). If any
such document or
instrument is lost or returned unrecorded or unfilled, as the
case may be,
because of a defect therein, then the Seller shall prepare a
substitute
therefore or cure such defect of cause such to be done, as the
case may be, and
the Seller shall deliver such substitute or corrected document
or instrument to
the Trustee (or, if the Mortgage Loan is then no longer subject
to the Pooling
and Servicing Agreement, the then holder of such Mortgage Loan)
(it being
understood that the delivery of such substitute or corrected
documents by the
Seller or the Other Seller shall satisfy the delivery
requirements of Seller
hereunder except with respect to the Seller Note).
(b) It shall take any action reasonably required by the
Purchaser,
the Trustee or the Servicer in order to assist and facilitate
the transfer of
the servicing of the Mortgage Loans to the Servicer, including
effectuating the
transfer of any letters of credit with respect to any Mortgage
Loan to the
Servicer on behalf of the Trustee for the benefit of
Certificateholders. Prior
to the date that a letter of credit with respect to any Mortgage
Loan is
transferred to the Servicer, the Seller will cooperate with the
reasonable
requests of the Servicer or Special Servicer, as applicable, in
connection with
effectuating a draw under such letter of credit as required
under the terms of
the related Loan Documents. Notwithstanding the foregoing, this
Section 5(b)
shall not apply with respect to a Non-Serviced Mortgage
Loan.
(c) The Seller shall provide the Master Servicer the initial
data
with respect to each Mortgage Loan for the CMSA Financial File
and the CMSA Loan
Periodic Update File that are required to be prepared by the
Master Servicer
pursuant to the Pooling and Servicing Agreement and the
Supplemental Servicer
Schedule (it being understood that the delivery of such data by
the Seller or
the Other Seller shall satisfy the delivery requirements of the
Seller
hereunder).
(d) If during the period of time that the Underwriters are
required,
under applicable law, to deliver a prospectus related to the
Offered
Certificates in connection with sales of the Offered
Certificates by an
Underwriter or a dealer and the Seller has obtained actual
knowledge of
undisclosed or corrected information related to an event that
occurred prior to
the Closing Date, which event causes the Seller Information
previously provided
to be incorrect or untrue, and which directly results in a
material misstatement
or omission in the Prospectus Supplement, including Annex A,
Annex B, Annex C-1,
Annex C-2 or Annex D thereto and the CD-ROM and the Diskette
included therewith
(collectively, the "Public Offering Documents"), and as a result
the
Underwriters' legal counsel has determined that it is necessary
to amend or
supplement the Public Offering Documents in order to make the
statements
therein, in the light of the circumstances when the Prospectus
is delivered to a
purchaser, not misleading, or to make the Public Offering
Documents in
compliance with applicable law, the Seller shall (to the extent
that such
amendment or supplement solely relates to the Seller Information
at the expense
of the Seller, do all things reasonably necessary to assist the
Depositor to
prepare and furnish to the Underwriters, such amendments or
supplements to the
Public Offering Documents as may be necessary so that the
statements in the
Public Offering Documents, as so amended or supplemented, will
not, in the light
of the circumstances when the Prospectus is delivered to a
purchaser, be
misleading and will comply with applicable law. (All terms under
this clause (d)
and not otherwise defined in this Agreement shall have the
meanings set forth in
the Indemnification Agreement, dated June 21, 2007, between the
Seller and the
Purchaser (the "Indemnification Agreement" and, together with
this Agreement,
the "Operative Documents")).
(e) For so long as the Trust Fund is subject to the
reporting
requirements of the Exchange Act, the Seller shall provide the
Purchaser (or
with respect to any Serviced Companion Loan that is deposited
into another
securitization, the depositor of such securitization) and the
Paying Agent with
any Additional Form 10-D Disclosure and any Additional Form 10-K
Disclosure set
forth next the Seller's name on Exhibit U and Exhibit V of the
Pooling and
Servicing Agreement within the time periods set forth in the
Pooling and
Servicing Agreement.
SECTION 6 Representations and Warranties.
(a) The Seller represents and warrants to the Purchaser as of
the
date hereof and as of the Closing Date that:
(i) The Seller is a corporation, duly organized, validly
existing
and in good standing under the laws of the State of Delaware
with full
power and authority to own its assets and conduct its business,
is duly
qualified as a foreign organization in good standing in all
jurisdictions
to the extent such qualification is necessary to hold and sell
the
Mortgage Loans or otherwise comply with its obligations under
this
Agreement except where the failure to be so qualified would not
have a
material adverse effect on its ability to perform its
obligations
hereunder, and the Seller has taken all necessary action to
authorize the
execution, delivery and performance under the Operative
Documents and has
duly executed and delivered this Agreement and the
Indemnification
Agreement, and has the power and authority to execute, deliver
and perform
under this Agreement and each other Operative Document and all
the
transactions contemplated hereby and thereby, including, but not
limited
to, the power and authority to sell, assign, transfer, set over
and convey
the Mortgage Loans in accordance with this Agreement;
(ii) Assuming the due authorization, execution and delivery of
each
Operative Document by each party thereto other than the Seller,
each
Operative Document will constitute a legal, valid and binding
obligation
of the Seller, enforceable against the Seller in accordance with
its
terms, except as such enforcement may be limited by
bankruptcy,
insolvency, reorganization, moratorium or other similar laws
affecting the
enforcement of creditors' rights generally, and by general
principles of
equity (regardless of whether such enforceability is considered
in a
proceeding in equity or at law);
(iii) The execution and delivery of each Operative Document by
the
Seller and the performance of its obligations hereunder and
thereunder
will not conflict with any provision of any law or regulation to
which the
Seller is subject, or conflict with, result in a breach of, or
constitute
a default under, any of the terms, conditions or provisions of
any of the
Seller's organizational documents or any agreement or instrument
to which
the Seller is a party or by which it is bound, or any order or
decree
applicable to the Seller, or result in the creation or
imposition of any
lien on any of the Seller's assets or property, in each case
which would
materially and adversely affect the ability of the Seller to
carry out the
transactions contemplated by the Operative Documents;
(iv) There is no action, suit, proceeding or investigation
pending
or, to the Seller's knowledge, threatened against the Seller in
any court
or by or before any other governmental agency or instrumentality
which
would materially and adversely affect the validity of the
Mortgage Loans
or the ability of the Seller to carry out the transactions
contemplated by
each Operative Document;
(v) The Seller is not in default with respect to any order or
decree
of any court or any order, regulation or demand of any federal,
state,
municipal or governmental agency, which default might have
consequences
that, in Seller's good faith and reasonable judgment, is likely
to
materially and adversely affect the condition (financial or
other) or
operations of the Seller or its properties or might have
consequences
that, in Seller's good faith and reasonable judgment, is likely
to
materially and adversely affect its performance under any
Operative
Document;
(vi) No consent, approval, authorization or order of any court
or
governmental agency or body is required for the execution,
delivery and
performance by the Seller of, or compliance by the Seller with,
each
Operative Document or the consummation of the transactions
contemplated
hereby or thereby, other than those which have been obtained by
the
Seller;
(vii) The transfer, assignment and conveyance of the Mortgage
Loans
by the Seller to the Purchaser is not subject to bulk transfer
laws or any
similar statutory provisions in effect in any applicable
jurisdiction; and
(viii) The Mortgage Loans were originated by a mortgagee
approved by
the Secretary of Housing and Urban Development pursuant to
Sections 203
and 211 of the Act, a savings and loan association, a savings
bank, a
commercial bank, credit union, insurance company or other
similar
institution which is supervised and examined by a federal or
state
authority.
(b) The Purchaser represents and warrants to the Seller as of
the
Closing Date that:
(i) The Purchaser is a corporation duly organized, validly
existing
and in good standing under the laws of the State of Delaware,
with full
corporate power and authority to own its assets and conduct its
business,
is duly qualified as a foreign corporation in good standing in
all
jurisdictions in which the ownership or lease of its property or
the
conduct of its business requires such qualification, except
where the
failure to be so qualified would not have a material adverse
effect on the
ability of the Purchaser to perform its obligations hereunder,
and the
Purchaser has taken all necessary action to authorize the
execution,
delivery and performance of this Agreement by it, and has the
power and
authority to execute, deliver and perform this Agreement and all
the
transactions contemplated hereby;
(ii) Assuming the due authorization, execution and delivery of
this
Agreement by the Seller, this Agreement will constitute a legal,
valid and
binding obligation of the Purchaser, enforceable against the
Purchaser in
accordance with its terms, except as such enforcement may be
limited by
bankruptcy, insolvency, reorganization, moratorium or other
similar laws
affecting the enforcement of creditors' rights generally, and by
general
principles of equity (regardless of whether such enforceability
is
considered in a proceeding in equity or at law);
(iii) The execution and delivery of this Agreement by the
Purchaser
and the performance of its obligations hereunder will not
conflict with
any provision of any law or regulation to which the Purchaser is
subject,
or conflict with, result in a breach of, or constitute a default
under,
any of the terms, conditions or provisions of any of the
Purchaser's
organizational documents or any agreement or instrument to which
the
Purchaser is a party or by which it is bound, or any order or
decree
applicable to the Purchaser, or result in the creation or
imposition of
any lien on any of the Purchaser's assets or property, in each
case which
would materially and adversely affect the ability of the
Purchaser to
carry out the transactions contemplated by this Agreement;
(iv) There is no action, suit, proceeding or investigation
pending
or, to the Purchaser's knowledge, threatened against the
Purchaser in any
court or by or before any other governmental agency or
instrumentality
which would materially and adversely affect the validity of this
Agreement
or any action taken in connection with the obligations of the
Purchaser
contemplated herein, or which would be likely to impair
materially the
ability of the Purchaser to perform under the terms of this
Agreement;
(v) The Purchaser is not in default with respect to any order
or
decree of any court or any order, regulation or demand of any
federal,
state, municipal or governmental agency, which default might
have
consequences that would materially and adversely affect the
condition
(financial or other) or operations of the Purchaser or its
properties or
might have consequences that would materially and adversely
affect its
performance under any Operative Document;
(vi) No consent, approval, authorization or order of any court
or
governmental agency or body is required for the execution,
delivery and
performance by the Purchaser of or compliance by the Purchaser
with this
Agreement or the consummation of the transactions contemplated
by this
Agreement other than those that have been obtained by the
Purchaser.
(c) The Seller further makes the representations and warranties
as
to the Mortgage Loans set forth in Exhibit B as of the Closing
Date or other
date set forth in Exhibit B, which representations and
warranties are subject to
the exceptions thereto set forth in Exhibit C.
(d) Pursuant to the Pooling and Servicing Agreement, if any
party
thereto discovers that any document constituting a part of a
Mortgage File has
not been properly executed, is missing, contains information
that does not
conform in any material respect with the corresponding
information set forth in
the Mortgage Loan Schedule, or does not appear to be regular on
its face (each,
a "Document Defect"), or discovers or receives notice of a
breach of any
representation or warranty of the Seller made pursuant to
Section 6(c) of this
Agreement with respect to any Mortgage Loan (a "Breach"), such
party is required
to give prompt written notice thereof to the Seller.
(e) If any such Document Defect or Breach with respect to
any
Mortgage Loan materially and adversely affects the value of the
Mortgage Loan or
the related Mortgaged Property or the interests of the
Certificateholders
therein, then such Document Defect shall constitute a "Material
Document Defect"
or such Breach shall constitute a "Material Breach," as the case
may be.
Promptly upon becoming aware of any such Material Document
Defect or Material
Breach (including through a written notice given by any party
hereto, as
provided above), the Seller, not later than 90 days from the
earlier of the
Seller's discovery or receipt of notice of such Material
Document Defect or
Material Breach, as the case may be (or, in the case of a
Material Document
Defect or Material Breach relating to a Mortgage Loan not being
a "qualified
mortgage" within the meaning of the REMIC Provisions, not later
than 90 days of
any party discovering such Material Document Defect or Material
Breach provided
the Seller receives notice thereof in a timely manner), cure the
same in all
material respects (which cure shall include payment of any
Additional Trust Fund
Expenses associated therewith) or, if such Material Document
Defect or Material
Breach, as the case may be, cannot be cured within such 90 day
period,
repurchase the affected Mortgage Loan or any related REO
Property at the
applicable Purchase Price by wire transfer of immediately
available funds to the
Collection Account (or, in the case of a Non-Serviced Mortgage
Loan or an REO
Property that relates to a Non-Serviced Mortgage Loan, to the
related REO
Account); provided, however, that if (i) such Material Document
Defect or
Material Breach is capable of being cured but not within such 90
day period,
(ii) such Material Document Defect or Material Breach is not
related to any
Mortgage Loan's not being a "qualified mortgage" within the
meaning of the REMIC
Provisions and (iii) the Seller has commenced and is diligently
proceeding with
the cure of such Material Document Defect or Material Breach
within such 90 day
period, then the Seller shall have an additional 90 days to
complete such cure
or, in the event of a failure to so cure, to complete such
repurchase (it being
understood and agreed that, in connection with the Seller's
receiving such
additional 90 day period, the Seller shall deliver an Officer's
Certificate to
the Trustee setting forth the reasons such Material Document
Defect or Material
Breach is not capable of being cured within the initial 90 day
period and what
actions the Seller is pursuing in connection with the cure
thereof and stating
that the Seller anticipates that such Material Document Defect
or Material
Breach will be cured within such additional 90 day period); and
provided,
further, that, if any such Material Document Defect is still not
cured after the
initial 90 day period and any such additional 90 day period
solely due to the
failure of the Seller to have received the recorded document,
then the Seller
shall be entitled to continue to defer its cure and repurchase
obligations in
respect of such Document Defect so long as the Seller certifies
to the Trustee
every 30 days thereafter that the Document Defect is still in
effect solely
because of its failure to have received the recorded document
and that the
Seller is diligently pursuing the cure of such defect
(specifying the actions
being taken), except that no such deferral of cure or repurchase
may continue
beyond the second anniversary of the Closing Date. Subject to
Section 3.32 of
the Pooling and Servicing Agreement, any such repurchase of a
Mortgage Loan
shall be on a servicing released basis. The Seller shall have no
obligation to
monitor the Mortgage Loans regarding the existence of a breach
or a document
defect, but if the Seller discovers a Material Breach or
Material Document
Defect with respect to a Mortgage Loan, it will notify the
Purchaser.
(f) In connection with any repurchase of a Mortgage Loan
pursuant to
this Section 6, the Pooling and Servicing Agreement shall
provide that, subject
to Section 3.26 of the Pooling and Servicing Agreement, the
Trustee, the
Custodian, the Master Servicer and the Special Servicer shall
each tender to the
repurchasing entity, upon delivery to each of them of a receipt
executed by the
repurchasing entity, all portions of the Mortgage File and other
documents
pertaining to such Mortgage Loan possessed by it, and each
document that
constitutes a part of the Mortgage File shall be endorsed or
assigned to the
extent necessary or appropriate to the repurchasing entity or
its designee in
the same manner, but only if the respective documents have been
previously
assigned or endorsed to the Trustee, and pursuant to appropriate
forms of
assignment, substantially similar to the manner and forms
pursuant to which such
documents were previously assigned to the Trustee; provided that
such tender by
the Trustee shall be conditioned upon its receipt from the
Master Servicer of a
Request for Release and an Officer's Certificate to the effect
that the
requirements for repurchase have been satisfied; provided,
further, that with
respect to each Joint Loan, in the event that the related
Mortgage Loan is
repurchased by the Seller pursuant to this Section 6 but the
related Other
Seller Interest is not repurchased by the Other Seller pursuant
to the Other
Mortgage Loan Purchase Agreement, the Seller and the Purchaser
hereby agree that
the provisions in Section 3.32 of the Pooling and Servicing
Agreement shall
govern the servicing and administration of such Joint Loan and
the rights and
obligations of the Seller and the Purchaser with respect to such
Joint Loan.
(g) The representations and warranties of the parties hereto
shall
survive the execution and delivery and any termination of this
Agreement and
shall inure to the benefit of the respective parties,
notwithstanding any
restrictive or qualified endorsement on the Notes or Assignment
of Mortgage or
the examination of the Mortgage Files.
(h) Each party hereby agrees to promptly notify the other party
of
any breach of a representation or warranty contained in Section
6(c). The
Seller's obligation to cure any breach or repurchase or
substitute any affected
Mortgage Loan pursuant to this Section 6 shall constitute the
sole remedy
available to the Purchaser in connection with a breach of any of
the Seller's
representations or warranties contained in this Section 6(c);
provided, however,
that no limitation of remedy is implied with respect to the
Seller's breach of
its obligation to cure, repurchase or substitute in accordance
with the terms
and conditions of this Agreement.
SECTION 7 Review of Mortgage File. The Purchaser shall require
the
Trustee or the Custodian pursuant to the Pooling and Servicing
Agreement to
review the Mortgage Files pursuant to Section 2.02 of the
Pooling and Servicing
Agreement and if it finds any document or documents not to have
been properly
executed, or to be missing or to be defective on its face in any
material
respect, to notify the Purchaser, which shall promptly notify
the Seller.
SECTION 8 Conditions to Closing. The obligation of the Seller
to
sell the Mortgage Loans shall be subject to the Seller having
received the
purchase price for the Mortgage Loans as contemplated by Section
1. The
obligations of the Purchaser to purchase the Mortgage Loans
shall be subject to
the satisfaction, on or prior to the Closing Date, of the
following conditions:
(a) Each of the obligations of the Seller required to be
performed
by it at or prior to the Closing Date pursuant to the terms of
this Agreement
shall have been duly performed and complied with and all of the
representations
and warranties of the Seller under this Agreement shall be true
and correct in
all material respects as of the Closing Date, and no event shall
have occurred
as of the Closing Date which would constitute a default under
this Agreement,
and the Purchaser shall have received a certificate to the
foregoing effect
signed by an authorized officer of the Seller substantially in
the form of
Exhibit D.
The Pooling and Servicing Agreement (to the extent it affects
the
obligations of the Seller hereunder), in such form as is agreed
upon and
acceptable to the Purchaser, the Seller, the Underwriters and
their respective
counsel in their reasonable discretion, shall be duly executed
and delivered by
all signatories as required pursuant to the terms thereof.
(b) The Purchaser shall have received the following
additional
closing documents:
(i) copies of the Seller's articles of incorporation,
charter,
by-laws or other organizational documents and all amendments,
revisions,
restatements and supplements thereof, certified as of a recent
date by the
Secretary of the Seller;
(ii) a certificate as of a recent date of the Secretary of State
of
the State of Delaware to the effect that the Seller is duly
organized,
existing and in good standing in the State of Delaware; and
(iii) an opinion of counsel of the Seller, subject to
customary
exceptions and carve-outs, in form substantially similar to the
opinions
set forth in Exhibit E, acceptable to the Underwriters and each
Rating
Agency.
(c) The Offered Certificates shall have been concurrently issued
and
sold pursuant to the terms of the Underwriting Agreement. The
Private
Certificates shall have been concurrently issued and sold
pursuant to the terms
of the Certificate Purchase Agreement.
(d) The Seller shall have executed and delivered
concurrently
herewith the Indemnification Agreement.
(e) The Seller shall furnish the Purchaser with such other
certificates of its officers or others and such other documents
and opinions to
evidence fulfillment of the conditions set forth in this
Agreement as the
Purchaser and its counsel may reasonably request.
SECTION 9 Closing. The closing for the purchase and sale of
the
Mortgage Loans shall take place at the office of Cadwalader,
Wickersham & Taft
LLP, New York, New York, at 10:00 a.m., on the Closing Date or
such other place
and time as the parties shall agree. The parties hereto agree
that time is of
the essence with respect to this Agreement.
SECTION 10 Expenses. The Seller will pay its pro rata share
(the
Seller's pro rata portion to be determined according to the
percentage that the
aggregate principal balance as of the Cut-off Date of all the
Mortgage Loans
represents as to the aggregate principal balance as of the
Cut-off Date of all
the mortgage loans to be included in the Trust Fund) of all
costs and expenses
of the Purchaser in connection with the transactions
contemplated herein,
including, but not limited to: (i) the costs and expenses of the
Purchaser in
connection with the purchase of the Mortgage Loans; (ii) the
costs and expenses
of reproducing and delivering the Pooling and Servicing
Agreement and this
Agreement and printing (or otherwise reproducing,) and
delivering the
Certificates; (iii) the reasonable and documented fees, costs
and expenses of
the Trustee and its counsel; (iv) the fees and disbursements of
a firm of
certified public accountants selected by the Purchaser and the
Seller with
respect to numerical information in respect of the Mortgage
Loans and the
Certificates included in the Prospectus, the Offering Circular
(as defined in
the Indemnification Agreement) and any related 8-K Information
(as defined in
the Underwriting Agreement), including the cost of obtaining any
"comfort
letters" with respect to such items; (v) the costs and expenses
in connection
with the qualification or exemption of the Certificates under
state securities
or blue sky laws, including filing fees and reasonable fees and
disbursements of
counsel in connection therewith; (vi) the costs and expenses in
connection with
any determination of the eligibility of the Certificates for
investment by
institutional investors in any jurisdiction and the preparation
of any legal
investment survey, including reasonable fees and disbursements
of counsel in
connection therewith; (vii) the costs and expenses in connection
with printing
(or otherwise reproducing) and delivering the Registration
Statement and
Prospectus and the reproducing and delivery of this Agreement
and the furnishing
to the Underwriters of such copies of the Registration
Statement, Prospectus and
this Agreement as the Underwriters may reasonably request;
(viii) the fees of
the rating agency or agencies requested to rate the
Certificates; and (ix) the
reasonable fees and expenses of Cadwalader, Wickersham &
Taft LLP, counsel to
the Purchaser and the Underwriters.
SECTION 11 Severability of Provisions. 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 or terms of this Agreement and shall in no way affect
the validity or
enforceability of the other provisions of this Agreement.
Furthermore, the
parties shall in good faith endeavor to replace any provision
held to be invalid
or unenforceable with a valid and enforceable provision which
most closely
resembles, and which has the same economic effect as, the
provision held to be
invalid or unenforceable.
SECTION 12 Governing Law. This Agreement shall be construed
in
accordance with the laws of the State of New York without regard
to conflicts of
law principles and the obligations, rights and remedies of the
parties hereunder
shall be determined in accordance with such laws.
SECTION 13 No Third-Party Beneficiaries. The parties do not
intend
the benefits of this Agreement to inure to any third party
except as expressly
set forth in Section 14.
SECTION 14 Assignment. The Seller hereby acknowledges that
the
Purchaser has, concurrently with the execution hereof, executed
and delivered
the Pooling and Servicing Agreement and that, in connection
therewith, it has
assigned its rights hereunder to the Trustee for the benefit of
the
Certificateholders. The Seller hereby acknowledges its
obligations pursuant to
Sections 2.01, 2.02, 2.03 and 3.32 of the Pooling and Servicing
Agreement. This
Agreement shall bind and inure to the benefit of and be
enforceable by the
Seller, the Purchaser and their permitted successors and
assigns. The warranties
and representations and the agreements made by the Seller herein
shall survive
delivery of the Mortgage Loans to the Trustee until the
termination of the
Pooling and Servicing Agreement.
SECTION 15 Notices. All communications hereunder shall be in
writing
and effective only upon receipt and (i) if sent to the
Purchaser, will be
mailed, hand delivered, couriered or sent by facsimile
transmission to it at 85
Broad Street, New York, New York 10004, to the attention of
Emily Brooks
Garriott, fax number (212) 346-3594, with a copy to Sang Kim,
fax number (212)
256-5833, (ii) if sent to the Seller, will be mailed, hand
delivered, couriered
or sent by facsimile transmission and confirmed to it at Lehman
Brothers
Holdings Inc., 745 Seventh Avenue, New York, New York 10019, to
the attention of
Scott Lechner, fax number (646) 758-4203 and (iii) in the case
of any of the
preceding parties, such other address as may hereafter be
furnished to the other
party in writing by such parties.
SECTION 16 Amendment. This Agreement may be amended only by
a
written instrument which specifically refers to this Agreement
and is executed
by the Purchaser and the Seller. This Agreement shall not be
deemed to be
amended orally or by virtue of any continuing custom or
practice. No amendment
to the Pooling and Servicing Agreement which relates to defined
terms contained
therein or any obligations or rights of the Seller whatsoever
shall be effective
against the Seller unless the Seller shall have agreed to such
amendment in
writing.
SECTION 17 Counterparts. This Agreement may be executed in
any
number of counterparts, and by the parties hereto in separate
count
|